While no law prohibits you from buying two policies from two different companies, an insurer won't allow you to buy two policies for the same car. If you have a car accident, filing two claims with two different insurance providers constitutes insurance fraud even with two car policies. If you have more than one car, you can insure both with two different policies. And in some cases, that might make sense.
For example, suppose you only plan to drive your second vehicle from time to time. In that case, it might be more cost-effective to buy a policy that allows you to pay by the mile than to add your second car to your current policy. Learn about car insurance for everyday trips and the price you'll pay to buy insurance for a second car depends on several factors, such as where you live, the type of car you have, your driving history, the types of car insurance coverage you buy, and more. On the contrary, keep in mind that insurance companies often grant multi-car discounts to auto insurance policies that have more than one vehicle.
Following the example above, let's say you choose to have your daily car insured by an auto insurance company A. Getting insurance for a second car usually doesn't cost as much as buying a policy for the first, thanks to multi-vehicle discounts, special car insurance policies, and usage-based car insurance options. Having two car insurance policies isn't very common, but it's not as unheard of as you might think. If you're interested in having two car insurance policies or wondering why someone would choose to have two car insurance policies in the first place, keep reading.
In addition, some airline laws and regulations do not allow duplication of coverage or two car insurance policies for two different cars. That said, there are several reasons why two car insurance policies might make sense or be favorable in terms of costs. So, if you create two car insurance policies with the same insurance company, you won't get a discount for multiple cars. One way that two drivers can get separate car insurance policies for a vehicle is through liability car insurance for people who are not the owner's.
And if you have a classic car, a classic car insurance policy can offer specialized coverages that aren't available with standard car insurance. Many insurance companies offer insurance discounts for multiple vehicles, which can help you save money on your car insurance premium. But if you also have a weekend car or one that you use for sports, such as a day at the track or an SUV, you may want to insure your second vehicle with a second insurance policy. As in the cases of duplicate coverage mentioned above, separate car insurance policies for two different vehicles are likely to cost more money than if you were to cover both cars with a single policy.
Having separate car insurance policies could be beneficial, considering that you don't drive your sports car as often as you do with your daily driver, who you use to get to and from work every day. An advantage of buying separate auto insurance policies for two cars is that you can find a better deal depending on the model, features, or use of that vehicle.