tuan25000

hello, i have a question i would like to ask...i know quite a few people that don't have their own insurance or any sort of insurance at all. The car they drive has insurance though but its' under their parents name and that way it is cheaper. From what i heard, to avoid having to get insurance they changed their address on their driver's license like to another address. That way, when something happens they can say that the car was borrowed and it would still be covered under insurance. So what i was wondering is if this is legal? if so, why don't people do this to save money? also, i was also told to do this but im not sure and would like some advice. thanks.

Double_B

Anything that you tell your insurance company that is not true gives them grounds to drop you. And good luck getting insurance elsewhere. Not just for you, but also the people you are involved with.

having said that it can be done, but why take the change. Not only that, when you do decide to get your own insurance, it will be still expensive not matter if you are older because you were alway considered a second driver under somebody else's insurance.

Just another thought for you.

marker

If they cancel you for misrepresentation (nice name for "fraud"), you will be considered high risk to any other insurance company that you can find willing to take you on. That "high risk" due to misrepresentation also means a 100% surcharge for the next 5five years or so.

Also, if you do have an accident, you could have a lot of trouble getting any claim payout from the insurance company.

On top of that, unless you actually do move, you can be charged with providing false information to the ministry of transport.

tuan25000

oh ic... so i guess if the person does really move to a new address then it would be fine

marker

IF the person really does move, and IF the person really does use the car on only an occasional basis.

If the person are in actual fact the primary driver of the car (and insurance companies have a way of finding this stuff out if they have even the slightest reason to be suspicious), they could still cancel you.

LatinoRichy

Just go on as a second driver under your parents or whatever, it's not that worth the risk and the money you'll save is minimal (unless the other person has a bad record). Besides this way you'll build up your own record with the insurance company and it will be easier and less expensive when you want to get your own insurance.

electronblue

iTrader: (1)

When it comes to the "Law of Contracts", not all misrepresentation constitutes fraud. Not all misrepresentation causes breech of contract either. However, when it come to Insurance what you tell your Insurance company that is false or omitted is considered breech of contract on your part. The Insurance company requires full disclosure, and has full right to believe that you are the authority to know your car, and other pertinent information regarding your policy. The Company is not breeching the contract, and they have no obligation to you if you are in breech.

There is negligent misrepresentation, whereby you have not done due diligence under your authority to make sure all your answers are full and resonable, within good conscience of your understanding. Thereby the onus is on you to make sure that your statements are true.

There is fraudulent misrepresentation, whereby knowingly making a false statement in the contract. Omissions can also be considered fraudulent if you know that this information directly affects the contract (however in fraud omission is hard to prove, so they just chalk it up to negligence.)

I deal alot in civil procedure, and know this it is not the fault of your insurance company on denied claims due to breech of contract by you.

iwanna93sihatch

ive been doing it for 6 years my cars are licenced to my mom and my licence addy is at my fathers an man i got in 2 accidents and its all good so do it the cheap way if u can man why the **** not anyone else would just be jealous if they think its a bad idea id much rather pay $50 a month for my 4th gen that i had then the 313 it was gonna be

shlammed

They can drop you from insurance or they can back charge their parents for all the months that they have been using the car without paying for insuring them

If something happens, they will have to prove that they weren't living at that address for all that time by showing bills from those months etc, addressed to the other address.

imported_nautica_t

in the end result its pay now, save later, or save now, pay later.