Stolen/recovered cars and insurance claim after write-off
 

a friend of mine bought a stolen/recovered car. this was not declared to the insurance company (and nor did they ask).

the car just got stolen again and when it was recovered the insurers decided to write it off. the insurers also discovered that it was previously stolen/recovered.

would this effect the insurance pay-out?

I think it does actually :( that's why you buy them so cheap :(