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Family car insurance plans

Is it better for a family to be on one car insurance policy?

Sara Newell
Written by  Sara Newell
5 min read
Updated: 04 Mar 2024

We look at why it might be useful to add additional drivers or cars to your insurance policy, and how it could save you money.

When it comes to insuring your family's fleet, understanding your options is key to ensuring everyone is covered without breaking the bank. This guide explores the ins and outs of family car insurance, including multi-car policies, named drivers, and how to get the best deal for your household.

Understanding family car insurance

When you’re looking for family car insurance plans, it’s important to know that there is not a specific policy for this, but the term often used to describe insuring more than one person in a household on a single policy.

You can also insure more than one car on a single policy, known as multi-car insurance. This approach can simplify your insurance portfolio and potentially save you money.

Adding family members as named drivers

You can add other drivers to your car insurance policy as a named driver, so they will be insured to drive your car.

This is particularly beneficial for families with new drivers. For instance, it can be useful for younger drivers to be named drivers on their parents’ car insurance to avoid expensive premiums.

However, it’s important that you’re upfront with your insurance company on who the main driver is on a policy.

The main driver dilemma

The main driver is, quite simply, the person who is going to drive the car most of the time; it doesn’t necessarily have to be the owner.

By naming yourself as the main driver when it is in fact someone else, you will be committing what is known as car insurance fronting, which is illegal. Transparency with your insurer is crucial to avoid potential legal issues.

Impact on no-claims discount

Any no-claims discount belongs to the main driver named on a policy. If a named driver has an accident in your car and needs to make a claim, the claim will be on the main driver’s insurance.

This could potentially increase future premiums, so it's something to consider when adding drivers to your policy.

Family sat in the back of the car

Multi-car insurance policies

Multi-car insurance policies are a convenient way to insure multiple vehicles under one umbrella.

Whether you opt for linked policies, where each car has its own policy but all are linked under one name, or one policy for multiple cars, there are benefits and considerations to keep in mind.

The cheapest family cars to Insure

Insurers consider many factors when quoting a price on car insurance, from your driving history to where your car is parked when it is not being driven.

They will also look at the make and model of the car you want to insure. If you’re looking for a new car and a cheaper premium at the same time, it might be worth considering a different model.

Is it worth adding drivers or cars to my policy?

When you’re on the hunt for family car insurance plans, it’s worth noting that adding named drivers or opting for a multi-car policy may make your individual premium go up, but it will likely save money across all individuals as you won’t be buying individual policies.

However, it may be cheaper to have single policies if you’re considering adding a driver with a poor driving history or convictions.

The insurance group of each car on a multi-car policy will also be considered. Adding more expensive cars, like sports cars, or those in higher groups, will mean an increase to your premiums; but it might still be cheaper than insuring each car separately.

Finding the best deal for your family

The easiest way to find cheaper car insurance for named drivers is to compare quotes with MoneySuperMarket.

All you need to do is tell us a little about yourself and your driving history, as well as the same for any other drivers you’re adding to the policy.

Just choose ‘yes’ when asked if you would like to add any additional drivers. On MoneySuperMarket, you can include up to three additional drivers on your policy.

Safeguarding your family's journey

In the end, family car insurance is about finding the right balance between cost and coverage. Whether you're adding a teen driver to your policy or managing a multi-car household, understanding your options can lead to significant savings and peace of mind.

Remember to always be transparent with your insurer, consider the impact on your no-claims discount, and use tools like MoneySuperMarket to compare quotes and find the best deal. Safe travels on the road of life and insurance!

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