What is multi-car insurance?
Multi-car insurance policies are designed for people who have more than one car in the family.
Instead of having to keep track of different policies and renewal dates for different cars, a multi-car policy bundles all the policies with one insurer so they’re held together separately or combined into a single policy that renews at the same time.
Most providers offer a further discount for each car you bring to the policy (usually up to a maximum of five). So if you start the policy with two cars and then introduce a third car, the first and second car will have a discount applied to them as well at the third car.
Rather than cancelling your existing insurance policy, you can add new cars to the policy throughout the year as they reach their renewal date.
Despite the convenience, as with any policy there’s no guarantee that it’ll be the cheapest option for you. It’s always best to compare the combined cost versus prices for insuring each car separately.
Who is eligible for a multi-car policy?
In short, if there is more than one car in your household or family, then you’re likely to be eligible.
Some examples of people who could get a quote:
- Family home with more than one car
- A couple living together with two or more cars
- A couple who live at different addresses but each have a car
- A family who have children living away (but still UK residents) where the children have their own car
What happens to my renewal dates?
It can depend on the specific insurer but usually your policy renewal date starts with the first car you add to the policy.
After the first car, the renewal dates of any new cars added to the policy are synched to renew on the same day as the first car.
If you’re already part way through your multi-car policy, that may mean you pay a pro-rated amount for the new cars added until they reach the first car’s renewal date.
What happens to my no-claims bonus (NCB)?
With multi-car insurance, the main driver on the policy earns their own NCB. That means if you make a claim for an accident involving one driver, it doesn’t affect the other main drivers on the policy. However, if a named driver on your policy makes a claim, that could impact your no-claims-bonus.
Is multi-car insurance cheaper than a standard policy?
With discounts available from most providers, it can be a good way to save yourself some money. However, as with all car insurance policies, the potential savings you make will depend on your own circumstances and driving history as well as those of the other drivers listed on the policy.
You may still find it cheaper to purchase separate standalone policies for each of the cars you’re looking to cover.
Other ways to save on car insurance
- Add a named driver - if one of your family’s drivers is young or inexperienced, adding a more experienced named driver, such as a parent, to the policy could result in a fall in premiums.
- Increase your excess - You can cut your premiums by opting for a larger voluntary excess. If you agree to pay the first £250 of any claim rather than just the first £100, your policy could cost less. However, it’s always best to consider what you could afford if a car does get a bump – it’s a bit of a balancing act.
- Improve security - if your car is fitted with an alarm or immobiliser, it will be harder to steal. This should in turn lead to cheaper car insurance.
What you'll need to get a quote
For each car you're looking to insure, you'll need:
the number plate and/or the make and model
any existing renewal dates
You'll also need the details of each driver:
their name and DOB
any previous insurance claims they've made
any driving convictions they have
any existing no-claims bonus