Insurance - limited mileage declarations

G-lude · Post by **G-lude** » Mon Nov 23, 2015 8:00 pm

Hi guys,

It's that time of year when my insurance is due again and my current insurer (through Adrian flux) has asked me to sign a limited mileage declaration. I simply have to tell them what the vehicle mileage is at the start of the policy. My assumption is that if you then reach 'X' miles your insurance doesn't cover damage to your car.

My question is how would this be regulated should I change my car throughout the policy? Has anyone had any experience of this. Mainly curious more than anything!

89 UKDM BA4 4WS (resto job!) · Post by **wurlycorner** » Mon Nov 23, 2015 8:17 pm

I believe how it works is if you go over your limited mileage, you're liable to be charged extra.
No idea how it would work if you change cars during your policy though... @shiny ?

G-lude · Post by **G-lude** » Mon Nov 23, 2015 8:24 pm

My only thought is that they could potentially ask for the mileage at the point of selling the car and then the start mileage of the new car?

Figured there would be a charge if you go over the stated mileage. In all honesty I chose what I thought was a sensible amount based on my work and then started thinking about holidays, car shows etc etc. When your not faced with the limited mileage declaration you don't really think of those extra miles!

Going to call up to see how much it would be to raise the mileage slightly but just got me thinking how they regulate changing the car

Shiny · Post by **Shiny** » Mon Nov 23, 2015 8:28 pm

All depends on the wording of your policy.

A limited mileage policy normally limits the mileage (obviously) and may impose terms if exceeded (such as increased premium, increased excess or even voided, depending on the Insurer). Limited mileage policies normally ask for a mileage declaration at inception and renewal. This would be what you have and you need to look at your policy to check the implications or speak to Flux.

This differs from a normal policy with a discount based on estimated mileage, then there aren't usually any terms and they don't ask for a mileage declaration at inception/renewal, so they are relying on your utmost good faith.

If you are changing cars on a limited mileage policy, they may ask for a declaration of mileage at the time of sale and then a further mileage declaration for the replacement car. Again check with Flux to be sure. To be fair, change of vehicles on limited mileage policies don't usually happen often as they are normally for cherished/classic cars which people either hang on to or, when they sell them, often don't replace then so they just end up being cancelled.

Confused · Post by **Confused** » Wed Nov 25, 2015 8:34 am

This is exactly why I would *never* get a limited mileage policy on my primary car.

I have a limited mileage policy on my Anglia, but that's a second car, and I don't need to use it if I approach my limit.

For my primary/daily car - you never know what you're going to be doing from one day to the next, let alone within a whole year. There's been some years when I've been under my estimated miles, and some years when I've been over - but at least that's it - just an estimate (my estimated mileage for the Legnum is 15k per year, so it's not like I've said it's 3k and then done 12k!)

Shiny · Post by **Shiny** » Wed Nov 25, 2015 10:40 am

To be fair though, there are very few, if any, insurers that offer "limited" mileage policies on normal private car policies. As mentioned, it is an "estimated" annual mileage to assist with the rating/discounts.

The limited mileage policies, where you have to provide a copy of your odometer or sign declarations, are normally only on classic/cherished car type policies.

Confused · Post by **Confused** » Wed Nov 25, 2015 12:31 pm

My mum was offered by Flux or Sky a limited mileage policy for her MX-5, which is her primary car. So, some companies are definitely offering limited mileage policies for primary vehicles, and it's something to be aware of!

G-lude · Post by **G-lude** » Thu Nov 26, 2015 12:33 pm

I followed this up with Adrian Flux over the phone and it is definitely a limited mileage policy. The declaration does state that if I feel I am going to exceed the mileage that I can add on miles at a later date. With this in mind I enquired about adding on an additional 2000 miles as a sensible buffer. Turns out that adding on an additional 1500 wouldn't cost me extra anyway!

I know its not ideal but it brings down the cost of my insurance which is inevitably what I am after. Its a primary car for me which I have even stated as using for commuting. With that in mind I am confident I have enough miles on there to cover my journeys including out of the ordinary trips like car shows, holidays etc.

In an ideal world I would just do the same thing as any other year I have been insured and end up with an estimated mileage. The difference in cost is over £200! so i'll stick with Flux having reign over what my odometer reads!