How does family car insurance work?
Key takeaways
If several family members share one car, you can usually add them as named drivers - but the person who drives it most must be listed as the main driver
If your family has two or more cars, multi-car insurance may make them easier or cheaper to insure, but separate policies can still sometimes cost less
Young and learner drivers have several options, including their own policy, named-driver cover and specialist learner insurance, depending on how they use the car
How does family car insurance work?
Family car insurance isn't a specific type of policy. Instead, there are several ways to insure the cars and drivers in your family, depending on who owns each car, who drives it most and how many vehicles you need to cover.
Which type of car insurance does my family need?
The right type of car insurance for your family depends on how many cars your household has and who drives them.
Your situation | Cover to consider |
|---|---|
Several people regularly share one car | One policy with additional named drivers |
Your family has two or more cars | Multi-car insurance or separate policies |
A young driver mainly uses their own car | Their own car insurance policy |
A young driver occasionally uses your car | Named-driver or temporary cover |
A learner practises in your car | Named learner driver or learner-driver insurance |
Family members have very different cars or needs | Separate policies may offer more flexibility |
How can several family members share one car?
You can usually insure several family members to drive the same car by adding them as named drivers - your policy still has one main driver, and this should be the person who uses the car most.
Adding a driver can increase or reduce your premium depending on their age, experience, claims history and other details. An experienced driver may reduce the price of some younger drivers' policies, but this isn't guaranteed.
What is the difference between a main driver and a named driver?
The main driver is the person who drives the car most often, while a named driver, sometimes called an additional driver, is another person insured to use the car without being its main user. Named drivers don't necessarily have to live at the same address as the main driver, but insurers may have their own eligibility rules.
How much does it cost to add named drivers?
The cost of adding a named driver to your policy depends on a variety of factors, such as how much experience the other driver has. Here is the average cost our customers pay for a policy when adding drivers:
Number of additional drivers | Cost of comprehensive car insurance policy |
|---|---|
0 | £583 |
1 | £460 |
2 | £690 |
3 | £604 |
What is fronting?
Fronting is when someone is deliberately listed as the main driver even though another person actually uses the car most. This is a form of insurance fraud and can lead to a policy being cancelled or a claim being rejected.
For example, your child can be a named driver on your car if they only use it occasionally - but if they drive it more than anyone else, they should be declared as the main driver.
How can I insure several cars in my family?
You can insure several family cars separately or take out a multi-car policy. Multi-car insurance lets you arrange cover for two or more vehicles with the same insurer - depending on the provider, this may mean either:
Separate policies linked under one account, with different cover and excesses for each car
One policy covering several vehicles, where more of the terms are shared
Multi-car policies can be convenient and may sometimes offer a discount, but they're not automatically cheaper - you should compare the total multi-car price with separate quotes for each vehicle before choosing.
Do all cars on a family car insurance policy need to be kept at the same address?
Not always - some multi-car insurers require the vehicles to be kept at the same address, while others may cover immediate family members who live elsewhere, such as an adult child away at university. Remember to check your individual insurer's eligibility rules and requirements before buying.
Can everyone on a multi-car policy drive every car?
Not necessarily - multi-car insurance covers several vehicles, but that does not automatically mean every driver is insured to use every car. Check which drivers are named on each vehicle and make sure anyone who plans to drive a car is properly insured to do so.
How can I insure a young driver in my family?
The right option depends on whether the young driver mainly uses their own car or somebody else's.
If they have or mainly use their own car
They should normally have insurance that lists them as the main driver, although you may be able to add a parent or another experienced driver as a named driver. This can affect your premium, but adding somebody solely to try to reduce the price does not guarantee a saving.
If they regularly share your car
You can consider adding them as a named driver, provided they are not actually the car's main user.
If they only borrow your car occasionally
Adding someone permanently as a named driver isn't the only option - temporary car insurance can provide cover for a shorter period where the driver and vehicle meet your insurer's eligibility requirements.
How can I insure a learner driver in my family?
If a learner is practising in your car, they can either be added to your insurance as a named learner driver or take out separate learner-driver insurance. If they're added to your existing policy, a claim they make could affect your no-claims discount.
If they take out separate learner-driver cover, check with your provider whether a claim could affect the car owner's no-claims discount, and don't assume it will always be protected. If the learner practises in their own car, they must be the registered keeper and have their own insurance covering them as a learner driver.
Is family car insurance cheaper?
Not necessarily - the cheapest car insurance for you will depend on the drivers, vehicles and type of cover you need. Adding a named driver can make a policy cheaper or more expensive, while multi-car insurance may offer discounts for covering several vehicles with the same insurer - but separate policies can still sometimes work out cheaper overall.
It's always best to compare your options rather than assuming bundling will save money. When comparing quotes, look at your total premium as well as the excess, level of cover and any optional extras you need.
How does a no-claims discount work for family car insurance?
No-claims discounts usually belong to the policyholder who earns it rather than automatically being shared between family members. A named driver does not normally build their own transferable no-claims discount just by being added to somebody else's policy, although some insurers may recognise named-driver experience when offering future cover.
With multi-car insurance, how no-claims discounts work depends on the cover you take out. linked car insurance policies might let you and other drivers keep their own no-claims records, so check for sure before taking out cover or combining policies.
How can I compare car insurance for my family?
You should start by deciding whether you need to insure several drivers on one car or several cars across the family.
If your family shares one car, it might be better to compare standard car insurance quotes and add the family members who genuinely need to drive it as named drivers.
If your family has several cars, look at multi-car insurance with separate quotes for each vehicle - multi-car cover can make several policies easier to manage, but it won't always be the cheapest option.
With MoneySuperMarket, you can compare car insurance quotes by price and cover available for your family's circumstances.
Family car insurance FAQs
Can family members at different addresses share car insurance?
Sometimes - a named driver doesn't always have to live with the main driver, while some multi-car insurers also allow immediate family members at different addresses. Other providers require vehicles to be kept at the same household, so check with your provider to be sure.
Can my child stay on multi-car insurance at university?
Possibly - some multi-car insurers allow an immediate family member's car to remain covered while they live away from the main household, such as at university, while others require every vehicle to be kept at the same address.
Can a named driver use the car every day?
Yes, provided they are genuinely an additional driver. If they use the car more than the person listed as the main driver, the policy should be changed to reflect who actually drives it most.
Can I add my partner to my car insurance?
Yes, if your insurer accepts them as a named driver. Adding a partner can change your premium depending on their age, driving experience and claims or conviction history.
Will a named driver's claim affect my no-claims discount?
It can - if a named driver makes a claim on your policy, your no-claims discount may be affected unless it is protected or the insurer's terms say otherwise.
Is temporary insurance better for occasional family use?
It can be useful if a family member only needs to borrow a car for a short period, but for regular use, adding them as a named driver may be simpler - it's best to compare the cost and cover of both options.
Author
Mehdi Punjwani
Insurance specialist
Mehdi is a financial writer and editor with over six years of experience in personal finance. He has written for organisations and publications including Equifax, The AA, and USAToday, covering a...
Reviewer
Collette Shackleton
Content Writer
Collette is an experienced Content Writer at MoneySuperMarket, helping people make sense of money and insurance topics without the jargon. She shares her experience as a first-time Mum and top...
