Yes, you can have two cars with two different insurance companies. However, many providers recommend covering all your vehicles with the same insurance company to receive a multi-vehicle discount. However, you may need two cars with two different insurance companies if you have extenuating circumstances. It's perfectly legal to have two car insurance policies for one vehicle.
However, your insurance company may not be willing to insure the same vehicle twice. You may have to buy a second policy from another insurer and pay both bills. If you have dual coverage and rent a vehicle, it's clear that your car insurance provider will take care of everything in case you're involved in an accident. That said, there are several reasons why two car insurance policies might make sense or be favorable in terms of costs.
If you have two car insurance policies for the same vehicle, expect some delays if you ever need to file a claim. As mentioned above, you will have two car insurance policies in your name if you have two car insurance policies for one car or two for two different cars. Having two car insurance policies is legal, but filing the same claim with two different insurers isn't. Believe it or not, having double insurance is also common when people forget to cancel their insurance when changing insurance companies.
However, if you only need to insure an average car that will be used to travel to work, having two car insurance policies is most likely not something you need to entertain. Choosing to insure your classic vehicle with an insurance company that specializes in classic car insurance can provide you with superior coverage, which would be coverage that fits the needs of a classic vehicle. Having two insurance policies for a car isn't fraud, but filing a claim for the same vehicle under a different policy is fraud, so it's 100% illegal. Having two car insurance policies for one car can violate a provider's terms and complicate the claims process.
In addition, if one of your insurers knows that you have another policy for the same car, you may ask the other insurer to pay your claims in the future. You can also have two cars with two different insurance companies if you're just married or divorced. This is why each person needs their own proof of insurance and you can't have a car insurance policy in your name for someone else's car. Following the example above, let's say you decide to have your daily car insured by an auto insurance company A.
Make sure you fully understand what insurance policies from insurance companies allow. Insurance companies will do their due diligence before approving any claims, but if you have two car insurance policies, this can delay the processing time of your claims.