Mathew B. Sims is Editor-in-Chief and has authored, edited, and contributed to several books. He has been working in the insurance industry ensuring content is accurate for consumers who are searching for the best policies and rates. He has also been featured on sites like UpJourney.

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Dan Walker graduated with a BS in Administrative Management in 2005 and has been working in his family’s insurance agency, FCI Agency, for 15 years (BBB A+). He is licensed as an agent to write property and casualty insurance, including home, auto, umbrella, and dwelling fire insurance. He’s also been featured on sites like Reviews.com and Safeco. He reviews content, ensuring that exis...

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Reviewed by Daniel Walker
Licensed Auto Insurance Agent

UPDATED: Mar 30, 2020

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Things to Remember...

  • Some car insurance companies like to keep it simple and have one policy for each vehicle
  • If it’s an option, bundling insurance can result in far lower premiums for second and third cars as insurers treat them as added business by a return customer
  • Car insurance companies want to be helpful to their customers but they also don’t automatically extend coverage to new family members without adjusting monthly premiums or limiting risk coverage provided
  • Make sure to shop around to make sure you are getting the best rate for the coverage you need

Car insurance companies have few up front problems taking on new or modified coverage policies that cover one or multiple cars with a policyholder.

However, because there are so many different versions of auto insurance, what the customer wants in terms of specific coverage can dictate the design of the package offered by a particular insurer.

To find a variety of car insurance plans at affordable prices, enter your ZIP code into our FREE car insurance comparison tool now!

These factors may vary by the number of cars and type of vehicles, the number of drivers included, and all the usual factors such as location, garage or parked on the street, use of the vehicle, and driving frequency.

There is no specific standard treatment as there are hundreds of small auto insurance companies and thousands of customer variations desired.

One Driver with Multiple Cars

The simplest approach of coverage involves the same driver on a policy with different covered vehicles. Combining cars with a single provider has the same logic as comparing home and auto insurance companies together and combining multiple plans.

Some car insurance companies like to keep it simple and have one policy for each vehicle.

The driver can be on both or multiple policies but each car will have its own coverage and risk protection terms.

A car insurance provider may do this to limit the various car risks involved. Some cars have a higher potential for damage and claims than others.

For example, a sports car is likelier to be used by a driver going fast than a standard pickup truck. As a result, each policy will detail the car information, the driver, the home address, the coverage bought, and how long it is in place.

You can still find a cheap sports car auto insurance quote though. Additionally, each policy also generates its own vehicle identification card for quick review by a law enforcement officer during a traffic review.

Where cars are bundled into the same insurance policy, each vehicle will still have its own detail sheet and terms. Again, insurance companies want to make sure each car covered is tracked properly for risk.

That said, bundling insurance can result in far lower premiums for second and third cars as insurers treat them as an added business by a return customer. As long as the customer drives safe, avoids claims or has few coverage issues, the savings will continue.

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Enter your ZIP code below to view companies that have cheap auto insurance rates.

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Multiple Cars with Multiple Drivers

Things get a bit trickier when the car insurance coverage needs to address a whole family of drivers with the same set of cars. For example, a family with two parents and three teens can present a typical combo-driver situation with the same group of cars that require extra caution to set up.

Car insurance companies want to be helpful to their customers but they also don’t automatically extend coverage to new family members without adjusting monthly premiums or limiting risk coverage provided.

While many insurance companies won’t outright say no, it is very likely the overall policy cost will increase when a teenager or new, inexperienced driver is added to the existing policy.

Where the added driver already has years of experience and has been previously covered without issue by another insurer, the cost will not likely jump as much.

Multiple Cars With Different Limits

In some cases, drivers may want a very limited plan on one car and a much more comprehensive coverage on another car.

This typically occurs where one car may be very old and doesn’t have much remaining value to cover aside from damage repairs and the second vehicle is still fairly new.

In these cases, insurers will split the coverage into two different policies, similar to above, with the same driver on each. This keeps the risk coverage terms clear and separate so the cars don’t get mixed up.

For customers to get a good idea of what’s possible with multiple cars and coverage, Internet car insurance comparison websites can provide valuable information.

Our FREE car insurance comparison tool is available now to give you great quotes when you enter your ZIP code!