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Second car insurance

The best way to insure a second car

Sara Newell
Written by  Sara Newell
5 min read
Updated: 01 Feb 2024

If you have more than one car, it’s understandable you want to keep insurance costs as low as possible. Rather than take out two separate policies, there could be a cheaper option…

Can I buy second car insurance?

When it comes to insuring a second car, many drivers wonder if there is a specific product known as "second car insurance." The truth is, while there isn't a policy with that exact name, there are multi-car insurance policies that serve a similar purpose. These policies allow you to cover multiple vehicles—often up to five—under one convenient policy. It's a modern solution for those who have more than one car parked in their driveway.

Two cars

How do multi-car insurance policies work?

Multi-car insurance policies are not all that different from standard single-car policies, except they extend the cover to several vehicles. This can be a more streamlined and potentially cost-saving option compared to holding separate policies for each vehicle. Multi-car insurance is ideal for various people including families with more than one car, couples, and even housemates, each with their own set of wheels.

Who is best suited to a multi-car insurance policy?

If you're contemplating whether a multi-car policy is right for you, consider the following scenarios where these policies shine:

  • Families with multiple cars: Keeping all vehicles under one policy can simplify management and may lead to discounts.

  • Multiple car owners: For those who own more than one car, this policy keeps everything under one roof.

  • Partners with individual cars: A great way to consolidate insurance for both cars, potentially saving time and money.

  • House-shares: When multiple roommates at one address each have a car, a multi-car policy could be a smart move.

What are the requirements for a multi-car insurance policy?

Before you jump into a multi-car insurance policy, there are certain prerequisites to keep in mind:

  • All the cars need to be registered at the same address.

  • The vehicles should be standard passenger cars.

  • Liability coverage is a must-have for all the cars on the policy.

  • In some cases, insurers might stipulate that all the cars be owned by a single person.

Can I save money with a multi-car insurance policy over a second car insurance policy?

One of the main appeals of multi-car policies is the potential savings. Insurers often provide discounts when you add a second or subsequent vehicle to an existing policy. However, getting a discount isn’t always guaranteed. There might be times where it’s better to buy a second car insurance policy, so it is always worth comparing single-car quotes as well.

For instance, separate policies might work out cheaper if:

  • Your household includes a young or high-risk driver.

  • You own a classic car that necessitates specialised coverage.

  • One car falls into a much higher insurance group than the other.

Remember, even if you take out separate policies, you might still be offered a discount, as long as it’s with the same insurer. Read more on saving money with multi-car insurance.

What about my no claims bonus?

For those who own multiple cars, using a no-claims bonus on both vehicles within the policy might be an option, potentially lowering premiums. But, be aware that if you add named drivers to the policy and they are responsible for making a claim, this could affect your no-claims bonus.

Can I drive another car on the multi-car insurance policy?

Yes, if you are a named driver on the policy, you are legally allowed to drive the other cars that are included. However, it's important to note that driving a car you're not named on is against the law and could lead to serious penalties.

What are the drawbacks to a multi-car insurance policy?

It's not all savings and simplicity with multi-car policies. There are some potential downsides to consider:

  • The cost may be higher than insuring cars individually.

  • Policies typically require the same level of cover for all vehicles, which may not suit your needs. This means you likely won't be able to mix and match coverage types, for example, having a fully comprehensive policy for one car and a third-party policy for another.

  • Changing to a multi-car policy mid-term could result in cancellation fees and losing a year's no-claims bonus.

Do renewal dates have to be aligned?

One of the conveniences of multi-car policies is that they often align renewal dates for all vehicles. This can make the administrative side of car insurance much easier to handle. Insurance providers usually offer assistance in aligning your policies when adding new vehicles, though terms can vary.

Compare car insurance

Deciding between multi-car and second car insurance policies starts with comparison. If you have more than one car, the easiest way to decide whether you’ll benefit most from taking out a multi-car or second car insurance policy is by comparing quotes.

For those interested in multi-car insurance, we recommend checking out our preferred partner Admiral. By clicking through to their website and providing a few details about yourself, your cars, and the coverage you need, you can quickly obtain a quote tailored to your situation.

In the end, whether you opt for multi-car insurance or separate policies for each vehicle, the goal is always to find the balance between adequate coverage and cost-effective premiums. With careful consideration and the right information, you can navigate the insurance landscape to secure the best deal for your vehicular family.

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