Car ownership on PCP/Hire Purchase

rs65

ripplyuk wrote: »

I think the customer service rep I spoke to hadn't a clue

I think you are right. If they can insure a company car or a lease car, I can't see why they won't insure a car on finance.

ripplyuk

I've actually been quite shocked at the lack of knowledge with the insurers I've spoken to this week (which was lots of them!) Here's some examples of the things I've said to them and their responses:

I tell them the car is under finance:
'Oh, so it's a company car then?'

I say I am the registered keeper on the V5C:
'Well, then you're the owner. That's what the law says' (despite me pointing out that it says in big letters -Not Proof of Ownership)

I explain that the finance is a PCP agreement, a Personal Contract Purchase:
'What's that?' (every single insurer I've spoken to!)

That's just a taster :rotfl:

mills705

There are two questions here.
1) who owns the vehicle?
2) who is the registered keeper.

Usually there is an option for lease or company in the who owns the box. Then the registered keeper is usually the policy holder.

What complicates things is that the person who is the policy holder must have an insurable interest in the vehicle. Basically will you suffer financially as the vehicle has been written off. So the problem might be more with the fact it's your mum that has the finance rather than what you are saying..

ripplyuk

I didn't even get as far as mentioning my mum with a lot of the insurers. As soon as I said 'my car is under finance', the problems started.

It was because I was a bit pedantic saying that, legally, the finance company own it until it is paid off. I was only mentioning it as a technicality. But that's when they all became confused.