Help car insurance legal

mikey72

BAA1 wrote: »

A Limited Company can buy a car for the use of one of it's employees.

The car can be registered in the company name or in the name of the employee.

The insurance policy can be in the company name with the employee named as the main driver or an individual policy in the name of the employee can be taken out stating that the car is owned by the company.

If the car is being purchased using a finance agreement, then the terms of that agreement need to be adhered to, but if the finance agreement does not insist on the registered keeper being the same name as the insurance policy holder, then the car dealer is wrong, the insurance policy does not need to be in the same name as the V5C

I have to take your word on registering a ltd company car to an employee, maybe it works for large companies, but it seems a tax nightmare for me.
I haven't found any insuer that would insure either, where I'm not the owner, but it's a gift off my company, and I'm the registered keeper. So who do they pay out to for a total loss, keeper or owner? Who agrees on the valuation?


Only thing that works is if I keep the identities separated.

System

Many years ago, when I was the director (and sole employee) of my own Ltd Co. the car was owned by the company for tax purposes, it was registered in my name and I informed my insurance company that the car was owned by the company and I was the policy holder and the main / sole driver.

I have not seen anything that would change the way insurance would work today, so I would assume the above is still possible.

Many larger companies use lease cars as company cars, so the ownership, registered keeper and policy holder could be any one of the three interested parties, I assume.

mikey72

I wouldn't assume anything with car insurance.
Things have changed from years ago, so it's down to the op to get confirmation from their insurer that what they have arranged is acceptable.
Hope they post back and tell us the result.