Claim-free years for a second car

The Second Car Program

Under the second-car policy, many insurers offer a discount or a lower premium if you insure a second car with the same insurer as your first car. You usually receive the discount based on the number of claim-free years for your first car.

This means you’ll receive a discount without having to rebuild your no-claims history for the second car. There are usually some conditions, such as that the first car insurance policy must be in the same name and that both cars are used by the same household.

Transferring claim-free years to a second car

If you don't file a claim on your (first) auto insurance policy, you'll build up claim-free years. The more claim-free years you have, the bigger the discount you'll receive on your premium. This discount can be as high as 75% or even 85% of the base premium.

The claim-free years you’ve accumulated are tied to the auto insurance policy for your first car. You cannot transfer or copy these claim-free years. This means you cannot use the claim-free years you’ve already earned for a second car, since they’re already being used for your first car.

Strictly speaking, you’d have to start all over again to build up your claim-free years. But insurers understand that this isn’t entirely fair, since you’ve already demonstrated that you have a good claims history. That’s why the “second car” rule exists—so you can still get a no-claims discount on your insurance.

Second Car Policy for Your Partner or Child

Did you buy a car for your son or daughter? In most cases, you can't list your children as regular drivers on the insurance policy for a second car.

This rule applies to the primary driver of the first car. Many insurers also require that the second car not be registered in the name of someone else, such as a spouse or child.

Damage to the second car

With a second-car policy, the discount is carried over from the first car, but the policies are not linked to each other. Therefore, if one of the cars is damaged, this has no impact on the other car insurance policy.

Insurers may have rules regarding the maximum catalog value of a second car. As a result, luxury or expensive cars may not be eligible for this program.

Accumulated claim-free years for a second car upon cancellation of insurance

If you cancel your insurance on a second car, the claim-free years you’ve accumulated are usually retained (though without the additional premium discount). These years are stored in a central system called Roy-data. Insurers use this system to track claim-free years.

You can carry over your claim-free years when you take out a new auto insurance policy later, but there are rules governing this. Claim-free years are often valid for another 3 years after you cancel your insurance, but this depends on the insurer. If you don’t take out a new auto insurance policy within those 3 years, you could lose your claim-free years and the discount you’ve earned.

It is therefore important to take out a new insurance policy in a timely manner if you want to maintain the no-claims years on your second car. Additionally, no-claims years are personal and usually cannot be transferred to another family member.

A classic car as a second car

If your second car is a classic car, it's often better to take out classic car insurance . This type of insurance is usually much cheaper than regular auto insurance. However, there are special rules for driving a classic car.

For example, you’re limited to a certain number of kilometers per year. Usually, this is a maximum of 5,000 or 7,500 kilometers, depending on the insurer. In addition, the classic car may not be used for daily commuting.