[Question]: Insurance in other people's name

[Guest Munky]

NB: I've tried posting this thread about 10 times, and it won't work. If for some reason I have created a new thread each time, apologies and I'll delete the duplicates asap.

Hey

I just have an insurance question. I know insurance is a topic done to absolute death, but before you spam me with 'use the search function' replies, please realise this topic is a specific question regarding insurance and is thus harder to find information on using the search function.

Anyway, I was just wondering (hypothetically of course), if it is worth a person insuring their car in another person's name without any mention of them on the policy. One of my mates who is in a similar situation as me (ie. imported car at a young age with little driving experience and no no-claim bonus) insured his car in his dad's name. He was recently in a pretty serious accident (the car was very damaged), and since he wasn't on the policy and he was driving the car, he just had to pay a $2000 excess (not cheap by any means, but a hell of a lot cheaper than it would cost him a year for full comp in his name).

Now I know a downside is that the insurance company might not even pay for the damages, and also that your no-claim bonus doesn't grow, but I was just wondering what is the exact stance insurance companies take on this method of insurance.

For me, there are not many options for insurance. I am in the statistically worst category as far as insurance companies are concerned, and my car is a big expense for them to risk insuring me.

I've rung all the major insurance companies for imported cars and got similar responses:

- Famous said 'we won't touch it'

- Young and Cool said '$6200 a year for full comprehensive' (and thats not taking into account that I would have to lie about the price of the car as it exceeds their cover range)

- Just cars quoted about $4500 - $5000 a year full comprehensive

All the major insurance companies wouldnt consider me.

Even though it isn't turbo, most of the companies don't discriminate between the two and hence its no cheaper for me.

My only other option is Third party but this is very risky considering the price of the car, and the fact that third party doesnt cover theft or fire in NSW.

Any suggestions at all would be greatfully appreciated!

More details:

Car: 1998 Skyline R34 25GT

Mods: Factory nismo kit, standard rims, standard interior, 6 stacker stereo

Price: $31 000 (please don't ask me why I paid this much or how I got the money, that isn't relevant)

Thanks guys

[Jimbo2000]

i'm suprised to read they even covered him during the crash,

to my knowledge if you crash the car and are uncovered and it all pretty much points to an insurance rought (lets admit it) they have no responsibility to pay to fix the car/to fix the other car/to fix you.

correct me if i'm wrong guys

[red900ss]

...

but I was just wondering what is the exact stance insurance companies take on this method of insurance.

...

Hmm, let me ponder this for half a nano second...

Insurance claim containing a false statement=fraud.

Simple.

[Blitz]

Obviously you arent aware that some of our insurers are on this forum and in fact one of the ones you mention above is reading this very thread as I type this post.

Trying to pull the wool over the eyes of your insurance company isnt smart.

[Guest Munky]

Obviously you arent aware that some of our insurers are on this forum and in fact one of the ones you mention above is reading this very thread as I type this post.

Of course I know that famous are affiliated with SAU. That's why I posted, thinking that I might be able to get an exact reply regarding insurance companies' stances towards the matter.

Insurance claim containing a false statement=fraud.

That's what I thought which is why I spoke 'hypothetically'. I didn't suggest that I am going to do it, especially since my parents wouldn't want to risk it being not covered in the event of an emergency.

I am currently studying insurance at uni (actuarial studies), so I'm slowly beginning to understand the workings of an insurance company (and thus can appreciate why they won't insure me), but is there any legal/non-loophole method that I could get insurance for my car at a reasonable rate?

Perhaps there are insurance companies which base their policies on the primary driver as opposed to weighting the premium on account of the secondary driver.

Cheers

[FATGTS-R]

I was in the same position many years ago when I first got my license.

My solution was not to buy the car I wanted and instead I bought an AUS delivered POS untill the price was going to be cheaper for me.

Try get a few quotes with your parents as the main driver and you listed as a secondary or third driver.

Technically they should base the quote on the worst risk driver ( you ) but just try and see what happens. Use the same company as your parents as they might give a decent price because of that. ( I doubt it though )

Lastly ask there definition of the secondary driver, meaning if your the second driver on the contract but in reality your the mian driver how do they define this. Basically if you smash it how are they going to find out you are the main driver and not the secondary.

Have you bought the car yet?

If not try ( i know its hard ) and resist temptation and buy a shitter untill the prices of cover aren't ridiculous. Hey, you might even get a bit of experience behind the wheel before you get that dream car.

[Guest Munky]

Have you bought the car yet?

Yep :|

[Riskbreaker]

im in the same boat as you except i havent bought the car, im 23 and was driving a corolla hatch, i stayed as a listed driver bcos i financially could not pay for comp premium for insurance (i had no job at the time) the only way was to stay as a listed driver, now i realised im actually considered as someone who never had insurance =| man insurance really sux.

[ferni]

riskbreaker - racv will cover you (on your corolla or normal non import cars) on driving history, ie driven for 5 years without a claim would give you rating 1

you could use that on your corolla for a few months, then transfer that rating to your import with another company with a 'rating 1' letter from racv

[Riskbreaker]

will that work? i mean the comp is under my mums name can she transfer the policy to me? and i shoot to rating 1? i dunno something doesnt sound right. plus the car is insured with racv

[RON-15H]

in regards to this matter...

i use to work for insruance co. NRMA in claims and disputes and they all suck!!!! and take money off ppl that are tyring hard to live life and they say richer get richer and the poorer get poorer!

One of my friends bought a s14a for $21g received a quote from NRMA for full comprehensive for $19g is like take it or leave and obviously you will leave it.

Im with one of the insurance co that you mentioned and if there is someone working for that insurance company reading this thread look me up BIATCH!

this my point of view I fully can understand were your comming from at the age of 19 i was driving a high performance car after intence convincing from my parents to actually obtain the car that i worked hard for and saved. The best advise i could give is that to pay for the insurance under your name. But if you cant afford to do this and you are getting insurance inorder to cover theft and fire then i would suggest get it under your parents name.

And if your involved in an accident and the other party does not have insurance inorder for them to get there car fixed they have to go through your insurace right? i think they might be able to come to some agreement inorder to change driver details to get there car fixed if no police are invloved.

The ppl that make the decision of liability are no hot shot guru there just a phone operator working in a call center if you can convience them then your sweet. So for the geeks that stat that they havent tried pulling a dodgy with insurance co.

1. there ova 25 and have nothing to really worry about

2. there got a rich family

3. they just dont know how to play the game!

NO HARD FEELINGS INSURANCE CO. WORKERS!

[ferni]

Riskbreaker - not sure which part doesn't sound right

if you insure your corolla with RACV, say you have 5 years driving experience with no accidents they will give you rating 1... once you have that rating one, there is nothing to stop you taking it to another insurance company... saying "here is my letter from my current insurer saying i'm rating 1"

[Blade]

Mate urve asked this same question in another forum

The answer is NO YOU CANNOT DO IT...ITS IMPOSSIBLE THEY ARE NOT STUPID.

How many people do you need to tell you that you have to go 3rd party or pay the big premium for comp!

You buy a jap car...a "supercar" expect to pay the high premium...you should of researched insurance b4 you bought the car..no point spamming forum after forum asking the same question when you alraedy know the answer.

Go 3rd party...drive safe, simple