can you have two car insurance policies

Can You Have Two Insurance Policies On One Car?

Driving an uninsured vehicle is illegal in most states. But, can you have two car insurance policies on one vehicle?

In this guide, we cover everything you need to know about whether you can double insure a car, whether it’s legal and a good idea, the disadvantages, and whether you can claim from both policies.

So, while it is essential to cover your car, keep reading to find out whether double insuring is worth the hassle.

Is It Illegal To Have Two Policies On One Car?

Can you have two car insurance policies? Yes, it is perfectly legal to insure a vehicle twice. But, keep in mind that insurance companies won’t cover the same car twice. So, if you want to insure the same vehicle more than once, you’ll need to take out a second policy with a different insurance firm.

However, while you can have multiple car insurance policies, what is not legal is filing a claim with two separate insurers for the same problem, as this constitutes insurance fraud.

Should You Buy Two Car Insurance Policies for the Same Vehicle?

Can you insure a car twice? Yes. Should you?  We don’t recommend it.
Firstly, many firms highlight that taking out dual insurance violates their policy on their insurance quotes. As a result, if you are in an accident and the insurer discovers you have an additional policy, they may not pay out.

However, can you have multiple car insurance policies if you have more than one vehicle? Yes. We recommend this since insuring a car is a legal requirement in most states. Further, this often lowers your auto insurance rates.

can you insure a car twice

Will I Get Paid More If I Have Two Car Insurance Policies?

So, here is the question on most people’s lips, can you insure a car twice? Yes. But does this mean you’ll get paid out more? Definitely not.
It is acceptable to dual insure your vehicle with two separate insurers. However, if you were involved in an accident and submitted the same claim against both policies to get paid out twice, that is considered unjust enrichment and constitutes fraud.

Although you have dual insurance, legally, you may only submit the claim to one insurer.

Can You Have Taxi Car Insurance and Car Insurance on the Same Car?

If you drive a yellow cab taxi, having taxi insurance is adviseable as this covers certain areas typical car insurance won’t.

However, suppose you work as an Uber, Lyft, or Limousine driver and use your own vehicle. In that case, we suggest looking into TLC insurance quotes to cover your vehicle with commercial auto insurance with an additional clause that covers the transportation of passengers, giving you insurable interest.

What Are the Disadvantages of Double Coverage?

Can you have two car insurance policies? Yes. Is this advantageous? Mostly, no. Having a dual-insured vehicle can be disadvantageous for several reasons. So, let’s see why:

can you have multiple car insurance policies

Paying Twice

Firstly, can you insure a car twice? Yes, but you’ll need to take out policies from two different insurers, meaning you’ll need to pay twice. While this is an expensive exercise for most drivers, remember that car insurance for young drivers is even more costly, so while you think you’re giving the new driver in your family additional insurance coverage, you’re just spending unnecessarily.

Longer Payouts And Higher Premiums

Another reason we advise no when asked can you double insure a car is that should you attempt to claim from both; this can lead to increased premiums on both policies. Further, should these two insurers need to decide who will pay what portion of the claim and they cannot reach an agreement, this may mean they will take longer to payout or no payout at all.


Can you insure a car twice? Yes. Can you claim against the car twice for the same accident? No, as this constitutes fraud. While you can have two car insurance policies and you can insure a car twice, this is disadvantageous as it can lead to mishaps. For instance, mistakenly claiming one vehicle for the same accident from two insurers could land you in hot legal water.