What Would You Do? Keep As One Policy or Multiple

[sgmstr]

Hello All, New member here and have some questions regarding auto/home insurance. Comments from any of you (especially insurance agents/underwriters) would be very much appreciated.

Residence: California.

my wife and I own two homes. we have my parents live in one and my wife and I live in another and also I pay for all mortgages and taxes. The homes are are less then two miles apart from each other within the same city. My wife and I have two cars and my parents also own two cars.

My insurance agent tells me it IS OK to have one policy for all four cars at one address to save $ on premium for having multiline/multicar (as opposed to having two auto insurances where my parents will only receive multicar) because we own both homes and the homes are very close to each other. He tells me insurance carriers will only question/investigate those who use addresses that are really far from where they actually live to pay lower premium.

This really doesn't sound right and confusing. Can anyone please chime in?

Thanks.

 

[mplsmm]

Hello.
This is a subtle situation, which depends on many other things, factors
I would advise you to contact with our agent, then you will come to a reasonable solution to your problem.
We bring about the most precious – calm, protection, confidence and stability. Fill in the insurance quotes and feel these amazing things together with insurance in New York with NYC-INSURANCE.COM.
I hope, I helped you.

Your blog is every bit as wonderful as I imagined it would be, thank you! Here is just one gem...

1. Your neighbors when felt the smell of smoke immediately call the firefighters and your flat suffered partially. For example, only one room is totally destroyed, but the whole apartment remains the same. In such case, you may cope with the results of the fire by your own even if you do not have homeowners insurance nyc coop.

 

[VolAgent]

Hello All, New member here and have some questions regarding auto/home insurance. Comments from any of you (especially insurance agents/underwriters) would be very much appreciated.

Residence: California.

my wife and I own two homes. we have my parents live in one and my wife and I live in another and also I pay for all mortgages and taxes. The homes are are less then two miles apart from each other within the same city. My wife and I have two cars and my parents also own two cars.

My insurance agent tells me it IS OK to have one policy for all four cars at one address to save $ on premium for having multiline/multicar (as opposed to having two auto insurances where my parents will only receive multicar) because we own both homes and the homes are very close to each other. He tells me insurance carriers will only question/investigate those who use addresses that are really far from where they actually live to pay lower premium.

This really doesn't sound right and confusing. Can anyone please chime in?

Thanks.

You may be able to have all the vehicles on one policy. It will depend on the company and their guidelines. If so, make absolutely certain that the company is aware of the correct garaging address for each vehicle. Email it to the agent if you have to for proof.

To list an incorrect garaging address for a vehicle is at best material misrepresentation and invites the insurance company to deny a claim and cancel the policy when a claim occurs.

What you should do is have a homeowner's for your residence, a landlord policy for your parent's home and an auto policy. Then your parents should have a renter's policy and an auto policy. You would all be properly protected and your parents would still get a multicar/multipolicy discount.

Some companies may be ok with you having a homeowner's where your parents live, although again it pays to have it in writing. If you have a landlord and they have a renter's policy, then everyone is better protected. There is proper coverage for their contents and their liability should something happen. Also, you would have your own liability coverage for that property as well.

Something to remember, when things go to court, everyone gets dragged into it. No amount of premium savings will make up for what it may cost you then if there is no coverage.

 

[InsCommentary]

"He tells me insurance carriers will only question/investigate those who use addresses that are really far from where they actually live to pay lower premium."

If this is accurate, this should tell you where the agent is coming from if he is saying that an investigation could turn up a problem. If this is someone trying to pull something over on his carrier, why would you want to entrust a big chunk of what you own to him?

Is he talking about an auto policy only in your and your wife's name that covers vehicles owned by both you and your parents? If so, you likely have no insurable interest in those vehicles and, in that case, most policies are not going to pay someone who doesn't have an insurable interest in the property.

In addition, the "ISO standard" policy only covers the use of nonowned autos by you and your wife and resident relatives. Since your parents are not resident relatives in your household, they would have no coverage while driving any other autos, including borrowed vehicles, rental cars, test driving a car they're thinking of buying, etc.

I see a lot of red flags here.

 

[indienoise]

I always discourage people from doing things like this. You might or might now be saving money by doing this. If you are, it's not going to be much.
Aside from the aforementioned issues (reasons that a lot of people don't care about, no matter how valid they are!), here are some self-serving reasons you should have two separate auto policies:
-Sooner or later, one of you might not have sufficient funds for your portion of the premium. If something like this ever happens, somebody is gonna have to pick up the dead weight, otherwise everyone will have a lapse.
-Family inevitably means drama. Some more often, others less. Regardless, this is another potential point of contention.
-if one of you has a wreck or a claim, EVERYONE ends up paying a higher premium, or getting non renewed.
-one of you might already be dragging the others down as far as premium, to a much greater extent than any multicar discount covers.
The homeowner/landlord policy issue is a no-brainer, at least to us agents, and hopefully you're already set up this way. If not, DANGER WILL ROBINSON.
Have a long, hard talk with your agent about the carrier's guidelines. There are more than a few carriers that would not like this arrangement if the vehicles are not co-titled. Others just really don't care. Either way, it's really an iffy scenario.