Insurance question, overlapping policies

[Dodsy]

I think I know the answer but thought it worth asking on here anyway. I'm buying a used car, picking it up on thursday. To allow them to tax it I am getting a weeks free insurance from the dealer. But when I pick the car up I will have my own policy swapped from the current car to the new one. SO there will be a few days overlap of the two policies.

I assume this is a problem as having two policies on one car probably isnt allowed ? So I will need to cancel the week long policy once I pick up the car ?

If it makes a difference the week long policy will be in my name but when we pick it up my Mrs will be the registered keeper and it will be insured in her name with me as a named driver.

[marshalla]

Dodsy said:

I think I know the answer but thought it worth asking on here anyway. I'm buying a used car, picking it up on thursday. To allow them to tax it I am getting a weeks free insurance from the dealer. But when I pick the car up I will have my own policy swapped from the current car to the new one. SO there will be a few days overlap of the two policies.

I assume this is a problem as having two policies on one car probably isnt allowed ? So I will need to cancel the week long policy once I pick up the car ?

If it makes a difference the week long policy will be in my name but when we pick it up my Mrs will be the registered keeper and it will be insured in her name with me as a named driver.

Isn't allowed by whom ? It complicates matters if there's a claim as both insurers will be involved, and it may be contractually awkward with one or other of them, but there's no law against it.

[xRIEx]

marshalla said:

Dodsy said:

I think I know the answer but thought it worth asking on here anyway. I'm buying a used car, picking it up on thursday. To allow them to tax it I am getting a weeks free insurance from the dealer. But when I pick the car up I will have my own policy swapped from the current car to the new one. SO there will be a few days overlap of the two policies.

I assume this is a problem as having two policies on one car probably isnt allowed ? So I will need to cancel the week long policy once I pick up the car ?

If it makes a difference the week long policy will be in my name but when we pick it up my Mrs will be the registered keeper and it will be insured in her name with me as a named driver.

Isn't allowed by whom ? It complicates matters if there's a claim as both insurers will be involved, and it may be contractually awkward with one or other of them, but there's no law against it.

It isn't allowed by insurers. The law against it would be contract law, as it's in the policy contracts. If a claim is submitted under two different policies on purpose, that would be fraud.

If claims are paid, each insurer will pay their proportion of the claim, but they deduct their full excess from the settlement, so you would effectively pay a double excess.

I doubt this situation will throw up any sort of problem, but if you want to cover yourself just give them a letter saying it's covered under your own policy from such and such a date, and the temporary cover is no longer required.

Or just make sure you don't have an accident on those days in question

[marshalla]

xRIEx said:

It isn't allowed by insurers. The law against it would be contract law, as it's in the policy contracts. If a claim is submitted under two different policies on purpose, that would be fraud.

Not true for all insurers. Have a look at page 17 of this one : http://www.lv.com/assets/gi/pdfs/car/policy-docume...
(Section 13, clause 5). It says

LV policy document said:

5. Other insurances
If any loss, damage or liability covered by this insurance is also covered by any other
insurance, we’ll only pay our share. This condition doesn’t apply to section 8 – Personal
accident benefits.

As always, when it comes to these queries, the only correct answer is "Read your contract and policy documents."

[oilslick]

I seem to remember there being some clause in the driveaway insurance for my car that they wouldn't pay out if there was another policy in place.

[xRIEx]

marshalla said:

xRIEx said:

It isn't allowed by insurers. The law against it would be contract law, as it's in the policy contracts. If a claim is submitted under two different policies on purpose, that would be fraud.

Not true for all insurers. Have a look at page 17 of this one : http://www.lv.com/assets/gi/pdfs/car/policy-docume...
(Section 13, clause 5). It says

LV policy document said:

5. Other insurances
If any loss, damage or liability covered by this insurance is also covered by any other
insurance, we’ll only pay our share. This condition doesn’t apply to section 8 – Personal
accident benefits.

As always, when it comes to these queries, the only correct answer is "Read your contract and policy documents."

So, what I said here, then:

xRIEx said:

If claims are paid, each insurer will pay their proportion of the claim, but they deduct their full excess from the settlement, so you would effectively pay a double excess.

http://www.lexology.com/library/detail.aspx?g=b1d6...