# Insurance: 3rd party dearer than Fully Comp Plus couple of other questions.



## p3asa (Aug 26, 2009)

Bought myself a wee estate car basically for doing some removal stuff and more importantly, I can leave it at an airport carpark for 2 weeks and not worry about it while I'm away :thumb: Will also come in handy for the weekly parking in the local supermarket  

Be lucky if I do 2000 miles a year in it.

Went to insure it today and Fully Comp comes in at £180 and 3rd party is £260.
Anyone know why logically its round the wrong way. 
Surely fully comp covers not only your own car but the car you hit, whereas 3rd party only covers the other persons car?! 

Other question is, anyone know any insurance companies that will take your current No Claims into consideration? I have around 15 years on my daily use car but as I understand it, I'd have to start at 0 years on this runaround I've just bought. Is that correct? 

Cheers.


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## Maggi200 (Aug 21, 2009)

Gotta be with the excess you're gonna pay being higher I would guess. Although don't quote me on that, just what I got told when I asked the same question when I got a quote like that


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## mariusz (Apr 14, 2010)

Take it into the consideration that if your NCB is already "assigned" to your insurance on another car you cannot use it on your 2nd car. NCB can only be used on one car.

And about comp and 3rd party insurance is that they kind of think you are more irresponsible driver and they raise your premiums so that can pay out for 3rd parties. If you know that you would not claim on this car than most of the time is always cheaper to take out full comp with huge excess


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## SD1992 (Jun 10, 2010)

I was getting higher prices 3rd party F&T than fully comp when I was sorting out my insurance - but I am a young driver so the logic was that insurance companies thought I would be looking for cheap insurance and I didn't really care about the car so I would be more likley to thrash it and crash - therfore higher price. 

I doubt that would apply to you though, since you are missing a zero on your prices compared to mine!

You can only use your no claims discount on one policy at a time, so if you wanted to use them on your new car, you would not be able to use them on your current car, if that makes sense?


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## p3asa (Aug 26, 2009)

Cheers guys "most" of that makes sense 

With the car only costing £300 I'd never get it sorted so would be happy to ramp up the excess. However does this excess apply if I hit someone else? Or is it only if you are claiming on your own car?

Thanks for clarifying the NCB. I'm sure though that some companies will allow you a % of what you have already on a 2nd car. 
Like Direct Line recognised my wife had been a named driver on my policy for 10 years but obviously had no NCB of her own so they gave her the full whack when she got her own car.


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## p3asa (Aug 26, 2009)

Changed the excess about in fully comp:
£500 xs - premium £200
£250 xs - premium £169

Makes no sense


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## Shiny (Apr 23, 2007)

Ah, now i can bore you all with stories of knock for knock and why TPO/TPF&T rates are expensive.

In the good old days, Insurers had agreements called knock for knock (which is not as 50/50 people tend to think). Basically, it worked on the basis that if Insurer A and Insurer B had 1000 accidents between them, then half of them will be Insurer A's client's fault and the other half Insurer B's. So they agreed that regardless of fault, each would pay their own costs as it would save a load of additional costs.

Now this meant that if an Insurer's client was TPFT, in the event of fault claim, under knock for knock they would only pay their own costs. As cover was TPFT, there is no cover for own damage, so the Insurer never had to pay any claims. Comprehensive premiums were subsidising TPO/TPFT rates as a result of this and TPFT rates were on average 60% of that of a the comp rate.

Now with Insurers popping up all over the place a few years back, god bless the internet, mergers and acquisitions, less and less Insurers had k/k agreements in place and they were beginning to prove not to be cost effective. So they were pretty much all removed (k/k still exists, but usually on a one off basis where liability can't be agreed and not under a k/k agreement).

So, without the agreements in place, if a TPFT customer had a accident, the Insurers now have to pay the Third Party costs. TPO/TFPT generally generated less premium and now that TP costs weren't being subsidised by Comp policies under a k/k agreement, rates went up to compensate.

TPO is often move expensive than TPFT for 2 reasons. The first is that TPFT policies usually benefit from an "age of vehicle" discount, as an older vehicle has less value than an newer vehicle and therefore the FT risk of an older vehicle is less. There is no FT cover under a TPO policy, so it doesn't have any age of vehicle discount applied to the rating. Secondly, as already mentioned, there is the moral risk, on the basis that someone who insures TPO is potentially not bothered about damage or loss.

NCB is earned per vehicle. In same respect, if you have an accident, it only affects the NCB on the vehicle involved in the accident. If you have maximum NCB and a good driving record, there are plenty of Insurers who will offered a "mirrored" discount equivalent to maximum NCB on an additional car.

Hope this helps.


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## Rob_Quads (Jul 17, 2006)

Try Admiral. They may let you put the new car on a multi-car on the basis you move you 2nd car over once its up for renewal.

Saved me hundreds when I had to insure my girlfriends Mini as well as my 350z. They replicated over my NCB from the 350z and its even ended up saving me on the 350z renewal which has just come up!


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## p3asa (Aug 26, 2009)

Thanks Lloyd that helps a lot.
I have 15 years NCB and up until April had a clean licence but 2 speeding fines in the last couple of months has seen that disappear 

I tried Direct Line on-line as I'm sure they do the mirroring but they said they couldn't insure me. Seems a bit harsh if it was the 2 SP30's.

Does your company offer mirroring?


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## Shiny (Apr 23, 2007)

We can mirror NCB, but i doubt we can get anywhere near £169 Comp. That seems a very keen rate to be fair.


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## johnnyguitar (Mar 24, 2010)

p3asa said:


> Like Direct Line recognised my wife had been a named driver on my policy for 10 years but obviously had no NCB of her own so they gave her the full whack when she got her own car.


I believe that only certain companies will offer your named drivers their own NCB providing the policy they were named on and the new policy they take out in their own name are with the same company - I assume that your wife took out a policy with Direct Line so they gave her some discount.


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## p3asa (Aug 26, 2009)

johnnyguitar said:


> I believe that only certain companies will offer your named drivers their own NCB providing the policy they were named on and the new policy they take out in their own name are with the same company - I assume that your wife took out a policy with Direct Line so they gave her some discount.


No I was with Elephant with my wife a named driver. Direct Line gave her 7 years NCB to start on her own car which I duly accepted. I didn't have to change my insurance to them or anything.


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## johnnyguitar (Mar 24, 2010)

Blimey, that's unusual (or maybe it isn't!). I wish I'd known that as I'd been a named driver on my mum's insurance from the age of 17 until....well, I think 13 years later I am probably still a named driver on her insurance, but have had my own insurance since coming back from that London 6 years ago.


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