What is the Green Card Insurance System?
If you're planning to drive across European borders, understanding the Green Card system is essential. The Green Card (officially known as the International Motor Insurance Certificate) is an internationally recognized document that proves you have the minimum compulsory motor insurance required by the laws of the countries you visit.
This system was established in 1949 and is managed by the Council of Bureaux, which coordinates the activities of the national insurance bureaus across participating countries. Currently, the Green Card system covers 48 countries, including all European Union member states, EEA countries, and several neighboring countries including Russia, Turkey, and countries in the Middle East and North Africa.
The Purpose of the Green Card
The Green Card serves three main purposes:
- It guarantees that victims of accidents involving foreign vehicles receive compensation according to the national laws of the country where the accident occurred
- It eliminates the need for motorists to purchase additional insurance coverage at borders
- It facilitates the movement of vehicles across international borders by removing insurance-related barriers
How the Green Card System Works
When you drive your vehicle into another country that participates in the Green Card system, your Green Card serves as proof that you have valid insurance coverage that meets the minimum requirements of the country you're visiting.
Each participating country has a national bureau that handles claims involving foreign vehicles. If you're involved in an accident abroad, the local bureau will manage the claim according to local laws, regardless of whether you were at fault or a victim.
Key Features of the Green Card System
- Mutual Recognition: Participating countries agree to recognize Green Cards issued by insurance companies in other member countries
- Minimum Coverage Guarantee: The Green Card guarantees the minimum legal coverage required in the visited country, not necessarily the coverage level from your home country
- Claims Handling Network: A network of national bureaus ensures that claims can be settled efficiently regardless of where an accident occurs
- Frontier Insurance: For vehicles from non-participating countries, temporary insurance (known as frontier insurance) can be purchased at borders
How to Obtain a Green Card
In most European countries, including Sweden, obtaining a Green Card is straightforward:
- Contact your insurer: Most insurers will issue a Green Card free of charge upon request
- Provide vehicle details: You'll need to provide your vehicle registration information
- Processing time: Typically, insurers can issue a Green Card immediately or within a few days
- Validity period: Green Cards are usually issued for the duration of your policy but can also be issued for shorter periods if needed
It's important to request your Green Card well in advance of your journey to avoid any last-minute complications.
Changes to the Green Card System in 2021
A significant change to the Green Card system was implemented in July 2021, when the European Commission announced that the UK would remain part of the Green Card Free Circulation Area (GCFCA) despite Brexit. This means that vehicles registered in the UK can travel in the EU, EEA, Switzerland, Andorra, Bosnia and Herzegovina, and Serbia without carrying a physical Green Card document.
Additionally, since July 2021, Green Cards are no longer required to be printed on green paper and can be printed in black and white on regular white paper. They can also be presented in digital format (PDF) on electronic devices in many countries, although some countries still require a physical document.
The Green Card Free Circulation Area
Within the European Union and certain other countries (collectively known as the Green Card Free Circulation Area), the physical Green Card document is not required when traveling between these countries. The vehicle's registration plate serves as proof of insurance.
Countries in the Green Card Free Circulation Area include:
- All European Union countries (including Sweden)
- European Economic Area countries (Norway, Iceland, Liechtenstein)
- Switzerland
- Andorra
- Serbia
- United Kingdom (post-Brexit arrangement)
However, if you're traveling outside this area to other countries that participate in the Green Card system (such as Turkey, Russia, or Morocco), you will still need to carry a physical Green Card document.
Limitations and Considerations
Coverage Limitations
It's crucial to understand that the Green Card only guarantees the minimum legally required insurance in the country you're visiting. This is typically third-party liability coverage, which may be less comprehensive than your domestic policy.
For example, if you have comprehensive coverage in Sweden but are driving in a country where only third-party liability is mandatory, your Green Card only guarantees the latter. For full protection, you should check with your insurer about:
- Whether your comprehensive coverage extends to international travel
- If there are any geographical limitations to your policy
- Whether any additional coverage is recommended for specific countries
Validity Period
Green Cards typically have a validity period that matches your insurance policy. Always check the expiration date before traveling, especially for long trips that might extend beyond your current policy period.
What to Do After an Accident Abroad
If you're involved in an accident while driving abroad:
- Safety first: Ensure everyone's safety and call emergency services if needed
- Exchange information: Collect details from all parties involved, including:
- Names and addresses
- Vehicle registration numbers
- Insurance details
- Driver's license information
- Document the scene: Take photos of the accident scene and any damage
- File a police report: In many countries, this is mandatory, especially for accidents with injuries
- Contact your insurer: Notify your insurance company as soon as possible
- Keep all documentation: Retain all paperwork related to the accident, including police reports and medical records
Special Considerations for Swedish Drivers
If you're driving from Sweden to other European countries, here are some specific considerations:
Nordic Countries
When driving to Norway, Finland, or Denmark, you benefit from close cooperation between Nordic insurance companies. Claims handling is typically streamlined due to similar insurance systems and legal frameworks.
Russia and Eastern Europe
When traveling to Russia or Eastern European countries outside the EU, Swedish drivers should be particularly careful to ensure they have adequate coverage. Consider purchasing additional coverage for these destinations.
Motor Insurance Directives
Within the EU, Motor Insurance Directives ensure consistent minimum protection levels. However, compensation amounts and procedures can still vary significantly between countries. Swedish drivers, accustomed to high compensation levels at home, should be aware that compensation might be substantially lower in some EU countries.
Conclusion
The Green Card system plays a vital role in facilitating international road travel across Europe and beyond. For Swedish drivers and others planning cross-border journeys, understanding how this system works ensures you have proper insurance coverage and know what to do in case of an accident.
While the system has been simplified in recent years, especially within the Green Card Free Circulation Area, it's always advisable to check the specific requirements of your destination countries and consult with your insurer before traveling. This preparation helps ensure a smooth journey with adequate protection, regardless of where your European adventures take you.
