Transferring the insurance when you buy used

The insurance is the part of a used vehicle sale that gets waved through, and it is the part that costs the most when it goes wrong.

The policy does not come with the vehicle

An insurance policy names a person, not a registration number. If you buy a car and the policy still says the previous owner, a claim can be refused outright on the third-party portion, and almost certainly will be on the own-damage portion. You are driving uninsured in every way that matters.

There is a short window in which the transfer must be applied for. Do not treat it as a formality to get to eventually — do it in the same week as the RC.

The no claim bonus is the seller's

Years of no claims build a discount, and that discount belongs to the person, not the vehicle. The seller can take it with them to their next policy. So:

• Do not pay extra for "a policy with 50% NCB" — it is not transferring to you.
• Expect your own premium to start from scratch unless you have NCB of your own to bring.

What to ask for

• The policy document, not a photograph of the first page.
• Whether it is comprehensive or third party only. A lot of second-hand two-wheelers here carry third party only, which is legal and covers you for nothing.
• The claim history. Two claims in three years on a five-year-old car is telling you something about the car or about the previous driver.

If it has lapsed

Common, and cheap to fix, but an insurer will usually want to inspect the vehicle before restarting cover on a lapsed policy. Budget a day for it rather than assuming you can ride away insured.