right guys... serious thread from me! (for once :))

23 replies
Found 14th Sep 2010
basically, im looking at buying a car on finance, and as im a young driver, i need to insure it in a parents name for cheaper insurance. Im just wondering if anybody knows if i can get the finance in MY name but insure it in one of my parents names? need to know this ASAP as im looking at buying the car within the next week!

thanks

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23 Comments

Should be fine as they'll both be seperate transactions, unless you're doing it through 1 company?
Edited by: "birdyboyuk" 14th Sep 2010

Original Poster

birdyboyuk

Should be fine as they'll both be seperate transactions, unless you're … Should be fine as they'll both be seperate transactions, unless you're doing it through 1 company?



nope completely different companies, i just wanna know to make sure im not breaking the law as i dont want to get pulled over and get told by the police that im uninsured and get points/fines/lose my license etc

pretty sure has to be all in parents name as the car can only be insured by car owner. and only financed by legal owner

I thought I read a while back you owned an Evo or something?

You can do what you are asking, but think about it. If you crash the car and the insurance company find out that it is your car (which they hire people to do such a task) - You will be liable to pay monthly for the car until the finance is cleared, and you won't have the car!!

I would take it on the chin with this one, put you as the first main driver, chuck one older person on there as a named driver, this will reduce the premium by about a third usually. Use Swift Cover

Original Poster

numptyj

I thought I read a while back you owned an Evo or something?



no, i was looking at buying one, then i lost my job LOL but now im in a job where im a supervisor so i have very minimal chance of losing it.

deek72

fronting



End of the day, even though its not legal, the insurance companies know it goes on, and turn a blind eye to be honest, it's only when these people try to claim you may be in the tommy tit.

I would try to keep on topic here, we all know the legalities of the situation. OP is asking a genuine question, it's up to us to provide fair advice. Not all turn into traffic cops.

I've just re-read the OP properly...I took it as tho you will be on the insurance policy as well as your parents.
Edited by: "birdyboyuk" 14th Sep 2010

If you put them as the main driver when you actually are then your insurance is invalid, so may aswell save money and not bother getting any.
+1

dcx_badass

If you put them as the main driver when you actually are then your … If you put them as the main driver when you actually are then your insurance is invalid, so may aswell save money and not bother getting any.


+1

2SHADOW2

pretty sure has to be all in parents name as the car can only be insured … pretty sure has to be all in parents name as the car can only be insured by car owner. and only financed by legal owner



A parent could finance the purchase of a vehicle by a Hire Purchase agreement & their offspring could be the registered keeper (on the Vehicle Registration document), but the vehicle would not be the legal property of the parent or the child until the finance was settled.

The same parent could insure the vehicle & the main driver (or only driver) could be somebody completely different, or somebody else could hold/initiate an insurance policy on the same vehicle whether it was financed in their name or not. This would have to be declared during the initiation of the policy though. Insurance Companies have started to clamp-down on this behaviour though & may not allow the policy to be created if the policy holder is not a named driver.

Some insurance Companies do not allow more than one policy active on one vehicle concurrently (for example, a different policy for two named drivers), but some like to share the risk.

Re: Deek72's link on "fronting":

deek72

fronting



Do you still reside at your parent's address, danny09?

BFN,

fp.
Edited by: "fanpages" 14th Sep 2010

Original Poster

right i will explain it an easier way.

im still living at home with my parents, i want to buy a car, my dad will be insuring it, he will be the primary driver, i will be the secondary driver, so he will be using the car as much as i will be so i wont be "fronting" unless i have read it wrong. I will be having the charge for the finance coming out of my bank account each month, but the insurance will be coming out of my parents bank account as my dad will be using the car as well.

danny09

right i will explain it an easier way.im still living at home with my … right i will explain it an easier way.im still living at home with my parents, i want to buy a car, my dad will be insuring it, he will be the primary driver, i will be the secondary driver, so he will be using the car as much as i will be so i wont be "fronting" unless i have read it wrong. I will be having the charge for the finance coming out of my bank account each month, but the insurance will be coming out of my parents bank account as my dad will be using the car as well.



That should be fine.

danny09

he will be the primary driver, i will be the secondary driver, so he will … he will be the primary driver, i will be the secondary driver, so he will be using the car as much as i will



Hmmm. Ok, if you say so..

Original Poster

deek72

Hmmm. Ok, if you say so..



no he actually will thats the thing lol, because my mum needs her car more as shes a mobile hairdresser so he will be using it to get to work and i'll be using it to get to college, he'll be using it for shopping, i'll be using it for socialising.

The insurance company may ask who owns the vehicle, &/or may ask if it is under a finance agreement, but they do not need to know how the payments are made as this is not relevant to insure it (&, arguably, none of their business!).

BFN,

fp.

Original Poster

fanpages

The insurance company may ask who owns the vehicle, &/or may ask if it is … The insurance company may ask who owns the vehicle, &/or may ask if it is under a finance agreement, but they do not need to know how the payments are made as this is not relevant to insure it (&, arguably, none of their business!).BFN,fp.



quality thanks FP!

danny09

no he actually will thats the thing lol, because my mum needs her car … no he actually will thats the thing lol, because my mum needs her car more as shes a mobile hairdresser so he will be using it to get to work and i'll be using it to get to college, he'll be using it for shopping, i'll be using it for socialising.


OK, well don't drink and drive then...

danny09

no he actually will thats the thing lol, because my mum needs her car … no he actually will thats the thing lol, because my mum needs her car more as shes a mobile hairdresser so he will be using it to get to work and i'll be using it to get to college, he'll be using it for shopping, i'll be using it for socialising.



Will your father be using the vehicle for business activities to undertake duties as part of his employment, or just travelling to/from a fixed place of work (or a semi-variable location) on a regular basis?

If used for business purposes, then the insurance policy risk (& hence the premium) will need to take account of this & you may find that having two separate policies (one for business use for him & one for social, domestic, & pleasure use for you) is cheaper than a combined policy for both drivers.

BFN,

fp.

Sloth/Mod

The insurance company may smell a rat when they ask the obligatory........'Are you the registered keeper?' question to your dad and he says 'no, my son is........oh and i want him on the policy too'

May not be an issue but some may refuse to insure.

Read this -

cliosport.net/for…ame.

Theres loads of thread online about people fronting their car insurance, even if as you say your parents are going to be the main driver, if the insurance company think there's foul play they will not pay.

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