Is it possible to have several auto insurance policies at the same time?

0

Securing your car with the right car insurance policy happens to be a priority when buying a new vehicle.

In addition, Canadian law requires that you carry liability insurance. Naturally, you would get multiple car insurance quotes from different insurers. In the end, you will settle for the policy that offers maximum coverage at affordable costs.

Now you might be wondering, “can you have multiple car insurance policies for the same vehicle?”. We have you covered in this article, providing you with the most relevant explanations.

If you want to buy a car in Canada, click on here to get multiple car insurance quotes from Surex’s insurance experts.

Is it legal to have several insurance policies at the same time?

Yes, it is legal in Canada to have two insurance plans for the same car. However, you must purchase two policies from different insurers, as the same company will not insure your vehicle more than once. You can opt for two policies if you own an exotic or classic vehicle.

Although you can legally insure your car with two policies, you cannot file a claim from both policies simultaneously. If you file a claim with both insurance companies after an accident, it will be treated as insurance fraud.

So if you feel like making a double claim with different insurers following an accident, it can get you in trouble. In the end, you will have to pay heavy fines. Also, one or both policies could be overridden.

Should you opt for two insurances for a car?

Technically, car owners can purchase multiple policies for their cars. However, experts recommend not to do this. With double insurance, you might unknowingly be breaking the standards of one or both insurance companies. Also, if an insurer knows that the car is already covered, they can ask the other company to settle the claims. It would only complicate your situation.

You might sometimes face delays in processing the application, or they might even reject your application. It is therefore natural to obtain several auto insurance quotes at once from a reputable expert like Surex. However, you only have to settle for one insurance policy for your car.

Now, if you live with a spouse, you may be wondering if you should add the person to your policy or purchase a different one. If you both drive the same car, it would be a good idea to add the person to the single font. Experts often recommend splitting the policy with your spouse, as you would pay a higher premium if you add another driver.

In addition, most insurers include certain clauses under “permissive use”. Therefore, they allow other drivers to use your car if you give your consent.

In general, most owners refrain from purchasing multiple car insurance policies to secure the same vehicle. However, you can only buy the second one when you want to get a specialty or vintage vehicle.

Can you cover two cars with different insurance policies?

If you own more than one car, you can purchase multiple insurance policies. Each of these plans would cover an individual car. Although it is viable to purchase policies for multiple vehicles from a single insurer to qualify for multiple discounts. Compared to multi-car insurance, buying separate policies for all your vehicles would be extravagant. Instead, you can consider having one insurance for all your cars.

However, there are exceptions when you plan to get two different policies for separate cars. For example, if one of the drivers happens to be young and high risk, it would be wise to have separate policies. Compared to standard car insurance, classic car insurance is more cost effective. You will drive a classic car less often, so having a separate policy would save you money.

On the other hand, if you have a high-risk driver at home and you add them to your policy, be prepared to shell out a higher premium. So, it would be advisable to get a separate policy for the young driver.

What are the disadvantages of having several insurances?

In general, insurance experts recommend that you do not purchase multiple car insurance policies to cover the same vehicle. Having double insurance would not be a prudent decision from a financial point of view. Why would you pay separate premiums to two insurers when there is no added benefit when you make a claim?

Additionally, having multiple insurance policies can create complications during the claims process. Let’s see why having multiple insurance plans for your car is a bad idea.

  • When you file a claim, the two insurers must coordinate. Unless they agree on what part each of them would cover, your application would be on hold. Over time, the process would get more complicated. Overall, this would delay the claims process.
  • Even if you file a claim with one auto insurer, premiums will increase for both policies after settlement.
  • When you make a claim, you risk losing the good driver discount, if any, on both policies.
  • Each insurer may want the policyholder to add all vehicles and drivers to the policy. In the process, the overall cost of insurance may increase, particularly if you reside with a spouse.
  • Rather than having two car insurance policies, it would be a good idea to have one policy with more coverage. You can also divert funds to add optional benefits like comprehensive coverage and collision coverage.

Is it possible to have several auto insurance policies at the same time? – Final Thoughts

When it comes to insuring several vehicles, it is best to consult an insurance expert such as Surex. With professional assistance, you can get multiple car insurance quotes from some of the best car insurance companies in the country.

Surex’s insurance experts can also guide you in customizing policies with the necessary add-ons to ensure adequate protection for your car.

Rather than wasting your money on different policies, you would be able to invest in the right coverage from a top-notch insurer to adequately secure your car.

Share.

Comments are closed.