V5C & Insurance

[T5R+]

Not understanding why a car has to be registered in the insured persons name?

Eg son has bought a car but no need for him to insure for 6 weeks, consequently I could utilise in the interim BUT according to my insurer based in LiVerpool the insurance has to be taken out in his name.

[randlemarcus]

Insurable interest, and the UK legislation. There are exceptions, like husband owns the car, but wife insures, but the basis is that you have to stand to lose from the loss of it. Things like Day Insurance cover this quite nicely, but are proportionately more expensive.

Sort of a shame we went with insuring the person, rather than insuring the car, but we did, so it is what it is.

[V8LM]

What legislation?

[randlemarcus]

V8LM said:

What legislation?

I had it in my head that when the UK mandated motor insurance back in the 60s, we decided that the target of insurance was the driver, not the car, but my GoogleFu is failing me.

[CanAm]

Why not just add yourself to your son's policy as a named driver? It may even reduce his premium.

[T5R+]

CanAm said:

Why not just add yourself to your son's policy as a named driver? It may even reduce his premium.

You will not believe this - it actually increases. Think it assumes "fronting".

[anonymous-user]

It doesn't need to be registered in the insured driver's name, a lot of insurers require it but not all of them. A decent broker should easily be able to sort you out.

[CanAm]

T5R+ said:

CanAm said:

Why not just add yourself to your son's policy as a named driver? It may even reduce his premium.

You will not believe this - it actually increases. Think it assumes "fronting".

Not if the policy is in his name, as main driver, with you as an additional named driver.

[RYH64E]

randlemarcus said:

Insurable interest, and the UK legislation. There are exceptions, like husband owns the car, but wife insures, but the basis is that you have to stand to lose from the loss of it. Things like Day Insurance cover this quite nicely, but are proportionately more expensive.

Sort of a shame we went with insuring the person, rather than insuring the car, but we did, so it is what it is.

I've never even seen the V5C for my daily driver but it's still insured in my name. The car is on a 2 year lease so I'm not the owner, and Mercedes or the finance company keep the V5C rather than send it out so I don't even know who the owner is, but the insurance company didn't have a problem letting me insure a car that I don't own.

[anonymous-user]

Leasing is a bit different, insurers are much more open to that and the vast majority of them will quote for it.

[CanAm]

If you lease it you have an insurable interest, so Insurers have no problem with that.