Travelling in a car—whether for a short trip, a long holiday, or an international road trip—requires proper car insurance. But how do travellers get the right coverage? Whether you’re renting a car, driving your own, or borrowing one, this guide will explain how to secure the best car insurance as a traveller.
Types of Car Insurance for Travellers
The type of car insurance you need depends on how you’re travelling:
| Scenario | Best Insurance Option |
|---|---|
| Renting a car | Rental car insurance |
| Driving your own car abroad | Temporary international car insurance |
| Borrowing a car from a friend/family | Non-owner car insurance |
| Using a ride-sharing or car club service | Pay-as-you-go or usage-based insurance |
Car Insurance Options for Different Travel Situations
1. Rental Car Insurance
If you’re renting a car while travelling, the rental company will offer insurance. However, their policies can be expensive. Here’s what you should know:
- Collision Damage Waiver (CDW) – Covers damage to the rental car but has excess charges.
- Liability Insurance – Covers damage to other vehicles or people in an accident.
- Personal Accident Insurance (PAI) – Covers medical expenses for injuries sustained in a crash.
- Personal Effects Coverage – Protects your personal belongings inside the car.
🔹 Tip: Instead of buying expensive rental insurance, check if your travel insurance or credit card covers rental cars.
2. Driving Your Own Car While Travelling
If you’re taking your own car abroad, you need to ensure your existing insurance policy covers international travel.
- UK Car Insurance with EU Cover – Some UK insurers offer automatic cover in European countries, but check for duration limits.
- Green Card Insurance – A document proving you have the minimum required insurance in many European and international countries.
- Temporary International Car Insurance – For longer trips outside Europe, a temporary policy might be needed.
🔹 Tip: Always check your policy’s territorial limits before travelling.
3. Non-Owner Car Insurance
If you’re borrowing a car from a friend or family member while travelling, a non-owner car insurance policy is useful. It provides liability coverage if you cause an accident while driving someone else’s car.
4. Pay-As-You-Go or Short-Term Car Insurance
For travellers who need a car for a short time, temporary or pay-as-you-go insurance is an excellent option.
Benefits of short-term insurance:
✔ Covers periods as short as a few hours to a few weeks
✔ No impact on your no-claims bonus
✔ Ideal for renting, borrowing, or test-driving a car
How to Buy Car Insurance as a Traveller
Here’s a step-by-step process to get the right coverage:
Step 1: Assess Your Needs
- Are you renting, borrowing, or using your own car?
- Do you need international or temporary insurance?
Step 2: Compare Insurance Providers
- Use comparison sites like Compare the Market, GoCompare, or Confused.com to find the best deals.
Step 3: Check Your Existing Coverage
- Credit cards and travel insurance may already provide rental car insurance.
- Your existing policy might include international coverage.
Step 4: Buy the Right Policy
- Ensure your policy meets the legal requirements of the country you’re driving in.
- Check excess charges and exclusions.
Step 5: Carry Necessary Documents
- Keep proof of insurance (digital or physical copy) handy while travelling.
- If travelling abroad, check if you need an International Driving Permit (IDP).
Common Mistakes to Avoid
🚫 Ignoring excess charges – Some rental policies have high excess fees, making you pay more in case of an accident.
🚫 Assuming your UK insurance covers all trips – Many UK policies have restrictions on how long you can drive abroad.
🚫 Forgetting to check rental terms – Some rental companies don’t accept certain types of insurance.
🚫 Not checking exclusions – Some policies exclude specific countries, high-risk drivers, or young drivers.
Conclusion
Travelling by car is convenient, but having the right insurance is crucial. Whether renting, borrowing, or using your own car, understanding different policies helps you avoid unnecessary costs and ensures peace of mind. Always compare, read the fine print, and choose wisely!
Got a trip planned? Check your car insurance now! 🚗✨
