2 insured on one car

[Kos]

Is it true that most insurance companies, in the event of one driver making a claim on a car that has 2 policies, that they will cancel the No Claims of the other driver?

[boxtops]

You can't have two policies on one car - you can have two drivers named on the one policy.

[factor-fiction]

Yes, please can you clarify the question. If you mean where a policy also covers a named driver then yes- if a claim is made involving the named driver then it could affect the No Claims of the policyholder, but it wouldn't apply the other way round

[ChuckFickens]

As above, you can't have two policies on one car, only one person can own the car so only one person has a insurable interest in the car.

You can't insure something you don't own.

[flip_flop]

You can have two policies on one car - in fact, there can be any number of policies on the same item.

However, where there are two or more policies of an indemnity nature covering the same thing, the common law principle of contribution applies, which is a corrolary of indemnity, whereby each insurer pays the rateable proportion of the loss. So, if there was a £900 loss, and insurer (a) premium was £100 and insurer (b) premium was £200, insurer (a) would pay £300 and insurer (b) would pay £600.

You do not have to own something to have an insurable interest in it. The acid test is whether the destruction of something will cause you a financial loss. This is why it is perfectly OK to insure, in your own name, a hire car.