Insuring a car when you're not the registered keeper or legal owner

Shants

Hello, 

So I took out a 4 year HP finance car two years ago and I am now half way through the payments. As I am now working from home and my partner is driving to work I would like to give it to him to drive. He is happy to put the insurance in his name however is this still possible if he is not the legal owner or the registered keeper (I am the registered keeper) I would be on the insurance as an additional driver but as he is driving most of the time he would be the main driver. FYI we do not live together and I would like to remain the registered keeper.  

neilmcl

Yes it's possible, how do you think anyone leasing a car insures them.

k3lvc

Firstly do the HP company (who 'own' the car) allow you to 'give it' to a third party ? If the worst happens and he's not your partner any more you're still liable for the costs of the car even he disappears with it 

Assuming you're happy to take that risk then what you're really asking is can someone other then Registered Keeper be insured as Main Driver with (presumably) the car being kept at an address that's different from where it's registered ?

I've done it on motorbikes with my Dad but not in last couple of years - was never an issue

jimjames

Yes it is possible. I'm owner & RK of my car but my son has insured it in his name

Shants

k3lvc said:

Firstly do the HP company (who 'own' the car) allow you to 'give it' to a third party ? If the worst happens and he's not your partner any more you're still liable for the costs of the car even he disappears with it 

Assuming you're happy to take that risk then what you're really asking is can someone other then Registered Keeper be insured as Main Driver with (presumably) the car being kept at an address that's different from where it's registered ?

I've done it on motorbikes with my Dad but not in last couple of years - was never an issue

Thank you, the HP company contract say's I should not part ways with day to day control of the vehicle so not entirely sure if that applies as I will still have ultimate control he would just be borrowing it long term until I go back to work. We have been in a long term relationship so I trust he wouldn't run away with it. 

Thank you, I guess I'll just try and see what comes up.

neilmcl

Shants said:

k3lvc said:

Firstly do the HP company (who 'own' the car) allow you to 'give it' to a third party ? If the worst happens and he's not your partner any more you're still liable for the costs of the car even he disappears with it 

Assuming you're happy to take that risk then what you're really asking is can someone other then Registered Keeper be insured as Main Driver with (presumably) the car being kept at an address that's different from where it's registered ?

I've done it on motorbikes with my Dad but not in last couple of years - was never an issue

Thank you, the HP company contract say's I should not part ways with day to day control of the vehicle so not entirely sure if that applies as I will still have ultimate control he would just be borrowing it long term until I go back to work. We have been in a long term relationship so I trust he wouldn't run away with it. 

Thank you, I guess I'll just try and see what comes up.

They won't care who's driving it as long as their payments are met.

rockey100

Yes, your partner can insure and drive the car with your permission.

The car still belongs to the lending company although you are the registered keeper.

Any of the mainstream providers will insure your partner.

Biggus_Dickus

@Shants

As per previous advice, you’ll need to scrutinize your particular HP agreement Ts&Cs. However, in my somewhat limited experience the HP company  will probably??  stipulate  that the person who has taken out the loan must be the main driver (i.e. the person who drives it most) and must also be the insurance policy-holder.

The HP company own the car and until the HP loan is paid in full they need to protect their asset as best they can;...ensuring that the HP loanee is the ‘main driver’ and also the ‘insurance policy holder’ is how they do it. The HP loanee is also the ‘registered keeper’ and that cannot change until the debt is paid off. You can have other ‘named’ drivers added to the insurance policy but they must not be the ‘main’ driver.

If you are the ‘main’ driver/insurance policy  holder and you allow your partner (who resides at a different address) to drive the car on an everyday basis you will (probably??) be in breach of the HP agreement Ts&Cs,...I’ve no idea what the consequences might be though.

You could also leave yourself open to accusations of insurance ‘fronting’ should you need to make a claim, or have a claim made against you.   Insurance ‘fronting’ carries a risk and although classed as fraudulent behaviour it’s not uncommon within families/drivers who reside at the same address. When the ‘fronting’ stretches to an undeclared address then the risk is significantly increased.

However, your particular HP company may??  be ok with your partner (who doesn’t live with you)  insuring the car as ‘main’ driver/policyholder and adding you as a ‘named’ driver. If your partner does become the main policyholder he/she will need to tell the insurance company that  you, as ‘named’ driver, are also the registered keeper. In that situation having a ‘named’ driver who is also the registered keeper should help bring the insurance cost down.

I have no idea how steadfastly the HP companies enforce their own Ts&Cs and I'm certainly no expert;...some may be more lax than others. As stated above, study your own Ts&Cs carefully!

 

 

  

Car_54

k3lvc said:

Assuming you're happy to take that risk then what you're really asking is can someone other then Registered Keeper be insured as Main Driver with (presumably) the car being kept at an address that's different from where it's registered ?

The car isn't registered at an address. The address on the V5C is simply where the RK can be contacted.

chrisw

Just keep the insurance in your name, add him as a named driver but declare him as the main driver.

Shants

chrisw said:

Just keep the insurance in your name, add him as a named driver but declare him as the main driver.

I didn't know this was possible, thank you