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Multi-car insurance explained

Do you live in a household that has multiple vehicles? You could benefit from a multi-car policy. Find out how you could save money with our helpful guide to multi-car insurance.

Multi-car insurance does exactly what it says on the tin: get insurance for two cars, or more, all on one policy, saving you time and money.

Multi car insurance guide
Multi car insurance guide

How does it work?

Multi-car policies are great for busy families and households that have more than one car at the same address. This works by combining all insurance policies into one, which can be beneficial for organisation and financial reasons. 

This is a popular option for families with older children still living at home or mixed adult households. 

Most insurers will cover up to seven cars on one policy and other insurers can cover up to ten, so it’s worth looking around to find the best deal.  

Like most insurance policies, you have the option to pay monthly or annually and it typically runs for 12 months. The difference with multi-car cover is that you only have one date to remember for the bill.


  • With all drivers and vehicles registered under one multi-car policy, it makes it easier to manage paperwork and make any claims.
  • Each driver will retain their own no-claims bonus, therefore if someone needs to claim then that shouldn’t affect other drivers within the multi-car policy. And they can also leave this group policy, in future. However, it’s still important to double check the terms and conditions with your chosen insurer.
  • Certain policies will cover cars that spend a significant amount of time away from the registered address, which is handy for parents who have older children at uni. 


  • Insurers will look at everyone’s driving history and estimate a quote based on the findings. Therefore, an inexperienced driver, young driver or a driver with motoring convictions could push premiums up and increase the overall price. 
  • Depending on how the policies are linked, if one driver makes a claim then it could push future prices up for other drivers on the policy. 

Disclaimer: the advantages often outweigh the disadvantages with multi-car insurance. All quotes are different based on personal circumstances such as driving history and occupations, so it’s best to do some research and make some comparisons beforehand.

Information required for a quote

Firstly, you need to decide whether a multi-car policy is right for you and the people you live with. Most insurers are pretty flexible about what type of cover they offer, but each one will have different advantages and disadvantages, so make sure you have done your research before committing to a policy. 

The cars

Multi-car policies are in many ways similar to regular car insurance cover, as you are required to disclose relevant information for each car. These details include registration, current mileage, current estimated value, purchase date and the date you’d like the cover to start. 

The drivers

Each driver is required to fill out information regarding their marital status, current occupation and license details. They must also disclose any past claims or accidents involving the driver in the past five years.

The address

Multi-car policies are generally designed for people living at the same address, so it’s important when getting a quote to be aware of this. You will need to disclose information about where the cars are kept overnight and the postcode where they are registered. Your location could affect how much you pay for insurance.

The cover

It is important to select the right cover for each driver in your household. You might be splitting the cover between young adults and adults, meaning there could be a difference in no claims bonus and add ons, i.e. a black box. 

How is the premium calculated?

When calculating your multi-car insurance premium, insurance providers will look at various factors including your occupation, your annual mileage, your address, as well as how much voluntary excess you are willing to pay. 

They also take into consideration the age of the car, the make and model of your vehicle, where you park your car overnight, your age, how long you have been driving for, your driving history, any no claims discount, as well as whether or not you have added any named drivers onto your policy.

With a multi-car policy, insurers will look at these factors for every driver and vehicle under the policy.

Extra cover you can take out

Key cover for stolen or lost keys

This can be useful if there is more than one person using a car and you need several sets of keys. It also offers peace of mind should you lose or misplace a set of keys accidentally. 

Personal possessions cover

This protects the driver’s personal belongings from theft. This cover is available against any personal possessions that have been stolen from the car, on and off the driveway.  

Windscreen cover

It’s an expensive piece of glass to replace. Windscreen cover protects any unwanted payouts if a driver experiences an incident which results in needing to replace or repair the windscreen. 

Personal accident cover

Personal accident cover is a no-brainer when taking out a car insurance policy. It provides monetary protection for yourself and your family should you endure serious injury or die due to a motor accident.  

Motor legal protection

If you’re involved in an accident that wasn’t your fault, then motor legal protection can pay upwards of £100,000 in compensation, should you need to claim due to injury or damage to your car.

Driving abroad

Driving abroad can draw up challenges from time to time, and just like the UK, you must be insured to drive in other countries. By having this insurance against your own car, you can drive it abroad and not worry about the expense of hiring a car for your holiday or business trip.

Breakdown cover

Should you find yourself on the edge of the hard shoulder on a wet Wednesday evening, then it is always better to have breakdown cover in place. There is nothing worse than receiving a big bill after what can be a stressful event.

Protected no claims discount

Keep your no claims discount in-tact as this type of cover allows you to have several ‘at fault’ accidents without affecting your current bonus. 

Courtesy car

Should your car need to go into repair for any reason and is undrivable for an extended period of time, adding courtesy car cover allows you to claim a replacement car. This way, you can stay on the move when your car is not available. 


Is multi-car insurance right for me?

Maybe your kids are still living at home and you and your partner have separate cars, or you live in a multiple adult household and you all require car insurance. 

Multi-car insurance can offer you cheaper quotes and excellent discounts on amenities. Each insurer will offer different coverage so it is important to see what’s right for you and your requirements.

Is it cheaper to get multi-car insurance?

It can work out cheaper to insure all your cars on a multi-car insurance policy, but there's no guarantee it will be cheaper than separate policies. The savings you can make will depend on your own circumstances, as well as the other drivers listed on the policy.

Not sure if multi-car insurance will save you money? To find out which option is cheaper, we recommend getting individual quotes, add them up and see how much it costs. Then get a multi-car insurance quote and compare the difference. 

It is important to be meticulous when comparing the two, as you could potentially miss something and end up with a larger premium.

Can I have 2 cars insured in my name?

Yes, you can have 2 cars or vehicles registered in your name. However, You must be the main user for both vehicles.

How many cars can I insure with multi-car?

Most insurers will cover between five and seven cars on a multi-car policy. However, some insurers will cover as many as ten cars, so it is worth shopping around if you have a significant number of vehicles.

What about electric cars?

Some insurers will allow you to add an electric car onto a multi-car policy alongside petrol or diesel cars. However, electric cars usually work out more expensive to insure, meaning they could increase the price of the multi-car policy for other drivers.  

Can I have different addresses on the policy?

Multi-car policies usually fall under the same address, but some policies allow cars to be away from that address for an extended period of time. This is handy for people who have older children at university with personal vehicles. Check the terms of individual policies for details. 

What happens at renewal time?

Renewal tends to be hassle-free with a multi-car policy, as there is only one date to keep in the diary. 

Will add-ons affect the cost of my cover?

In short, yes, any add-ons will add a premium on the multi-car quote. There are several add- ons that most insurers offer, which are all optional, meaning you are not required to have these on a typical multi-car insurance policy. 

Add-ons include: 

  • key cover for stolen or lost keys
  • personal possessions cover
  • windscreen cover
  • personal accident cover
  • motor legal protection
  • driving abroad, 
  • breakdown cover
  • protected no claims discount
  • courtesy car

How much discount can I get on a multi-car policy?

Each quote varies depending on the policy holder's circumstances and there are ways you can make insurance premiums cheaper across the board with multi-car insurance. 

For example, you could increase your voluntary excess to reduce insurance premiums and you could also benefit from making each car more secure. As well as this, you can also compare quotes on car insurance providers, using Quidco Compare.

Compare car insurance with Quidco

Like any other comparison site, we work with the best providers to find you great deals. We'll also give you £35 cashback on top when you take out a policy.