Is it possible to insure a car you don't own?

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  • Andy_L
    Andy_L Posts: 12,789 Forumite
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    Surely the son does have an insurable interest in the car despite not owning it: He's responsible for any damage caused to the car & to 3rd parties. Otherwise how would people on HP deals insure the car?
  • MarkyMarkD
    MarkyMarkD Posts: 9,912 Forumite
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    I think that the insurable interest point is debatable. It depends IMHO on the substance of the car being "owned" by lisyloo. I don't think she really means that she wants to own it - she wants to know that her nephew can't sell it until he's paid for it in full. But she would expect him to pay for its care and maintenance and to take the financial risk of its depreciation etc.

    Effectively she wants him to own the car, but for the loan to be secured on the car. In that case, he evidently DOES have an insurable interest.

    I think your point regarding responsibility for the car is also relevant and I can't honestly justify how being responsible financially for any damage to the car cannot constitute an insurable interest.

    So, after some further thought, I agree with you Andy. :beer:
  • nibs
    nibs Posts: 577 Forumite
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    Hi,just wondered if the law was still the same as this old thread.
    This is the situation -
    DH owns the car (but has just bought a new one).
    He wants to keep the old one as we will give it to my DS next year.
    We are happy to allow my niece to use it for a year.

    Can she legally insure it while DH is the legal owner and registered keeper?
  • property.advert
    property.advert Posts: 4,086 Forumite
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    You could insure it but have it any driver which might be cheaper than selecting a 22 year old as main driver.
  • dacouch
    dacouch Posts: 21,637 Forumite
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    property.advert wrote: »
    You could insure it but have it any driver which might be cheaper than selecting a 22 year old as main driver.

    Please be very careful if you decide to follow this advice as it could cause lots of problems even if you do succeed in finding an insurer that does not restrict their any driver policies to drivers over 25
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