How much does car insurance cost in Spain?
A clear overview of typical prices, what affects your premium, and how to avoid paying too much as an expat in Spain.
Quick answer
Most expats in Spain pay between €350 and €750 per year for car insurance, depending on car value, age, no-claims history, and where they live.
- Third-party only: from ~€200/year
- Full comprehensive cover: typically €450–€900/year
- Urban areas and younger drivers pay more
- Non-residents with UK plates often pay 20-30% more
What affects car insurance cost in Spain?
Several key factors determine how much you'll pay for car insurance in Spain. Understanding these can help you get a more accurate idea of your likely premium and identify ways to reduce costs. If you're a non-resident, check our specific guide on non-resident car insurance for additional considerations.
2026 Car Insurance Price Guide by Vehicle Type
These prices reflect typical annual premiums for expats with 3+ years no-claims, aged 30-60, in residential areas. Urban centres and under-25s pay more.
Small Car
Fiat 500, Toyota Aygo, Seat Mii
Mid-size Car
VW Golf, Ford Focus, Seat Leon
Premium/Large
BMW 3 Series, Audi A4, Mercedes C-Class
UK Plates
Non-resident surcharge applies
Add 20-40% to above prices
Limited insurer choice
Specialist broker recommended
Important Notes on Pricing
- • Prices are annual premiums, not monthly
- • Based on 2025-2026 market data from multiple insurers
- • Actual quotes depend on individual circumstances
- • F&T = Fire & Theft cover added to third-party
1. Your car's value and age
Newer, more expensive cars cost more to insure because they're worth more to replace. A 2020 BMW will cost significantly more than a 2010 Seat Ibiza. However, very old cars (15+ years) may also see higher premiums because replacement parts can be harder to find.
2. Where you live
Location makes a big difference. Urban areas like Madrid, Barcelona, and Valencia have higher premiums due to increased theft risk and accident rates. Rural areas and smaller coastal towns typically have lower rates. Parking in a secure garage rather than on the street can also reduce your premium.
Regional Price Variations in Spain
Where you live significantly impacts your premium. Here's how different regions compare for the same car and driver profile.
Higher Premium Areas
- Madrid (city centre)+20-30%
- Barcelona+20-25%
- Valencia (city)+15-20%
- Seville+10-15%
- Málaga (Costa del Sol)+10-15%
Higher theft rates, traffic density, and accident frequency drive up costs.
Lower Premium Areas
- Rural Andalucía-15-25%
- Extremadura-15-20%
- Castilla-La Mancha-10-20%
- Small coastal towns-5-15%
- Galicia (rural)-10-15%
Lower population density, less traffic, and lower theft risk reduce premiums.
3. Your age and driving experience
Drivers under 25 and over 70 generally pay more. The sweet spot for lowest premiums is typically 30-60 years old with at least 5 years of driving experience. If you're a new driver, expect to pay 40-60% more than an experienced driver.
4. Your no-claims bonus
A no-claims bonus (or discount) from the UK or another country can significantly reduce your premium. Five years claim-free can reduce costs by 30-50%. Make sure to get a certificate from your previous insurer before moving to Spain.
5. Type of cover you choose
Third-party only (terceros) is the cheapest but only covers damage to others. Comprehensive (todo riesgo) costs more but covers your car too. Many expats choose a mid-tier option that includes windscreen cover and fire/theft protection, which offers good value.
Understanding Insurance Tiers in Spain
Spanish car insurance comes in several tiers. Here's what each level covers and who it's best for.
Terceros (Third-Party Only)
From €200/year
Included
- • Third-party liability
- • Basic legal assistance
- • Occupant injury cover
- • Basic breakdown assistance
Not Included
- • Own vehicle damage
- • Fire and theft
- • Windscreen
- • Natural disasters
Best For
- • Older cars (10+ years)
- • Low-value vehicles
- • Second cars used rarely
- • Tight budgets
Terceros Ampliado (Extended Third-Party)
From €350/year
Included
- • All third-party benefits
- • Fire damage
- • Theft (partial or full)
- • Windscreen cover
- • Natural disasters
Not Included
- • Own-fault collision damage
- • Vandalism (usually)
- • All-risks cover
Best For
- • Cars 5-10 years old
- • Moderate value vehicles
- • Good value/protection balance
- • Parking on street
Todo Riesgo (Comprehensive)
From €500/year
Included
- • All extended third-party benefits
- • Own-fault collision damage
- • Vandalism
- • Enhanced breakdown cover
- • Replacement vehicle
- • Full legal protection
Check Policy
- • Excess amounts vary
- • New-for-old replacement
- • Driver injury cover level
- • European travel cover
Best For
- • New or nearly new cars
- • Financed/leased vehicles
- • High-value cars
- • Peace of mind
Todo Riesgo con Franquicia (Comprehensive with Excess)
From €400/year
Included
- • All comprehensive benefits
- • Lower annual premium
- • Same coverage scope
Excess Applies
- • €150-€300 typical excess
- • Paid on each claim
- • May not apply to windscreen
Best For
- • Experienced drivers
- • Claim-free history
- • Budget-conscious but want full cover
Typical car insurance costs in Spain
Here's what most expats actually pay, based on real quotes from 2024-2025. These are annual premiums:
- Small city car (e.g., Fiat 500, Toyota Aygo): €250-€450/year for third-party, €400-€650/year for comprehensive
- Mid-size family car (e.g., VW Golf, Ford Focus): €350-€600/year for third-party, €550-€850/year for comprehensive
- Larger or premium car (e.g., BMW 3 Series, Audi A4):€500-€900/year for third-party, €800-€1,400/year for comprehensive
- Non-resident with UK plates: Add 20-40% to the above figures, depending on the insurer and your circumstances
These are rough guides only. Your actual premium depends on all the factors mentioned above, plus your specific car model, your claims history, and the insurer you choose.
Hidden Costs and Fees to Watch For
The headline premium isn't always the full story. Be aware of these additional costs that can affect your total spend.
Additional Costs to Consider
- Monthly payment interest: Paying monthly typically adds 5-10% to your annual cost. If possible, pay annually to save €40-€80.
- Policy administration fees: Some insurers charge €15-€30 for policy changes, address updates, or adding drivers.
- Cancellation penalties: Cancelling mid-term may incur fees of €50-€100 plus pro-rata adjustment. Check before switching.
- Compulsory excess (franquicia): Some "cheap" policies have high compulsory excesses (€500+) that make claiming expensive.
- Non-approved repairs: Using non-network garages may result in reduced claim payments or denied claims.
Price vs Value
The cheapest policy isn't always the best value. Consider the total cost of ownership:
- • Lower excess = higher premium but less out-of-pocket at claim time
- • Quality breakdown cover can save €100+ if you need it
- • Better legal protection limits protect against expensive disputes
- • Network garage agreements mean faster, guaranteed repairs
Ways to reduce your car insurance cost
Even if you can't change your age or car, there are several practical ways to lower your premium:
Provide proof of your UK no-claims bonus
Get a certificate from your UK insurer showing your years of claim-free driving. This is one of the single biggest ways to cut costs. Some insurers may require it to be translated into Spanish by an official translator.
Increase your voluntary excess
Agreeing to pay a higher excess (deducible) in the event of a claim can reduce your premium by 10-20%. Just make sure you can afford the excess if you do need to claim.
Park securely
If you have access to a locked garage or secure parking, tell your insurer. This can reduce theft risk and lower your premium, especially in urban areas.
Pay annually instead of monthly
Paying your premium in one lump sum rather than monthly installments usually saves 5-10% because insurers charge interest on monthly payments.
Compare multiple insurers
Prices vary widely between insurers. The same cover for the same car can differ by €200-€400/year. Using a broker who works with multiple insurers can help you find the best deal without spending hours comparing quotes yourself.
Choosing the Right Cover Level
Not sure which tier to choose? Here's a practical decision guide based on your car's age and value.
Third-Party Only
Choose this if:
- Car value under €3,000
- Vehicle is 12+ years old
- You'd write off rather than repair
- Budget is the priority
Extended Third-Party
Choose this if:
- Car value €3,000-€10,000
- Vehicle is 5-12 years old
- Theft/fire risk concerns you
- Best value for mid-range cars
Comprehensive
Choose this if:
- Car value over €10,000
- Vehicle is under 5 years old
- Car is financed/leased
- You want complete peace of mind
Common mistakes that increase costs
Avoid these common errors that can push up your premium or lead to rejected claims:
- Not declaring modifications: Even minor changes like alloy wheels or a tow bar must be declared. Failing to do so can void your policy.
- Underestimating annual mileage: Be realistic about how much you'll drive. Insurers may reject claims if you significantly exceed your declared mileage.
- Assuming your UK policy covers you long-term: Most UK policies only cover you abroad for 90 days. After that, you need Spain-specific cover.
- Not updating your address: If you move from a rural area to a city, your insurer needs to know. Your premium may increase, but not telling them can void your policy.
Next steps
Now you have a realistic idea of what car insurance costs in Spain and what affects your premium. The best way to find out your actual cost is to get quotes from multiple insurers, providing accurate information about your car, your driving history, and your no-claims bonus.
If you're not sure which level of cover you need or want help comparing insurers, speaking to a broker who specializes in expat insurance can save you time and often money too. Check our guide on insuring a car without Spanish plates if you're still driving on UK registration.
Key Takeaways
- Most expats pay €350-€750/year
- UK no-claims bonus transfers to Spain
- Location significantly affects price
- Pay annually to save 5-10%
- UK plates add 20-40% to premiums
- Extended third-party is good value for older cars
- Always declare modifications
- Compare quotes from multiple insurers
Expert reviewed
Written and reviewed by licensed insurance agents Maya Kallio and Marco Elsinger, who have helped over 15,000 expats in Spain since 2012.
Maya Kallio
Licensed Insurance Agent
Since 2012
Marco Elsinger
Licensed Insurance Agent
10+ years
Languages: English, Finnish, Spanish, German, Swedish
Frequently asked questions
Still have questions? Check these answers or get in touch.
Is car insurance expensive in Spain compared to the UK?
Car insurance in Spain is generally cheaper than in the UK. Most expats find they pay 20-40% less for equivalent cover, especially if they have a good no-claims bonus and are over 30. However, non-residents with UK plates may not see the same savings.
Why is my car insurance quote so high as a non-resident?
Non-residents typically pay higher premiums because insurers view them as higher risk. You may be driving an unfamiliar car on unfamiliar roads, and claims history from the UK isn't always transferable. Once you become a resident and register your car in Spain, premiums usually drop.
Can I use my UK no-claims bonus in Spain?
Yes, most Spanish insurers will accept a UK no-claims bonus certificate. You'll need a letter from your UK insurer stating your years of claim-free driving. This can significantly reduce your premium, sometimes by 30-50%.
What's the difference between third-party and comprehensive cover?
Third-party (terceros) covers damage you cause to others but not your own car. Comprehensive (todo riesgo) covers your car too, including theft, fire, and vandalism. There are also mid-tier options that add windscreen cover or fire and theft protection.
Do I need additional cover if I have UK plates?
If you have UK plates, make sure your policy explicitly covers driving in Spain and includes legal assistance. Some UK policies only cover you for 90 days abroad. You may need a Spain-specific policy or a specialist non-resident policy.
How can I reduce my car insurance cost in Spain?
To lower your premium: provide proof of your no-claims bonus from the UK, increase your voluntary excess, park in a secure garage if possible, avoid modifications to your car, and compare quotes from multiple insurers. Also consider paying annually rather than monthly.
What is the average car insurance cost in Madrid or Barcelona?
Major cities have higher premiums due to increased theft and accident rates. In Madrid or Barcelona, expect to pay 15-25% more than in smaller towns. A mid-size car with comprehensive cover typically costs €550-€900/year in these cities.
Are electric cars cheaper to insure in Spain?
Not necessarily. While some insurers offer discounts for eco-friendly vehicles, electric cars often have higher repair costs and replacement parts are expensive. Battery damage cover is also important. Overall, EVs tend to cost similar or slightly more to insure.
What happens to my premium if I make a claim?
Making a claim typically increases your premium at renewal by 10-30%, depending on the claim type and value. You'll also lose some or all of your no-claims bonus. Minor claims (under €500) may not be worth making if you have a large bonus to protect.
Can I get monthly car insurance in Spain?
Yes, most insurers offer monthly payment options, but this costs more overall due to interest charges (typically 5-10% more than annual payment). If you can afford it, paying annually saves money.
Is breakdown cover included in Spanish car insurance?
Basic breakdown cover (asistencia en carretera) is included in most Spanish policies, but coverage varies. Basic policies may only cover towing to the nearest garage, while comprehensive policies often include home-start, European cover, and replacement vehicle.
Do I need legal protection insurance (defensa jurídica)?
Legal protection is highly recommended in Spain, especially for expats. It covers legal costs if you're involved in a dispute after an accident. Many comprehensive policies include it, but check the coverage limits (€15,000-€30,000 is standard).
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