# Car insurance



## ffocus (Jun 7, 2008)

I own two cars one for work and the other just for pleasure and i am the main driver of both.

Both cars are insured by different car insurances to get the best quote.

I was recently involved (My Fault) in a car accident and when the first car insurance was due as expected the priemum went up.
As i only have had this car for just over one year i have no no claim bonus on it so i thought nothing real lost.....:speechles

The second car insurance was due last month so i paid a first monthly priemum. I have recieved a letter today to state that the insurance company are going to cancel this policy as i did not inform them of the accident that i had in car NO 1 even though i have never had an accident in car NO 2
My second car has full no claims bonus and i was getting quotes of £300 but now i have to tell the insurance company that i was involved in an accident in the 1st car they are all putting there priemun up by about £600.

I have spoken to citzens advice and they have told me that this is right as the insurance is on the person not the car:wall:

So i am now more confused than ever. As in my eyes i am paying the extra cost for car NO 1 for my mistake it should not effect me on car NO 2


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## ahdinko (Jan 26, 2010)

I thought that was the obvious way insurances worked.

If you get in a crash, you're more likely to get in a crash again and so are a bigger risk to the insurance company, requiring a higher premium.


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## ffocus (Jun 7, 2008)

I do understand that but i thought it would not effect both cars


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## Pink_Floyd (Nov 11, 2007)

It doesn't matter if you have 2 cars or 200, when you give details for a quote you will be asked if you have had any accidents, claims or losses in the last five years. This applies to you, the driver, not the car. 

I'd have though this was really obvious?


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## VinnyTGM (May 10, 2010)

Then why is your NCB built up by each policy and not the person.


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## alan hanson (May 21, 2008)

confused so you understood that the insurance is against the person not the car but then you dont understand why your insurance has gone up due to a fault claim?


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## alan hanson (May 21, 2008)

its not though is it? if i changed my car i would still collect no claims as its still me insuring it regardless of the car has been changed?


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## Pink_Floyd (Nov 11, 2007)

VinnyTGM said:


> Then why is your NCB built up by each policy and not the person.


I see what you're saying but the way it works is this whatever policy you have the NCD goes by whatever is highest, so let's say you have three policies and on policy one you have five years NCD with Direct Line, then on policy two which you took out two years later you have three years and lastly policy three has been running a year so you only have a year.

So when applying for a new policy or updating a current they will ask what NCD you have. You are obviously going to say five years because in total you have five years NCD and as such you'll get the best deal. The insurers will ask what NCD you have and when you inform them they will ask for proof. They won't state that as your policy with them has only been running for one year you only have a years no claims.

However as soon as you have an accident your NCD will be affected and as such you will have to declare the lowest NCD you have. Otherwise people could have multiple accidents in different cars they own and then at renewal declare their highest NCD. This sounds like what the OP has done and he's been caught out.


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## Shiny (Apr 23, 2007)

Sorry to make things worse, but to keep it all above board, you should really now also disclose that you have had an a policy cancelled by an Insurer due to non-disclosure. 

When proposing for insurance you are asked if you have ever had a policy cancelled or refused by an Insurer. An insurer may take a sympathetic view though if you explain it was an misunderstanding, not deliberate and explain the circumstances.

As mentioned accident history is relevant to the driver. Loss of NCB is relevant to the policy insuring the car involved in the accident.


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## Pink_Floyd (Nov 11, 2007)

Shiny said:


> Sorry to make things worse, but to keep it all above board, you should really now also disclose that you have had an a policy cancelled by an Insurer due to non-disclosure.
> 
> When proposing for insurance you are asked if you have ever had a policy cancelled or refused by an Insurer. An insurer may take a sympathetic view though if you explain it was an misunderstanding, not deliberate and explain the circumstances.
> 
> As mentioned accident history is relevant to the driver. Loss of NCB is relevant to the policy insuring the car involved in the accident.


So just to clarify; If I have two cars and a policy with admiral for one and direct line for the other and they have both been running for five years and I therefore have five years no claims.

What happens if I then have a fault accident and claim? I am assuming that my no claims will be affected in total, not just for the car involved in the accident?


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## Shiny (Apr 23, 2007)

Pink_Floyd said:


> I see what you're saying but the way it works is this whatever policy you have the NCD goes by whatever is highest, so let's say you have three policies and on policy one you have five years NCD with Direct Line, then on policy two which you took out two years later you have three years and lastly policy three has been running a year so you only have a year.
> 
> So when applying for a new policy or updating a current they will ask what NCD you have. You are obviously going to say five years because in total you have five years NCD and as such you'll get the best deal. The insurers will ask what NCD you have and when you inform them they will ask for proof. They won't state that as your policy with them has only been running for one year you only have a years no claims.
> 
> However as soon as you have an accident your NCD will be affected and as such you will have to declare the lowest NCD you have. Otherwise people could have multiple accidents in different cars they own and then at renewal declare their highest NCD. This sounds like what the OP has done and he's been caught out.


That's not quite right mate. From the looks of things, vehicle A was involved in an accident and, as stated this was insured on nil NCB, so basically the OP has only lost the 1 years NCB he would have had at the next renewal.

Vehicle B has since fallen due for renewal on maximum NCB. The Insurers have discovered (perhaps by checking on the Claims & Underwriting Exchange) that the OP has been involved in an accident in another car. They have now cancelled the policy due to non disclosure.

The OP now needs to insure vehicle B, he can still use his NCB, but must disclose that he has had an accident in another car insured separately and that he has had a policy cancelled as this was not disclosed to the Insurers of vehicle B at renewal.

Hopefully that makes sense.


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## Shiny (Apr 23, 2007)

Pink_Floyd said:


> So just to clarify; If I have two cars and a policy with admiral for one and direct line for the other and they have both been running for five years and I therefore have five years no claims.
> 
> What happens if I then have a fault accident and claim? I am assuming that my no claims will be affected in total, not just for the car involved in the accident?


You have two policies, both earning 5 years NCB as they have both been running without claim for 5 years.

If you have an accident in one car, it will only affect the NCB on the policy that is insuring that car.

However, when proposing from insurance on the other car, whilst you still have 5 years NCB on it, you must disclose that you, as a driver, have been involved in accident all be it in another car insured on another policy.


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## Pink_Floyd (Nov 11, 2007)

Shiny said:


> That's not quite right mate. From the looks of things, vehicle A was involved in an accident and, as stated this was insured on nil NCB, so basically the OP has only lost the 1 years NCB he would have had at renewal.
> 
> Vehicle B has since fallen due for renewal on maximum NCB. The Insurers have discovered (perhaps by checking on the Claims & Underwriting Exchange) that the OP has been involved in an accident in another car. They have now cancelled the policy due to non disclosure.
> 
> ...


What you have said makes perfect sense :thumb:

I guess I'm shocked that you can have two or three cars on different policies, smash two and still have full no claims to insure whatever cars you buy next?
For example you have 3 VW Polo's on three different policies, you write off two and when you come to replace them and renew your insurance you can use the no claims from the one you did not crash?

I'm assuming that when getting a quote you'll be able to declare a NCD bonus relative to one vehicle but accidents and loses on any others? How does that affect your premium? Otherwise it's a great way to preserve NCB's surely?


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## Shiny (Apr 23, 2007)

You can only use the NCB from the one you did not crash if you transfer the NCB onto another policy. You will then lose all the NCB on the car you did not crash.

You earn NCB per policy. So if you have two cars and two policies, then you earn two separate lots of NCB.

Then, if you have an accident in one of them, it only affects the NCB on that policy.

It is a "no claim" bonus, so it only affects the policy that you actually claim on.

However, the accident/conviction history is a different material fact to NCB and is rated separately to the NCB discounts.


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## eddiel34 (Mar 22, 2008)

ffocus, I think you're going to get screwed again on this non disclosure thing. Let us know how you get on. 

Is it not the case that regardless of what your NCB is they can ramp up the premium to begin with so that even if they are saying they are applying 5yr NCB it may be against a much higher premium as they now consider you to be a high risk because of BOTH having an accident and not disclosing it.

For what it's worth I really feel for you and hope the pain ain't too bad.


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## Mike_182 (Mar 22, 2007)

I think you've kinda made your own grave here. The insurance peoples always ask if you've had any claims or accidents regardless of fault. If you have a bump on a motorbike, you have to tell your car insurers. If you have your car nicked, you have to tell your bike insurers. If you have an accident in your weekend toy, you have to tell your insurers of your hack. This isn't new, and it isn't particularly complicated?

You now have to tell insurance companies that you've previously had a policy cancelled for lying (you'll be very lucky to get away with 'misunderstanding' TBH, as they screw you for farting in your car nowadays) and if they find out through the same means, you'll likely find yourself in a fairly significant amount of bother.

Don't tell me you only thought you had to tell the insurance company of the car you were driving if you got speeding points?


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## PugIain (Jun 28, 2006)

I thought everyone knew it was the person insured not the car??
Ive got 10 years no claims and although I had to make a claim through a non fault accident and my NCB was protected the cheeky sods still tried pulling a fast one and putting it up.


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