Navigating vehicle insurance for international students is an essential step for those planning to drive in Canada or the UK during their studies in 2025. Unlike temporary travel insurance, vehicle insurance is a legal requirement in both countries, even for students who only plan to stay for a semester or academic year. Understanding the local policies, documents needed, and insurance types helps students stay compliant and avoid hefty fines or complications.
With thousands of students moving abroad each year from India and other countries, proper vehicle insurance guidance ensures safe and legal driving throughout their international academic journey.
Is Vehicle Insurance Mandatory in Canada & UK for Students?
Yes, both Canada and the UK legally require all vehicle owners, including international students, to carry valid vehicle insurance. Even if you’re using a car for a few months or borrowing from a friend or host family, insurance coverage must be in place.
Key rules:
-
Canada: Minimum third-party liability insurance is mandatory in every province.
-
UK: All drivers must carry at least third-party coverage, even if the car isn’t driven daily.
-
Insurance is tied to the vehicle, not just the driver—so check if you’re covered before driving someone else’s car.
-
Student drivers with international licenses may face higher premiums, but short-term policies are available.
In both countries, driving without proper vehicle insurance can lead to penalties, license suspension, or deportation for visa holders.
Types of Insurance Plans Available for Students
For international students, most insurers in Canada and the UK offer student-friendly packages or allow co-insurance with a host or guardian. Policies are designed to cover temporary stays, making them ideal for exchange students, research scholars, and full-time students alike.
Types of vehicle insurance for international students:
| Insurance Type | What it Covers | Availability in Canada & UK |
|---|---|---|
| Third-Party Only | Damage to other vehicles or persons | Mandatory in both |
| Third-Party, Fire & Theft | Adds coverage for fire damage or car theft | Optional |
| Comprehensive Cover | Includes damage to your vehicle as well | Highly recommended |
| Pay-per-mile Plans | For students driving occasionally | Offered by select insurers |
| Named Driver Policy | Add student as secondary driver on host’s policy | Widely used option |
Each plan differs by cost and coverage, so it’s best to compare online and choose what fits your driving habits and student budget.
Documents Required for Insurance Application
To apply for vehicle insurance for international students, certain documents are required for identity, residency, and driving history verification. Whether you’re buying or leasing a car, or borrowing one, having the right paperwork is essential.
Required documents include:
-
Valid passport and student visa
-
International driving permit (IDP) or local license (UK provisional or Canadian G1/G2)
-
University acceptance/enrollment letter
-
Proof of local address (rental agreement, utility bill)
-
Driving history or no-claim bonus certificate (if available)
-
Vehicle registration documents (V5C logbook in the UK or ownership slip in Canada)
Some insurance companies may also conduct interviews or request references, especially for first-time applicants.
Tips for Reducing Insurance Premiums as a Student
Getting vehicle insurance as an international student can be costly, especially without local driving experience. However, with a few smart moves, students can significantly reduce their insurance burden.
Tips to save on insurance premiums:
-
Opt for a used car with a smaller engine size
-
Get added as a second driver to someone else’s policy
-
Avoid modifying the vehicle – keep it stock
-
Install security features like GPS tracker and anti-theft lock
-
Take a certified defensive driving course in Canada or the UK
-
Compare multiple insurers before choosing one
Following these tips can make vehicle insurance for international students much more affordable while staying fully protected.
FAQs
Is vehicle insurance mandatory for international students?
Yes, vehicle insurance for international students is legally required in both Canada and the UK even for short-term driving.
Can I use my home country’s insurance abroad?
No, you must purchase vehicle insurance from a local insurer in Canada or the UK. International insurance is not valid for registered vehicles in these countries.
What if I’m borrowing someone’s car?
You must be listed as a named driver on the existing vehicle insurance policy, or you must have temporary coverage arranged before driving.
Are international driving licenses accepted?
Yes, for a limited period. However, it’s strongly advised to apply for a local license (G license in Canada, provisional/full license in the UK) to avoid legal complications.
How long does it take to get insured?
With all documents ready, it can take 1–3 working days to activate vehicle insurance for international students through online portals or agent-assisted services.
Click here to know more.