If you have more than one car in your household, you might have considered looking into multi-car insurance policies. You might not be aware that such a thing even exists, but if you have two or more vehicles it is worth looking into so here is a quick guide.
The Key Facts
A multi-car policy covers vehicles kept at the same address, and that is a crucial point to note. This means you do not have to be related, so house shares can benefit on the same basis as families, partners or anyone living at the same house. Most policies cover up to five vehicles, but if you have more, it is worth asking. You can own all the cars yourself, or they can belong to any of the people at the address, and the idea is you will benefit from a discount by having them all on one policy.
In general, you can expect to get around 20% or more off your premium price when compared to individual policies; you will cut down on the admin and paperwork with a single application. If you have different renewal dates at the moment, this doesn’t matter as you can just schedule each car to join the policy when the renewal becomes due.
Most multi-car policies are flexible, which means you may not have the same level of cover on all vehicles. In this case, each policy still stands on its own merits, so if you want fully comprehensive and someone else wants third-party, fire and theft that is fine. You can still tailor each policy to the vehicle without impacting anyone else’s cover. Other companies might want all cars to be fully comprehensive, and while this is considered to be the most expensive option, it is one that most people do opt for, again you will need to look around to see who offers what you need. Be sure that there is nothing to link no-claims in the small print, you want to be entirely sure that each policy does not affect the other and it should be the case.
Before committing, it is still worth getting quotes for all of the vehicles individually and then comparing the cover, you are being offered. It is often an excellent way to save money, but it is not guaranteed with so many different companies now in the car insurance arena competition can be fierce. Again, with all insurance, you need to check what is being offered and if they are trying to sneak in extras, you don’t want or need. You need to weigh up the cost of things like windscreen cover, breakdown and legal cover against the likelihood of needing them. It is worth spending the time shopping around and remember you will need the full details of each vehicle, owner and driver to get your accurate quotes. Each driver will also need to provide a precise estimate of their annual mileage.