Sometimes, the same item (say your car, TV, or laptop) ends up insured under more than one policy either by accident or design. This is called dual insurance. While it might sound like extra protection, it usually just makes things more complicated, and more expensive, without giving you more cover.
What Exactly is Dual Insurance?
Dual insurance happens when the same risk is covered by more than one insurer.
Example: You insure your laptop under your Household Contents Policy, but your employer also covers it under their Work Policy.
Another example: Your car is insured with Pineapple, but you forgot that your bank also bundled vehicle insurance into your finance agreement.
How Dual Insurance Impacts Your Claim?
If dual insurance exists, Pineapple handles it this way:
Proportionate Compensation: “If any item or risk that we insure under this policy is also insured by any other insurance company, we will only compensate the Policyholder for our proportion of the claim.” Translation? Pineapple pays its share, not the full tab.
Full Excess Liability: You’re still on the hook for the full excess, even if multiple insurers are splitting the payout.
No Premium Refund if Claim Paid: If a claim has already been paid out, the premiums you’ve contributed for overlapping cover won’t be refunded.
Why Dual Insurance is Not Always Beneficial?
On paper, “extra cover” sounds smart. In practice, it usually means:
Overpaying Premiums: You’re doubling up for no extra benefit.
Complex Claims: Insurers need to work out their proportions, which can drag things out.
No Double Payout: You’ll never get more than the actual value of your loss. Insurance is about restoring, not making a profit.
What to Do if You Have Dual Insurance?
If you spot overlap in your cover:
Tell Pineapple: Transparency makes claims smoother.
Review Your Policies: Decide if you actually need both policies, or if consolidating is simpler (and cheaper).
Dual insurance won’t hurt you, but it won’t really help either. Think of it as paying for two plane tickets but only getting one seat: unnecessary, expensive, and not nearly as comfortable.
*The information provided here is for informational purposes only. For the full terms and conditions, please consult your policy wording.