Multi-car insurance policies offer the convenience of insuring multiple automobiles under a single policy, typically resulting in savings of approximately 10% to 20% on overall insurance premiums. Many reputable insurance companies extend this option to policyholders, with a common condition being that all insured vehicles must share the same registered address. Once this requirement is satisfied, it’s possible for vehicles titled to various members of the household, including spouses, family members, partners, and even roommates, to be covered by the same multi-car insurance policy.
This approach simplifies insurance management and presents an opportunity for individuals with diverse relationships to combine their automobile insurance, potentially leading to reduced premiums. Prominent insurers like Progressive often facilitate this arrangement, demonstrating a commitment to accommodating various household dynamics.
With many insurers and in most states, motorists can include any auto in a multi-car insurance policy regardless of who owns them, as long as they live at the same address. But, there may be variation in each insurer’s qualification requirements for a multi-vehicle insurance policy so you may need to shop around to find the coverage you need at an affordable price. For example, some companies may only allow family members to share a policy.
You need to own at least two vehicles before you can buy a multi-auto policy and you can typically have up to 4 automobiles insured by one policy. Usually, each automobile gets a percentage discount on overall premiums. So, it can be a very valuable solution, especially for new policyholders to get lower auto insurance rates they cannot usually qualify on their own.
Let’s have a look at an example that can explain it better. You may be living with a partner and have a young driver as well in the household where everyone owns one car separately. with a few insurers, you would be able to insure all three vehicles under a multi-car insurance policy even if you aren’t married and not even related with each other as long as automobiles are registered on the same address.
If you were to include all your vehicles under one insurance policy in order to save money, you would need to have the same liability limits for all the vehicles but you can have different physical damage provisions. For example, while one has Liability only coverage the rest can have Collision and Comprehensive Covers. Again, you have flexibility and you are advised to keep asking the questions and checking until you can arrange your auto insurance the way you want.
Arranging the most beneficial and economical vehicle insurance policy for your circumstances may require a little work, shopping around and comparing. But you are likely to save for a long time once you find the most convenient and affordable policy that makes all the efforts worthwhile.
Multi-vehicle insurance policies would be most beneficial when one owner wants to insure all the cars under one policy. Normally, they would be able to include other drivers to the policy but the premium may be substantially cheaper if there is only one owner and driver with multiple automobiles because of the fact that the person can only drive one car at a time.
Nevertheless, these policies may work out more expensive in cases where there is a high risk driver or vehicle in the household. For example, if one member of the household has a bad driving record and the other has a high risk automobile, the overall costs can be more expensive with a multi-car insurance policy.
In such cases, not only you may need to arrange a separate policy but you may also need to exclude the high-risk driver from driving the high-risk automobile to avoid potentially high auto insurance premiums such a combination may bring about.
Furthermore, when one of the household members leaves the address, their auto typically needs to be removed from the multi-car insurance policy and they need to arrange a new policy reflecting their new address.