Import Car Insurance

How to insure Import cars

Insuring an imported car in the UK can be more complex than insuring a standard vehicle. Whether you’ve brought in a car from Japan, the USA, or Europe, there are several unique factors to consider. This guide provides an overview of what you need to know when insuring an imported car for the first time.

What is an Imported Car?

An imported car is any vehicle brought into the UK from another country. There are two types of imported cars:

• Parallel Imports: These are cars originally manufactured for and sold in the EU. Because they meet similar standards to UK vehicles, insuring these cars is usually straightforward and often costs similar to domestic vehicles.
• Grey Imports: These are vehicles imported from outside the EU, such as from Japan or the USA. These cars may not meet UK or European specifications and can be more expensive and difficult to insure due to differences in safety features, parts availability, and repair requirements.

Factors Affecting Imported Car Insurance Premiums

Several factors make insuring an imported car more complex and potentially more expensive than insuring a standard UK vehicle:

• Car Specifications: Grey imports often differ from UK models in terms of engine power, emissions, and safety standards. Insurers may charge higher premiums due to the higher perceived risk or difficulty in sourcing replacement parts.
• Parts and Repairs: Since parts for imported cars may need to be specially ordered, repair costs can be higher. Insurers factor this into premiums, as sourcing parts can delay repairs and increase costs.
• Specialist Mechanics: Some imported cars, especially those from non-EU countries, require mechanics with specific knowledge and tools, further increasing the potential cost of repairs.
• Vehicle Value: The value of an imported car can fluctuate based on rarity and demand. Insurers often consider this when calculating premiums, particularly for rare or performance models.
• Usage and Mileage: Just like with standard car insurance, how often and how far you drive your imported car will impact your premiums. Limited mileage policies can help keep costs down if you only use the car occasionally.

Tips for Insuring an Imported Car

• Seek Specialist Insurance: Many mainstream insurers may not offer coverage for grey imports, so it’s best to approach companies that specialise in imported car insurance. These insurers have experience dealing with the unique challenges of imported vehicles and may offer better coverage options.
• Declare Modifications: If your car has been modified, either before or after import, ensure you declare this to your insurer. Failure to do so could invalidate your policy.
• Get an Agreed Value Policy: With some imported cars, especially rare or classic models, it’s important to secure an agreed value policy. This ensures that in the event of a total loss, the payout will reflect the true market value of the vehicle, not just a standard depreciation model.

Additional Considerations

Some insurers may require additional documentation to assess the car’s value and roadworthiness, such as an Individual Vehicle Approval (IVA) certificate. Be sure to provide all necessary paperwork to avoid delays in getting coverage.

The Import Truth

Insuring an imported car in the UK requires careful consideration of the vehicle’s origin, specifications, and repair needs. By choosing a specialist insurer and understanding the factors that affect premiums, you can find the right coverage to protect your investment and enjoy your imported car on UK roads.