Can one driver get insurance for two cars? Yes, you can insure more than one car for a single driver. Most insurance providers will allow up to four cars on a single policy for the non-fleet car owner. Bundled policies can keep this from getting too expensive; however, there are other ways to bring the costs down depending on the type of cars that are being insured.
If you want both cars on one policy, the average insurance cost for two cars will get a 10% – 25% discount. The more cars you add the less it typically will be compared to getting separate policies.
Insurance is a complicated, complex topic for many reasons. Because insurance coverage requirements can vary from state to state and because limits and laws can also be so diverse, it is always best to search for the best possible prices.
Most car insurance companies offer discounts for insuring at least two cars on the same policy. Comparison shopping is important because discounts for more than one car will differ by company.
Different Scenarios to Save Money
1) You have a weekend car. One option for a person with more than one car to insure is to consider the amount of time spent in the car or the distance it is driven on average. Perhaps you have one car that you drive to and from work every day and another that you only use on the weekends. The weekend car is only being driven short distances, and it seems like a waste of money to pay insurance at the same rate as the work car.
The option here is called pay by the mile, and as the name implies, you pay your insurance based on how much you drive that vehicle. Once you start driving more frequently, it would not make sense to keep this type of policy.
2) You bought a new car. You may have just bought a new car and aren’t ready to get rid of your old car yet. It will probably be smarter to have more coverage for your new car. This will include liability, collision and comprehensive. It will most likely be more costly to repair your new car in the case of an accident.
For your older car, you might decide to save money and only get liability coverage. This should cover bodily injury and property damage. If you get in an accident, insurance won’t cover the cost to repair your car if it is damaged. It also won’t cover things like theft, natural disasters, animal collisions and falling objects among other things.
3) One of your cars is a classic car. Many companies will allow you to add a classic car and your vehicle to one policy. A classic car can also be insured on a separate policy, especially if it is only driven on rare occasions. This policy will still protect it from theft, flood, and fire while it is being stored. If your policy is written specifically for storage and you drive the vehicle, you will be faced with the expense of all repairs as well as potential fines, legal fees, and more. If you injure or kill someone in the vehicle without adequate insurance, you could face very serious legal charges, which could include jail time.
Remember, in some states, you will have to report a lapse in coverage as well as return the license plate to that vehicle if you simply cancel insurance coverage for a set period. It may also be harder to get a new policy for the vehicle if it has been without coverage for an extended period of time.
4) You have seasonal vehicles. You may drive your convertible in the summer and your SUV in the winter. This would be a perfect situation to get both vehicles insured under one policy.
Can Two People Insure the Same Car?
A different situation would be when there are two insurance policies that cover the same car. This may happen when a couple wants to keep their own coverage on a jointly owned car; however, this can be risky as well as a waste of money. It would be cheaper and offer the same coverage to choose the policy with the best terms and lowest premium rather than keeping both policies in place.
Having two policies on one car may also open you up to the risk of insurance fraud and a violation called “unjust enrichment.” This happens when someone has a covered loss and tries to file claims with two separate policies on the same vehicle. This could be punishable by steep fines and could even lead to jail time.
Another situation where two people may be trying to cover the same car is with an older teen driver who is getting their first insurance policy and the parents who are worried that the coverage is not going to be enough. If the policy is being written for a car that is driven by everyone in the family, it should be a multi-driver policy listing everyone who might drive that vehicle at any time. If the policy is for a vehicle that is owned by the teen, it may be beneficial (but not less expensive) for the teen to be the sole person on the policy. This should be the only policy on this particular vehicle because of the risk of legal violations. If the parent has concerns, they should review the policy with their own agent before it is finalized. If the teen is under 18 and still living at home, they may need to be excluded from the parents’ policy as well. Do not do this if the teen ever borrows the family car however.
In some states, double coverage for a single vehicle will not even be written by the same company. In that case, you would have to shop around for another policy with another company. If you are asked if there is coverage in place on the car already and answer no, you could be charged with insurance fraud. If you have any concerns about the type or amount of coverage, it is better to discuss those concerns with an agent so that you can get the right amount of protection at a good price without exposing yourself to potential fines and more.
Depending on the level of fraud (soft fraud vs. hard fraud), the charge would likely be a misdemeanor in most states and would probably result in a fine and possible probation for a set period. Jail would be an option but only in extreme cases, and it would be less than five years. Remember, you can commit soft fraud without intending to do so and without even realizing it, so carefully review your statements on your policy application before signing anything. Always be truthful when looking for a quote as well as when you are speaking to an insurance agent so that you can avoid any problems.