Car insurance in Spain: All you need to know!
If you have successfully registered your vehicle in Spain or are buying a car there, you will need Spanish car insurance (“seguro de coche”).
This guide helps you to find the right car insurance in Spain.
What types of vehicle insurance are there in Spain? What do they cover and how much do they cost?
You will also get valuable tips that are important when taking out Spanish vehicle insurance.
Here you can find a suitable car insurance policy for your vehicle:
Do vehicles have to be insured in Spain?
Yes, vehicle insurance is compulsory in Spain.
Every owner of motor vehicles usually parked in Spain is obliged to take out and maintain an insurance policy for each vehicle (e.g. car, motorbike) belonging to them. Art.2 RD 8/2004
When has the vehicle its usual location in Spain?
It is assumed that the vehicle is usually parked in Spain when it is:
- provided with a Spanish registration plate/number plate (“matrícula”), regardless of whether it is a permanent or temporary registration.
- a type of vehicle for which there is no official licence plate but which bears a plate similar to the number plate or a plate issued in Spain.
- a type of vehicle for which there is no registration plate, insurance plate or similar plate and Spain is the country of residence of the user.
- a vehicle imported from another Member State of the European Economic Area, for a maximum period of 30 days from the date on which the buyer took delivery of the vehicle, even if it does not have Spanish number plates.
What car insurance is required in Spain?
If you register your car in Spain and get a Spanish number plate, then you need to take out Spanish car insurance.
Vehicle insurance in Spain must at least cover third-party liability (“responsabilidad civil”) up to the amount of the compulsory insurance sum.
What if I only use the vehicle occasionally?
Even if a vehicle is not moved or is not moved frequently, it is a legal requirement to take
out insurance that at least covers third-party liability.
In this sense, the law does not differentiate according to the intensity or frequency of use of
the vehicle, as this minimum coverage is required regardless of whether you drive daily or
only occasionally.
Drivers who only use their vehicle a little can take out mileage-based car insurance, where
the premium is based on the number of kilometres driven per year.
However, it is possible to temporarily and voluntarily deregister the vehicle with the traffic
authority (“Dirección General de Tráfico” – DGT), which exempts the vehicle from the
obligation to take out third-party liability insurance and pay road tax.
What is the penalty for driving without insurance in Spain?
If your vehicle is not insured, this has the following consequences (Art. 3 RD 8/2004):
- The driving ban on Spanish territory
- The confiscation or public sealing of the vehicle at the expense of the owner until the insurance is completed
- A fine in the amount of 601 to 3,005 euros, graduated according to certain criteria (e.g. according to the duration of the missing insurance).
What types of car insurance are there in Spain?
When choosing the best car insurance in Spain, it is definitely important to be aware of the different types of automobile insurance at the outset.
Although there are insurance policies of all kinds and with different names, there are generally 3 types of car insurance (“seguros de coche”), which include a range of cover:
- The basic third-party liability insurance (“Seguro de coche a terceros básico”)
- Extended liability insurance or liability insurance with glass, fire and theft cover (“Seguro de coche a terceros ampliado o a terceros con lunas, incendio y robo”)
- Fully comprehensive insurance with or without excess (“Seguro de coche a todo riesgo con o sin franquicia”)
In addition to these conventional car insurance policies, there are several special forms that you can take out. The most important of these are Insurance for electric cars, classic cars, young people, new drivers and temporary car insurance.
Each insurance company works out its policies according to its own criteria, so you won’t always find the same cover for every type of car insurance.
1.) Car third-party liability insurance
Compulsory liability insurance covers damage (up to the amount of the mandatory cover) caused to other persons and vehicles in the event of an accident.
It primarily covers the minimum level of liability prescribed by the Insurance Contract Act in order to be able to drive a vehicle.
However, under no circumstances does it compensate for damage to the driver’s own vehicle or for personal injuries sustained in the accident.
Basic car third-party liability insurance is the cheapest option and also offers the insured person the least coverage.
What insurance cover does third-party liability insurance provide?
In addition to the obligatory third-party liability (“Responsabilidad civil obligatoria”), this
insurance is usually supplemented by the following benefits:
- Voluntary third-party liability (“responsabilidad civil voluntaria”): If the amount of compensation exceeds the amount of compulsory insurance, the remaining amount is covered by voluntary insurance
- Break down service (“asistencia en viaje”): recommended from kilometre 0 and for all vehicle occupants
- Legal cost insurance (“protección jurídica”): very useful if you need legal assistance to claim compensation in the event of an accident.
- Driver’s insurance (“seguro del conductor”) for the damage we suffer as drivers. In the event of disability or death, compensation is paid up to a certain amount. Sometimes medical care is also included.
Furthermore, guarantees are often included, such as
- Appeals against fines (“Reclamación o defensa de multa”)
- Driving licence withdrawal (“retirada de carné”): You will receive payments for the Re-obtaining the driving licence.
- Free choice of garage (“libre elección de taller”): So that you can choose the garage you want to take your vehicle to in the event of an accident.
- Replacement vehicle (“Vehículo de sustitución”): in the event of a breakdown, an accident or a theft. Pay attention to the number of days you have the courtesy car at your disposal.
- Collision with wild animals (“Colisión con animales cinegéticos”): Repair of damage to the vehicle caused by a collision, worth considering depending on the region
You can only find out from the respective insurance company exactly which guarantees are included in car third-party liability insurance and which are optional extras.
Car third-party liability insurance with glass (“Seguro de coche a terceros con lunas”)
Some insurance companies offer this type of insurance, which also covers the repair and replacement of glass in the event of glass breakage.
This insurance is generally recommended, as you are protected in this respect for just a few euros more per year. The cost of repairing or replacing windows is much higher than the price difference between insurance with glass and insurance without glass.
This car third party liability insurance is of interest to those who frequently drive on roads or tracks in poor condition.
2.) Extended car liability insurance
It includes the same cover as the previous liability insurance, but supplements or improves it with additional attractive guarantees for the user.
The most common type of extended automobile liability insurance covers broken windows (“lunas”), car theft (“robo”) and vehicle fire (“incendio”).
Extended car third-party liability insurance is one of the best options if your car is more than eight or ten years old.
3.) Comprehensive car insurance
a) Fully comprehensive insurance without excess:
Comprehensive insurance includes all the cover offered in third-party liability insurance and extended third-party liability insurance as well as the so-called comprehensive cover, i.e. damage to your own vehicle caused by your own fault.
This comprehensive coverage can range from minor damage to the car (scratches, dents, etc.) to more serious cases such as the total loss of the vehicle.
Fully comprehensive insurance without an excess offers the best coverage, but is also the most expensive form of car insurance.
This type of insurance is primarily intended for those who want to insure a new car of high value.
b) Fully comprehensive insurance with excess:
It is similar to the fully comprehensive insurance mentioned above, with the difference that it includes an excess to be paid by the insured person in the event of a claim. The rest is covered by the insurance provider.
Before you take out this car insurance, you should find out about the amount of the excess.
How do I choose the right type of car insurance?
The best way to choose your car insurance in Spain is to use an online comparison calculator (“Comparador de Seguros”).
After entering your details, you can find out what the price and benefits will be in relation to the offers from the individual insurance companies and obtain a car insurance quote.
However, you should bear in mind that the online quote is often only an estimated price and the final price will only be calculated later during a consultation with the insurance company.
Furthermore, every insurance company has a calculation tool on its website for calculating the price of car insurance.
After completing the form, the company will provide you with a car insurance quote for any type of policy that can be taken out.
The best way to find suitable car insurance for your vehicle is to get personal advice here in English:
International insurance for all your needs:
Important notes for taking out car insurance
Here are some tips to help you choose the right car insurance for your vehicle:
Don’t just look at the price.
Firstly, pay attention to the type and extent of the insurance cover that you want or that meets your needs. Depending on this, you will have to decide between third-party liability and fully comprehensive insurance.
Fully comprehensive insurance is more advisable if you own a high-quality car or if your vehicle is no more than six or eight years old.
If your car does not fulfil these requirements (e.g. an older used car), then you should opt for third-party liability insurance, preferably extended to include theft, fire and glass breakage if you use your vehicle frequently and regularly.
If you can, take advantage of the discounts that car insurance companies usually offer if you already have a policy with that company.
To find the best car insurance company on the market, you should look at the complete package and not just one particular aspect.
You should therefore carefully analyse the type of policy you take out.
What influences the price of my car insurance?
The price or premium of car insurance in Spain depends on several criteria that affect both the vehicle and the driver.
Some of the most important are:
- Model, make and power of the insured vehicle
- Age of the vehicle: The older the vehicle, the greater the risk of breakdowns and unforeseen events and the higher the risk level.
- Parking location of the vehicle: Garage or on the street
- Driver type: Depending on the age of the insured person and his/her driving experience
- Claims and driver fines: If an insured person has many fines or events of damage, it is considered riskier to insure them and the insurance becomes more expensive.
- Frequency of car use: The number of kilometres driven is decisive for the costs of your car insurance.
- Place of residence: The price of your policy will be more expensive if you live in a place that is more affected by weather phenomena or where there is a high crime rate.
- Type of car insurance: Fully comprehensive insurance is of course more expensive than liability insurance.
How much does it cost to insure a car in Spain?
The price of car insurance ranges from around 150,- € to 2.000,- € per year, depending on the insurance company, the factors mentioned above, the type of insurance and the additional services you add.
What documents do you need for car insurance in Spain?
In general, the following documents are required to take out Spanish car insurance:
Driving licence: It must be valid and issued in any country of the European Union. You can find out when you need to have your driving licence exchanged in Spain in my specialist article.
NIE: As a non-Spaniard, you always need the NIE number.
Permiso de circulación: Vehicle Registration Certificate providing proof of registration of a vehicle and containing the owner’s details.
Ficha técnica del vehículo: It contains all the technical data of the vehicle.
Tarjeta de la ITV: This document is only required for used vehicles and shows that the vehicle is up to date with the latest roadworthiness test.
