Insurance - Driving Other Cars

[MJK 24]

A friend is most insistent that insurers are soon to stop offering this feature permanently, en masse.

Google reveals nothing. Can anyone back this up or is he talking nonsense?!

[Magic919]

Someone mentioned that on here yesterday. First time I'd seen it too. No idea whether it's reliable.

[ging84]

If there were any truth to it there would be a massive thread on here with hundreds of angry people making out it's the greatest injustice since women getting the vote.

[shambolic]

Mine already doesn't offer it unless you ask for it to be put on specifically.

[anonymous-user]

A well respected broker posted similar on another post this week.

I am not so well respected, but I would expect it to be withdrawn from most products over the next couple of years remaining only on certain "premium" policies.

[MJK 24]

I currently pay extra for it, and I'm happy to do so. It's only about £20 a year I think. I would be a bit stuck without it as an elderly relative trusts me to keep her Lupo serviced and MOT'd etc.

[anonymous-user]

MJK 24 said:

I currently pay extra for it, and I'm happy to do so. It's only about £20 a year I think. I would be a bit stuck without it as an elderly relative trusts me to keep her Lupo serviced and MOT'd etc.

You can always get added to her insurance if it is withdrawn.

[dacouch]

I remember about 15 years ago Aviva made a big thing about how they were withdrawing from DOC and that the rest of the market would follow them as it was so open to abuse.

They promptly withdrew from the market and as normal the rest of the market ignored them and hoovered up the Aviva customers who were leaving enmasse.

Aviva started including DOC a few months later when they realised it was losing them lots of customers by not offering it

[ging84]

If it does get phased out what would be quite nice to see it replaced with sensibly priced short term insurance

[bradjsmith88]

Its a possibility given the De-regulation Act amendments to the Road Traffic Act last year which made short term insurance policies more attractive and easier to administer.

I don't think insurers see a huge amount of losses through DOC - and given the number of people here saying how attractive it is, i'd say that it wont be withdrawn, as someone will stay in the market and take someone else's business if they do.

[xjay1337]

I can't see why insurance companies would stop it anyway.

I pay extra to be fully comp on other cars, however most DOC is 3rd party only, and as such theoretically insurace costs are cut by the cost of the vehicle if there is an accident!

DOC driver with 3rd party only cover crashes into the back of another car

Damage to 3rd party car
£2500

Injury claim
£2000

Damage to 1st party car
£1750

Paid out by insurance - £4500?!

[anonymous-user]

With DOC it is difficult for the insurer to pinpoint EXACTLY what risks they are covering.

The regulators are getting hotter when it comes to insurers doing this so it is natural that they seek to reduce exposure as much as possible.

[Mandat]

desolate said:

With DOC it is difficult for the insurer to pinpoint EXACTLY what risks they are covering.

The regulators are getting hotter when it comes to insurers doing this so it is natural that they seek to reduce exposure as much as possible.

I've always wondered how insurance in Europe works, where the car is insured for (usually) any driver, and the premium is worked out as a factor of the car's value.

Also, from what I've seen, insurance premiums are usually lower than in the UK, even though the policy covers any driver.

Why does the UK market differ so much from that in Europe?

[bitchstewie]

desolate said:

MJK 24 said:

I currently pay extra for it, and I'm happy to do so. It's only about £20 a year I think. I would be a bit stuck without it as an elderly relative trusts me to keep her Lupo serviced and MOT'd etc.

You can always get added to her insurance if it is withdrawn.

That doesn't seem entirely practical for two hour a year of driving though.

Of course I get that if she drove a Veyron DOC cover would be a bit of a piss take.

[anonymous-user]

Mandat said:

I've always wondered how insurance in Europe works, where the car is insured for (usually) any driver, and the premium is worked out as a factor of the car's value.

Also, from what I've seen, insurance premiums are usually lower than in the UK, even though the policy covers any driver.

Why does the UK market differ so much from that in Europe?

I am out of touch with pricing within Europe, but I do know that in general we have much higher claims costs here than elsewhere. We also have a higher frequency.

In general the market is a lot less volatile elsewhere as well - look at the income of all the comparison sites in the UK to see how much they are taking off the table.

[SS2.]

Mandat said:

Why does the UK market differ so much from that in Europe?

A higher incidence of dodgy personal injury claims, and a lower burden of proof of injury in the UK than in other European countries.

[anonymous-user]

bhstewie said:

That doesn't seem entirely practical for two hour a year of driving though.

Of course I get that if she drove a Veyron DOC cover would be a bit of a piss take.

It wouldn't cost much more on a temporary cover site if you are only driving it once a year.

[RWD cossie wil]

My policy offers fully comp on other cars for up to £20k, for £10 extra premium. Amazing offer & I have used it quite often as I drive relatives & friends cars quite often.

[dacouch]

desolate said:

I am out of touch with pricing within Europe, but I do know that in general we have much higher claims costs here than elsewhere. We also have a higher frequency.

In general the market is a lot less volatile elsewhere as well - look at the income of all the comparison sites in the UK to see how much they are taking off the table.

Plus the normal issue with the UK and Europe, we abide by all of the EU laws in relation to Insurance and implement them on time. Other countries tend to pick and chose which laws they abide. Many EU countries have ignored or posponed the recent(ish) changes the EU have brought in that have impacted on the costs to Insurers which ultimately get passed onto their customers

[ging84]

RWD cossie wil said:

My policy offers fully comp on other cars for up to £20k, for £10 extra premium. Amazing offer & I have used it quite often as I drive relatives & friends cars quite often.

What company?