If you would like to learn about the process and procedures for purchasing a vehicle in Portugal, today, the Worldway immigration team is here to introduce the relevant information required for buying a car in Portugal.
Documents for purchasing a vehicle:
Foreigners can purchase vehicles registered in Portugal, but must possess at least one of the following documents:
1. Official residence permit
2. Proof of home ownership in Portugal (provide property deed)
3. A housing rental contract for at least one year
Vehicle taxes and fees:
Road tax must be paid annually on the anniversary of the vehicle's initial registration, and drivers must keep the receipt as proof of payment. For owners of vehicles registered before July 2007, taxes are calculated based on the age and engine capacity of the vehicle. For owners of vehicles registered after July 2007, the required taxes also take into account the vehicle's carbon dioxide emissions and engine power.
How to purchase car insurance:
The law requires all vehicles to have car insurance. Third-party car insurance is common in Portugal, and owners are required to display the insurance sticker provided by the insurance company on the windshield. Vehicles without valid insurance are subject to corresponding penalties.
In Portugal, it is the vehicle that is insured, not the driver. You may drive someone else's vehicle as long as you have written permission and the vehicle is already insured by the owner. Most towns have insurance brokers, as well as banks and supermarkets that offer car insurance. If you need to search for prices online, search for "seguro auto".
The insurance premium amount depends on various factors, such as the car brand and model, power, age, as well as the driver's age and driving experience. It usually also takes into account the driver's occupation and home address. Portuguese car insurance offers a no-claims bonus for good drivers who have had no accidents within three years, with the three-year period starting from the effective date of the insurance policy. The operating procedure depends on the type and amount of insurance, and some policies can offer discounts of 20%-45%.
Types of insurance:
1. Basic insurance (covers accidents involving second and third parties)
2. Liability insurance (covers accidents involving other vehicles and legal fees related to litigation)
3. Comprehensive insurance (covers almost everything)
4. Professional driver insurance (for drivers whose livelihood depends on driving, and to protect the driver's ability to operate a vehicle)
5. Personal financial loss or theft insurance
