Multi-Car Insurance Explained: How Does It Work?

By the Mercury Team

Are you wondering, “Can you have two car insurance policies?” or searching for the best way to handle insurance for multiple cars? Luckily, many insurance companies offer multi-car discounts, allowing you to put all your vehicles under one policy while saving money. Whether you have cars for commuting, leisure, or a mix of purposes, exploring the option of a multi-car policy could be the best option for covering your vehicles without breaking the bank.

What Is A Multi-Car Discount?

Insurers commonly offer multi-car discounts when vehicles garaged at the same address are combined and listed on a single auto insurance policy. Some restrictions may apply, so be sure to ask your Mercury Agent for more information.

How Does A Multi-Car Insurance Policy Work?

Instead of insuring each vehicle separately, a multi-car insurance policy covers all of your cars under one policy. This unified coverage can include a variety of vehicles, such as cars, trucks, SUVs, and more. You can customize the policy details for each vehicle, including coverage limits, deductibles, and optional coverages.

The primary driver, typically the policyholder, is the person who drives the most. You can add other household drivers as named drivers to the policy, however, the insurance company will consider the driving records of all drivers when determining the premium. To calculate the premium for a multi-car insurance policy, the insurer adds the cost of insuring each vehicle individually and then applies a multi-car discount. The size of this discount varies by company and depends on the number of cars insured.

Each term, your insurer will send you a renewal notice for your policy that includes updated rates and a description of your coverage. If you have multiple cars and policies, you may have more than one renewal. Some providers may link all renewal dates together, and others may not so ask your agent if you need clarification. Additionally, some auto insurance policies include fees. When you insure multiple cars under one policy, you generally pay renewal and other fees for just that single policy instead of paying them for multiple policies.

How Many Cars Can You Have On Your Insurance Policy?

The number of cars you can have on a multi-car insurance policy can vary, depending on the insurance company. Some insurance companies will allow you to insure up to five cars on one policy, while others might allow even more. It’s best to check with your insurance provider to understand their coverage.

How To Get A Multi-Car Insurance Discount?

To get a multi-car insurance discount, you typically need to follow these steps:

• Own multiple vehicles: You must own more than one vehicle to qualify for a multi-car insurance discount. These can be cars, trucks, SUVs, or a mix of vehicle types.
• Choose the right insurer: Not all insurance companies offer the same discounts or terms for multi-car policies. Shop around and compare multi-car insurance quotes from several insurers to see who offers the best discount for insuring multiple vehicles.
• Combine policies: When you decide on an insurer, you’ll need to combine your vehicles under one policy. This often involves providing details about each vehicle (make, model, year, etc.) and the drivers in your household.
• Customize coverage: Although your vehicles will be under one policy, you can typically customize the coverage for each vehicle. This means you can choose different levels of coverage, deductibles, and add-ons based on each vehicle’s needs and how you use it individually.
• Review driver assignments: If your policy allows, make sure to accurately assign primary drivers for each vehicle. The age, driving record, and driver experience can affect your premium and potential savings.
• Apply for the discount: Some insurers might automatically apply a multi-car discount when you add more than one vehicle to a policy, but others may require you to request it. Discuss this with your insurance agent or review your policy details to ensure you receive all eligible discounts.
• Consider other discounts: Beyond the multi-car discount, consider bundling your auto insurance with other policies, such as homeowners and renters, to maximize your savings. Insurers often offer significant multi-policy car insurance discounts. Ask your insurer about bundling and other potential savings opportunities like safe driver discounts, anti-theft device discounts, and low mileage discounts.

Benefits of Insuring Multiple Cars on One Policy

There are several benefits of insuring multiple cars on one policy, including:

• Convenience: Having all of your vehicles on one policy simplifies the management of your car insurance. You only have one policy number to remember, one premium to pay, and one renewal date to keep track of.
• Flexibility: Multi-car policies usually allow you to customize the coverage for each vehicle. For example, you could choose comprehensive coverage for a newer car and liability-only coverage for an older car.
• Cost savings: Many insurance companies offer a multi-car discount, which can lead to significant savings. The discount typically increases with the number of cars you add to the policy.
• Streamlined claims process: If two or more of your cars are involved in the same accident, you’ll only have to file one claim and deal with one insurance company.
• Easier policy updates: With a multi-car policy, adding new purchases or removing vehicles you’ve sold from your policy is generally straightforward. You can also assign primary and secondary drivers to each car, which might influence your premium based on each driver’s risk profile but allows for greater flexibility in how vehicles are used.

Conclusion

A multi-car policy helps streamline your insurance management and offers substantial savings, ensuring you’re getting the most out of your typical auto insurance coverage. Don’t wait to make a great choice for your multi-car household. Contact Mercury today and discover how you can save with car insurance discounts while enjoying the peace of mind of knowing all your vehicles are properly protected.

Start your multiple car insurance quote today!

FAQs

What are the leading auto insurance companies for multi-car policies?

Mercury Insurance is one of the leading providers of multi-car policies, offering competitive discounts when you insure more than one vehicle on the same policy. Contact a local agent today to learn how much you could save by combining your cars under one plan.

How can I lower my car insurance covering multiple cars?

With Mercury, you can save by insuring all of your vehicles under one policy and taking advantage of a multi-car discount. You may also be able to lower your premium even more by bundling auto with home or renters insurance, keeping a clean driving record, or paying your policy in full.

Who is eligible for multi-car insurance?

You’ll usually qualify for a multi-car policy if the vehicles are kept at the same address and belong to people in the same household. You can list cars, trucks, or SUVs under one policy, making it easy for families or roommates to share coverage and save.

Are there risks of multi-car insurance?

The main risk is that premiums are influenced by all drivers on the policy. So if one driver has a spotty driving record, it could raise the overall cost. Aside from that, a multi-car policy gives you the same protection as separate policies, just with the bonus of extra savings.

Are multi-car insurance policies cheaper?

Yes, they’re usually cheaper per vehicle because insurers apply a multi-car discount when you add more than one vehicle to a single policy. The discount typically increases with each additional car, helping lower the cost compared to separate policies.

Can you have multi-car insurance at different addresses?

Most insurers require vehicles to be garaged at the same household address to qualify. There can be exceptions, like a child who’s away at college, but it’s best to check with your insurer to see what qualifies.

What is multi-car and van insurance?

Multi-car and van insurance simply means covering two or more vehicles (such as cars and vans) under one policy. It makes things easier with one renewal date and one bill, and you can save money since insurers typically offer discounts when you bundle multiple vehicles together.

What is triple car insurance?

Triple car insurance isn’t an official type of coverage, but it can refer to a multi-car insurance policy with three vehicles under the same plan.