Car insurance and driving licences

Key Takeaways

• You don’t need to provide licence information to get a car insurance quote, but it can lead to more accurate quotes and fewer mistakes

• If your licence is from a non-EU/EEC country, you can drive in the UK for 12 months before needing to pass a UK driving and theory test for a full UK licence

• Convictions on your licence can increase premiums, but the longer you hold your licence the lower your costs are likely to be

Does your driving licence affect your car insurance?

Yes, your driving licence can influence how much you pay for car insurance - insurers consider several details about your licence, including:

• The type of licence you have

• Any convictions or points on your licence

• Any medical conditions declared on your licence

• The length of time you’ve held your licence

Do I have to give my insurer my driving licence information?

You aren’t required to give your insurer your driving licence number, but it can simplify the princess. A service called MyLicence, developed by the DVLA and MIB, uses your licence number to let your insurer automatically see your driving records and information, so you don’t have to input it manually.

It also means your insurer can set premiums more accurately based on the full information they’ll receive by using this service.

What types of driving licence are there?

There are multiple different types of driving licence, and to drive on UK roads you’ll need a licence in one of the following categories:

• A full UK car licence

• A full EU licence

• A full European non-EU licence

• A full international licence

What types of full UK driving licence are there?

In the UK, you can get a number of variations on the full UK driving licence, which you get once you’ve passed your practical and theory exams:

• Standard issue full UK driving licence

• Automatic only: You’ll only be able to drive cars with an automatic transmission

• IAM: Indicates you’ve taken the IAM RoadSmart advanced driving course

• Pass Plus: Indicates you’ve taken and passed the Pass Plus advanced driving course

• Medically restricted: If you have a medical condition that affects your ability to drive - the full list of conditions can be found on the government website

What types of non-UK driving licence are there?

If you don’t have a full UK driving licence, you can still drive on UK roads if you have one of the following international driving licences:

EU/EEC licence: A licence from the European Union or the European Economic Community is valid in the UK until it expires, either when you turn 70 or three years after you become a UK resident - whichever is longer. But if you got the EU licence by exchanging a non-EU licence you’ll need to pass a UK test after 12 months to keep driving.

Exchangeable international licence: You can drive in the UK for up to 12 months if your licence was issued in the Isle of Man, Jersey, Guernsey or Gibraltar, or from Andorra, Australia, Barbados, British Virgin Islands, Canada, Cayman Islands, Falkland Islands, Faroe Islands, Hong Kong, Japan, Monaco, New Zealand, Republic of Korea, Republic of North Macedonia, Singapore, South Africa, Switzerland, Taiwan, Ukraine, United Arab Emirates or Zimbabwe. After 12 months you’ll need to exchange it for a full licence, but you won’t need to retake your test if no longer than five years has passed since you became a resident.

Non-exchangeable licence: If your licence was issued by a country not in the EU, the EEC or the list above, you’ll still be able to drive in the UK for 12 months – but once this is up you’ll have to pass the UK driving and theory test to get a full licence. You won’t need to take any lessons, but you might find it useful either way.

Is car insurance more expensive with a non-UK driving licence?

Unfortunately yes, car insurance tends to be pricier if you don’t have a UK driving licence. Insurers see you as less experienced on UK roads and therefore at a higher risk of making a claim - and understandably, as the chances are you’ll be used to driving on the other side of the road!

It’s also possible that you won’t be able to carry over your no-claims bonus if you have a non-UK licence. There are specialist insurers in the market that might let you transfer your bonus over, so it’s worth shopping around for cover as it can help knock your premiums down.

Can I drive in the UK without a full driving licence?

You cannot drive unaccompanied in the UK without a full driving licence, and to take lessons you’ll need a provisional licence. You’ll be eligible for the UK driving test after living in the country for at least six months.

How to reduce the cost of cover if I have a non-UK driving licence

If you’re a non-UK driving licence holder, you are likely to face higher insurance premiums - here’s how you can try and balance these costs:

• Buy a manual car in a low insurance group: Manual cars are cheaper to insure as automatic gearboxes cost more to repair or replace, while cars in lower insurance groups are seen as less risky therefore also cheaper to cover. It’s also worth noting that insurance ends up cheaper when you have a full driving licence, as opposed to an automatic-only licence

• Pay annually for cover: Paying annually for cover might mean a big up-front lump sum, but it generally works out cheaper than paying over 12 months

• Reduce your mileage: The less time you spend on the road, the less likely you are to be involved in an accident and therefore make a claim - so lowering your expected mileage can help reduce the cost of cover

• Increase your excess: Paying higher voluntary excess fee indicates to insurers that you’re less likely to make a frivolous claim

• Improve your car security: Improving your car’s security features and keeping it stored safely lowers your risk of theft and therefore your insurance costs

• Build a no-claims discount: If you can go at least a year without claiming you’ll be eligible for a discount on your premiums, which you can transfer to a new provider if you choose

• Take a driving course: Taking a course like Pass Plus or IAM can potentially earn you lower premiums by demonstrating your skill as an advanced driver

• Apply for a UK licence: Finally, you can swap your EU, EEC or exchangeable international licence for a UK licence after six months of living in the UK, which can get you cheaper cover. With a non-exchangeable licence you’ll need to apply for a provisional and pass a driving test - again after six months

Do driving convictions affect the cost of car insurance?

Yes, having driving convictions on your licence will affect not only the cost of your car insurance premiums but also your ability to get cover in the first place. Your increased risk profile means some insurers may deny you cover outright, so you may need to take out specialist insurance.

Do I have to tell my insurer about my driving convictions?

Yes, you should be up front and honest about any unspent driving convictions on your policy - but once they’re spent, which essentially means expired, you’ll no longer need to declare them. Convictions become spent after a certain length of time, depending on the nature of the conviction itself.

How do different driving convictions affect car insurance premiums?

The effect different driving convictions will have on your car insurance premiums will depend on the type of conviction it is - some will be viewed as more serious than others. However insurers consider a number of other factors when deciding your premiums, so it’s always good to compare your options to ensure you find the best deal possible.

What if I have more than one conviction on my licence?

Having multiple convictions on your driving licence is likely to increase your premiums further.

Do medical conditions affect my car insurance?

Certain medical conditions like diabetes, epilepsy or sleep apnoea can affect your ability to drive safely, so you’ll need to mention if you have any medical restrictions on your licence to your insurer. However it shouldn’t affect your premiums or your ability to get cover unless there is evidence that you are an increased risk.

What health conditions need to be reported to the DVLA?

There are a number of conditions that will need to be reported to the DVLA, including:

• Diabetes

• Epilepsy

• Sleep apnoea

• Heart conditions

• Glaucoma

• Strokes

• Visual impairment

• Physical disabilities

How do I notify the DVLA about my medical conditions?

If you have a medical condition you can check if it’s one you need to report – and find the appropriate forms to do so – on the government website.

Do I have to tell my insurer about my medical conditions?

If you have any medical restrictions you’ll need to tell your insurer as well as the DVLA.

Will having a licence restriction affect the cost of my car insurance policy?

Your insurer can’t refuse cover, increase premiums or charge a higher excess unless they can prove that you are an increased risk.

Does holding your licence for a long time reduce premiums?

The longer you’ve held your licence, the more experience you have driving - so insurers will likely see you as less of a risk of being involved in an accident. In fact, data from MoneySuperMarket shows that those who have held their licence for one year pay on average £1,347 for cover - compared to £877 with five years, and £741 for 10 years.*

*Based on the median annual price of comprehensive policies sold through MoneySuperMarket in November 2024.

Compare car insurance with MoneySuperMarket

No matter what kind of licence you hold, you’ll need valid car insurance to drive on UK roads. Comparing car insurance policies with MoneySuperMarket is a quick and easy way to find the right cover – just tell us a little about yourself, your car and your driving history, and we’ll put together a list of quotes that match your requirements.

You’ll be able to compare policies by the overall annual and monthly cost, the excess you’ll need to pay and the cover you’ll get when you buy. Once you’ve found the deal you want, just click through to the provider to finalise your purchase.

As with any kind of insurance, the price isn’t always the most important factor. We suggest looking for a policy that offers the exact cover you need for the best possible price, so you can avoid over- or under-insuring yourself.