Hi, we have a joint policy with esure with Mrs LDM as main driver and myself as a named driver. Fully comp etc.
recently my dad gave us ( gave up due to getting past driving) his wee corsa for stepdaughter who doesn’t drive yet and doesn’t need a car as she’s at college in Glasgow. I have V5 but haven’t changed name yet. Now In-laws car has died and they would like to borrow the corsa. I was planning on adding it to our insurance but would we be better getting them to take out separate policy to cover them or add both MIL and car to ours?
You'd have to run the numbers, but I'd hazard a guess that it's cheaper overall if the inlaws come to a deal between themselves, and then they can just give it to the daughter in the future, depending on circumstances.
Seems to be over complicating the situation if you become the 'middle man'.
Not much point for you or the daughter taking responsibilty for it, as it seems like it would be more of a liability than a benefit, especially if the daughter doesn't have a licence and doesn't need a car yet...
"a wee Corsa" I'm guessing isn't worth a huge amount and it's a depreciating asset, so unless its being used to get some value from it, its just a financial liability.
Much cleaner and easier and more legal to get them to take out their own policy. If they are going to be main drivers then they should hold the policy. There is a name for have main drivers incorrectly listed as named drivers, I can't remember what it is but very much frowned upon
There is a name for have main drivers incorrectly listed as named drivers, I can’t remember what it is but very much frowned upon
It's called 'fronting' it's technically fraud. Also a lot of standard car insurance policies won't entertain a policy for a person who isn't the owner/registered keeper of the car.
If theres a crash or something, things could get very messy very quickly.
Keep it simple... If inlaws 'A' want to loan thier car, to inlaws 'B', that's their business. After that is done, then the car can be given to you or the daughter. No need to be getting in the middle.
Was aware that things could get messy and potential fraud aspect. Should we/ do we need to change owner on V5?
Was aware that things could get messy and potential fraud aspect. Should we/ do we need to change owner on V5?
No, it's not your car, it's your dads car. If you dad wants to lend it to your mother in law, that's between them, don't get involved.
After the inlaws return it to your dad after 'borrowing it', if he then want's to sell or give it to you (or your daughter) then you change the registered keeper to you or your daughter.
