Can You Insure a Car You Don’t Own?
Non-owner car insurance is becoming more common practice as some people find it to be more convenient and cost-effective to simply borrow a car when they need it rather than purchasing a vehicle.
But is it the right option for you?
Here’s everything you need to know about insuring someone else’s car.
Do you have to own a car to insure it?
No, you don’t need to own a car to insure it. Many drivers don't own a vehicle themselves and instead borrow cars when necessary. Whether you're borrowing a car for a special event or need one in an emergency, you’ll still need insurance to cover you while driving.
Insuring someone else’s car is common, but not all insurers will offer primary driver coverage if your name isn’t on the car’s DVLA registration. It’s a good idea to shop around for a policy that allows you to be covered even if you’re not the registered owner. Your options include taking out short-term or temporary car insurance, or adding yourself as a named driver on the car you're borrowing. Just be sure to inform the insurer that you aren’t the owner or registered keeper of the vehicle.
How does car insurance work if I don’t own the car?
If you don’t own the car but need insurance, the first step is to inform your insurer that you are neither the owner nor the registered keeper. Insurance providers typically require you to have an "insurable interest" in the car to be insured as the main driver. This means you must have a legitimate connection to the vehicle, such as:
- Being the spouse or partner of the owner/registered keeper
- Driving your parent’s car
- Driving a company car
- Driving a leased car in your name
How much does it cost to insure a car I don't own?
Car insurance policies for vehicles you don’t own often cost more than a standard policy. This is because insurers tend to assume that you are more likely to make a claim on a car that you don’t actually own, placing you at a higher risk.
It may work out cheaper to be added to the owner’s existing car insurance rather than taking out your own policy, as temporary cover sometimes works out to be more expensive than standard premiums. It’s worth comparing quotes from different insurers though, as not all of them will charge more for short-term insurance.
How does insuring someone else's car work?
Insurance cover for a car you don’t own typically works in the same way as your standard insurance premium. Adding yourself as a named driver on someone’s policy allows you to drive the car according to the insurer’s terms and conditions. The main difference is that you will have to make sure you’ve made the insurer aware that you are not the owner or registered keeper of the car.
Other situations include if:
- You’re the main driver but don’t own the car: You’ll need to buy your own insurance policy and let the insurer know you don’t own the car.
- You’re driving a car temporarily: Temporary car insurance usually lasts from one to 28 days but can be as long as three months.
Can I insure myself to drive any car?
Yes, you can insure yourself to drive almost any car, even if you’re not the owner, as long as you have the owner's permission. There’s no limit to how many people can be insured to drive a car. This is especially common among younger or newer drivers, as being a named driver on someone else’s insurance policy can often be cheaper than owning a car.
Whether you’re a family member, friend, or colleague, you can be added to someone else’s insurance if you have their consent.
Who’s the registered keeper of a car?
The registered keeper of a car is the person that’s named on the DVLA registration for a car, meaning it doesn’t have to be the car’s owner. You can be the registered keeper of a company car or a leased car, for example.
Does the registered keeper have to insure the car?
Technically, the registered keeper of a car doesn’t necessarily have to be the insurance policy holder for that car. However, there are some insurance providers that won’t allow you to be the policy holder unless you are the registered keeper.
Does the main driver have to be the registered keeper?
This often depends on the insurance provider. In some cases, insurance providers will only insure you as the main driver if you’re also the owner or registered keeper. But you don’t have to be the registered keeper or owner to insure a vehicle – you can take out a non-owner car insurance policy, although not all providers offer this.
FAQs
- How can someone else get insured on my car?
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There are a few ways to insure someone else on your car. The most common option is adding them as a named driver on your policy, though keep in mind that if they’re involved in an accident, it could affect your no-claims discount.
Alternatively, the other person could take out their own policy on your car, though they may need to have an insurable interest in it, such as being your spouse, civil partner, or child. Another option is for them to take out a temporary insurance policy for your car.
- Will all insurance providers cover me to drive someone else’s car
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It depends on the insurance provider. Most will be happy to insure you on someone else’s car, but they want you to have an insurable interest in the car. Examples of this could be when you’re driving your spouse’s car or parent’s car.
- Do I always need to take out insurance to drive a car I don’t own?
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Yes, you must have insurance to drive a car you don’t own. Driving without insurance in the UK is illegal.
- Is it more expensive to insure a car I don’t own?
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It is sometimes more expensive to pay for a standalone insurance policy on a car you don’t own, as insurers may view you as a higher risk.