When you insure many cars with the same insurer, you can save a lot of money on your auto insurance. Some insurance firms give higher discounts than others if you cover many vehicles. Comparing multi-car insurance quotes from various insurers will help you determine which insurer gives the best insurance rate.
But, you know how difficult it is to find an affordable multi-car insurance policy. While most insurers allow you to cover up to four vehicles and four drivers on one policy, there are logistical and financial concerns. But, it guarantees that each driver is fully protected while still receiving the best possible rate.
Which company offers the best multi-car insurance coverage? How many cars can you insure under a single policy? Our research has all the answers!
What's A Multi-Car Policy?
A multi-car insurance policy refers to an insurance policy that covers more than one car stored or parked at the same address. These plans tend to be very popular since they are typically cheaper than purchasing individual policies, which also come with added discounts for each insured car.
Multi-vehicle discounts are available from most auto insurance carriers. For instance, if you're a married driver, you and your wife have a car, and both cars are insured under the same policy. So it qualifies you for a multi-car insurance discount.
How Does A Multi-Car Insurance Policy Work?
Multi-car insurance policies may have different standards depending on the insurer. For example, some insurers need all covered cars to be under the same address. In contrast, others consider the insured's relationship with the policyholder. Always ask the insurer about the specific requirements for multi-car insurance policies or whether you can add the car of a family member to your coverage.
A multi-car insurance coverage works similarly to a single-car policy for the most part. You'll need to submit information about the cars you own and who drives them while filling out the quote form. Some insurers ask about the primary driver for each car, the primary car for each driver, or both. The company will automatically add discounts to your multi-car insurance quotes when you apply for the insurance.
Some coverages apply to all drivers on the policy, while others are restricted to one car. For instance, liability coverage is shared by every car (and each driver) on your policy. Meanwhile, you can customize each car's collision and comprehensive coverages.
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How Much Are The Discounts On Multi-Car Policies?
Although it varies by your insurer, you can save between 10% and 25% off your premium or car insurance quotes when opting for a multi-car insurance policy.
The only way to know you're getting the best multi-car insurance policy is to get quotes from different insurers and choose the one with the lowest pricing.
Can You Add A Car To Your Insurance Policy Online?
Again, it varies by insurer. But you should be able to add a car to your insurance policy online in most circumstances. When adding a car, speak with your agent to see if you will get additional discounts for adding a new car to your existing insurance policy.
What Are The Requirements To Be Aware Of When Choosing A Multi-Car Policy?
Multi-car insurance plans require you to follow one basic rule - you need to cover two or more cars on the same insurance policy. Yes, it's that easy! In some cases, the minimum requirement you'll need to fulfill is that all cars listed in the policy need to be stored at the same location. Some insurers give discounts only if the covered cars are in the same house and are insured by people residing there.
Other insurers only want the cars to be parked at the same address. It doesn't matter whether you're related or not - roommates and people sharing a house can use this plan. Some insurers will offer residents a multi-vehicle discount at the same address even though you may have different auto insurance plans. There may be a limit on the number of cars covered under a single policy. Ideally, the limit is four or five.
You need to give your insurer the following details when you add a car to your existing policy.
Make, model, and year of the car you're adding to your insurance policy
Vehicle Identification Number (VIN)
The car's odometer readings
Other driver's names, dates of birth, and license number
You may be eligible for a mid-term discount if you add an extra car to your policy. Also, the insurer will revoke the discount if you remove a car mid-term and insure just one car.
Will The Coverage Need To Be The Same For Each Vehicle?
It is subjective. Many insurance providers expect you to have the same liability insurance and uninsured auto insurance policies on your car. Still, you have a preference for collision and comprehensive insurance. In addition to this, the liability, uninsured motorist, and other necessary coverage caps need to be the same on all cars listed in the policy.
Car insurers and state regulations usually mandate that the coverage limits on all cars on your contract be the same to avoid any misunderstandings about the liability limitations on all of your cars during an accident. But, you have more flexibility and control over other coverages. For example, you can carry collision and comprehensive coverage on one car and not the other. In addition, it applies to any add-on protection, like rental reimbursement or custom car and coverage for equipment.
Remember that the car, not the person, is covered by insurance. It means that if you have separate coverages on different cars, the coverage relevant to each car will be used in the event of an accident. Assume you have two cars on your policy, one with full coverage (collision and comprehensive) and the other with liability coverage only. If the driver of the first car on the policy, which has full coverage, were to drive the second car (which has only liability coverage), he/she would only have liability coverage if they were in an accident because that is the only coverage obtained for that vehicle.
It also ensures that someone driving the first car (full coverage) will have a necessary crash and insurance compensation along with liability if they were in the case of an accident because that is the coverage of a particular car. If you are looking to add another car, driver, or both to your car insurance policy, it's a perfect time to check car insurance prices. Your existing insurer might not have the best multi-car insurance premiums if you take the extra car and driver into account - so ensure to check ahead with your insurer.
How Much Coverage Do I Need?
To drive legally on the road, you must have the minimum liability amounts mandated by your state to adequately safeguard your assets and avoid paying out-of-pocket for any damages or injuries you cause. However, the minimum requirements can be far too low in many cases and may leave you underinsured in the case of a major injury or accident.
We recommend you purchase a package that costs 100/300/100, which ensures that you have a liability allowance of up to $100,000 in medical costs for others involved in your accident, a $300,000 limit on any bodily injury caused, and up to $100,000 for repairs to other drivers' cars and property that you damage.
You should also consider including optional add-ons for collision and comprehensive insurance if the car you own is less than ten years old. If the vehicle is a financed one, the lender would possibly need you to carry both of these types of coverages. Collision coverage pays costs that match up to the cash value of the car for damage to a car after a collision and also pays for damage caused by flooding, fire, hail and vandalism, and theft. Insurers will let you hold collision and comprehensive coverage on one car but not another. So, it is a per-car decision.
What Are The Advantages Of A Multi-Car Policy?
While getting a discount is the most obvious benefit, there are a few other benefits to choosing multi-car insurance.
Most insurers offer broad discounts on multi-car insurance policies. Although it differs from insurer to insurer, you can expect to save anywhere between 10 and 25 percent off when you choose a multi-car scheme. Compared to other discounts like paperless plans or students (these are often in the 5% to 10% discount range), a multi-car discount is quite large. Each car on the multi-car policy will earn this discount, but be aware that the discount will not increase as you add more cars. So, if the discount is 10%, the first car will get 10% off, no matter if you add three or four more cars to the insurance policy.
Single Insurance Deductibles On All Cars
If more than one of your cars gets damaged in the same incident (such as a tree falling or a severe storm), you will only need to pay one deductible. It means that if you have a $500 deductible on your policy, you will only have to pay $500 to repair both automobiles if they were damaged in the same accident.
Car Insurance Stacking
When you have many cars on the same policy, you can stack your uninsured or underinsured bodily injury motorist (UM/UIM) coverage in states that allow it. For instance, if you insure two cars with an uninsured auto body damage coverage of $100,000 per person and $300,000 per crash (100/300) and stack your UM coverage, your limits will double to 200/600. The more cars you insure, the more extensive your stacked coverage will be. Choosing to stack your coverage will almost always cost you more money.
Single Expiration Date
A multi-car insurance coverage allows you to insure all of your cars under one policy with a single renewal and payment date. You will not only miss out on the savings if you acquire a different insurance policy for each car, but you will also have to keep track of several payments and due dates each month.
When You Shouldn't Insure Multiple Cars Under the Same Policy?
In certain circumstances, it may not be possible to cover two or more cars on the same policy. If you live with someone who has a bad driving record, it might be cheaper to buy a second auto insurance policy for your car. Owning a classic car or other specialty cars may require a separate policy, especially if you want the insurer's specialized coverage. Consider getting estimates for multi-car and individual insurance to determine which is the best alternative in these cases to check if you are getting the best deal.
Which Car Insurance Companies Have The Biggest Multi-Car Discounts?
According to our research, Progressive offer the cheapest car insurance for multiple cars. Progressive six-month policy costs around $752, or roughly $125 per month.
How many cars can I insure on one insurance policy?
Although every insurance company we checked enables you to cover several cars, not every insurer would accept the same amount of cars on an online quote. 9. However, every major insurer lets you add at least four cars to your policy.
Insuring different vehicles with different insurance companies
Imagine you own a sedan and a vintage car. Your sedan car is a relatively standard car that gets you from point X to point Y. Your vintage car is your pride and joy, but it needs special attention when it comes to auto insurance. The insurance you buy for your sedan car may not be suitable for the vintage car, and vice versa. The insurer may not provide all of the features you desire, or it may not provide classic car insurance at all. For this car, you need to check out for specialty car insurance.
There are different reasons to insure two cars with different insurers. You will miss out on a multi-car insurance discount if you split your policy coverage between two insurers. While the amount of a multi-car discount differs by company, keeping all of your cars under one policy will almost always save you money.
Secondly, if you choose to insure your second car elsewhere, you will have an additional policy to maintain and another auto insurance provider to deal with. When all of your cars are parked together, you only have one bill due date, one policy number, and one insurance premium to pay.
The Best Way to Get Accurate Multi-Car Insurance Quotes
Though collecting multi-car insurance quotes is similar to getting quotes for a single car, there are some key differences. Before getting the quotes, collect the necessary information so you can compare prices from multiple insurers.
● Collect Information
When you have two or more drivers, you'll need full names, car garaging addresses, driver's license numbers, dates of birth, and marital statuses. The VIN, current mileage, and trim package are all required for both vehicles.
● Decide Your Coverages
Each car you insure may have different coverage requirements. Before moving on to the next step, determine the coverages your car needs. It is always safe to have more than your state's minimum liability insurance so that your car will get ample funds during an at-fault collision.
● Obtain Quotes
Try to get at least three quotes from different insurers, whether you get them online or through an agent. Even if you choose separate coverages for each car, use the same coverage limits with all insurers.
● Compare The Quotes
Make a comparison of the quotes to find which one is the most suitable. Consider the price, coverages, discount options, financial soundness, and user feedback to choose the suitable insurer.
● Buy A Policy
It's time to purchase multi-car insurance coverage when you've found the best insurer. After you get the quote, your insurer will help you through the steps of purchasing auto insurance online. If you're dealing with an agent, they can help you in completing your transaction.
Additional Queries On Multi-Car Strategies
Here are the responses to the most common questions about multi-car insurance policies.
Can I Add The Cars Of Other Family Members To My Policy?
Adding a car to an already existing insurance policy typically requires that you or your wife need to be legal owners of the vehicle. When someone else purchases a car, the person needs to buy a separate insurance policy. However, with certain insurers, you may even be eligible for additional discounts.
For example, if your adult child lives with you and gets his car insured with the same insurer as yours, a few insurers will give you a multi-car discount on both policies. Other insurance companies will not allow this. The best way is to phone your agent and find out if this is possible.
Can I Get Insurance On Both A Car And A Motorcycle?
No, you cannot, as a motorcycle requires a motorcycle insurance policy in place and not an auto insurance policy. However, there is a benefit if you insure the car and motorcycle with the same auto insurance company — you may just be eligible for a multi-policy discount of up to 20%. What's more, you will also get a discount on home and vehicle insurance policies. When you call for a second auto insurance quote, it never hurts to push for a bundled discount if you've already covered your house with the same insurance provider.
In certain cases, insurers will be able to cap the number of discounts you added to your policy. However, auto insurance providers will usually encourage you to get both a multi-car insurance discount and a home and car insurance package discount. This will work out to be a good deal, as auto insurance savings for bundling car and home insurance from one insurance provider average about 12%.
I Have A Holiday Home In Another State. Can I Have A Singular Car Insurance Policy?
Under typical circumstances, the vehicles should be covered in the state where they are located. For instance, say you have a second home in Florida. If the vehicle has a Florida license plate and registration, it must be covered by a Florida-registered auto insurance firm. If your main home is in Ohio, you're going to have your vehicles insured by companies approved to do business in Ohio.
On the other hand, if the auto insurance company is allowed to do business in both states, you can get all of your car insurance from one company. By insuring many cars with one insurer, even though they are based in various states, you may be eligible for a multi-car policy discount.
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Can You Have Two Separate Insurance Plans On Your Car?
It is never a problem if you wish to maintain different policies for your cars. If you accept two insurance policies on the same car, it's all good as long as the policies are issued by two insurance providers. Though it is allowed to use two policies in the same vehicle, there is no benefit, and it is a waste of money. Because you can't file a claim with each insurance provider for the same accident, the benefits of having two policies are almost minimal.
Can A College Student Continue To Stay On A Multi-Car Policy?
Suppose your child is away attending college and takes his car with him. In that case, you can normally keep him on your family auto insurance policies, provided your home address is his primary residence. However, it's better to confirm this with your car insurer, as the premiums will adjust depending on the insurance rates in the ZIP code where your child stays while at school. If your child is attending school out of state, you should contact your insurer to determine what changes may be required.
Is It A Bad Thing To Have A Multi-Car Insurance Policy In Place?
If a driver with a bad driving record or a higher-end car moves to your home (this could be a relative, a sibling, or a roommate), it won't be a good idea to add them to your policy. There is a real risk that the premiums will increase if these individuals have a bad driving record or if they drive a car that is in a different class than yours.
Your auto insurance company tends to consider all of these aspects before deciding on the premium rates you will receive. Luxury cars come at an expensive premium than a normal car. And what's more? Just one or two tickets on a person's driving record can push the cost of premiums up considerably.
A multi-car insurance coverage can save you anywhere from 10% to 25% on your premium, depending on the insurer.
A single insurance policy can cover up to 4-5 cars parked at the same address. Additionally, each car can have the same amount of liability and underinsured motorist coverage.
A multi-car insurance policy has several benefits like a single renewal date, discounts, and a single insurance deductible for all.
How To Get A Multi-Car Insurance With Way.Com
It is very simple to get multi-car insurance quotes via Way! Visit our website and compare the quotes from various insurers. The best option is to buy the cheapest multi-car insurance policy from insurers that offer it. Do you still have doubts about how can you get a quote? Then, get in touch with our Way.com agents. They will help you find out the best policy for you at the cheapest rate!
Auto Insurance Data Methodology
The auto insurance rates published in this guide are based on the results of research completed by Way.com’s data team. Using a mix of public and internal data, we analyzed millions of rate averages across U.S. ZIP codes.
Quotes are typically based on a full coverage policy average unless otherwise noted within the content.
These rates were publicly sourced from insurer filings and should be used for comparative purposes only — your own quotes will differ. Given this, it’s important to go through our insurance steps form to find how much you can save with way.com
Is it cheaper to insure multiple cars?
Yes. A single-car policy costs well for most drivers. However, if you add another car to an existing policy, you may be eligible for a reduction of up to 25%. Because so many houses have more than one car, multi-car discounts are among the most frequent in the business. If you own many cars, it's usually cheaper to insure them all under one policy rather than multiple ones.
Can you have two insurance policies on two cars?
Yes. You can have two separate auto insurance policies for different vehicles, but you'll end up paying more for insurance. For customers who insure more than one vehicle, many insurance providers offer multi-car discounts.
How does car insurance work with multiple cars?
Depending on the insurer, multi-car insurance coverage may have differing standards. Some insurers require that all covered vehicles be registered at the same address, while others take into account the insured person's relationship with the policyholder. Always find out about the exact requirements for multi-car insurance policies, as well as whether you can add a family member's car to your existing policy.
Can one person insure three cars?
Multi-car insurance combines the coverage of many cars into a single policy with a single insurer. You'll get all of the benefits of normal auto insurance, plus a discount for any additional car you add to your coverage. Most major insurers allow you to insure more than three cars under the same insurance policy.
Is it cheaper to have three cars on one policy?
If you insure many cars under one policy, you will receive a multi-car discount for every car you add. When the policy begins, you'll receive an immediate discount, and each car you add earns its discount. Adding friends and family to your coverage will get you even more discounts.