While the industry is definitely seeing an improvement this month, maybe the first improvement in the past year, saving money wherever possible is still paramount. This means that motor trade insurance in 2013 is about ensuring you have adequate cover at the lowest possible price.
What is Adequate Cover?
To ensure that you have the right level of cover to protect your business you should review your current policy. Do a small risk assessment first, this will assist you with how much tool cover you require, whether you have enough public liability cover and whether you really need all those drivers on your road risks cover. Your policy should protect every aspect of your business from your building against fire, theft and storm damage to your expensive tools and equipment. It should also protect your staff with employer’s liability cover, which is a legal requirement in the UK and no business can run without public liability protection. Public liability is one of the most important things you need to double check on your policy, often when you get a quote you will not be offered enough of this cover. Bear in mind that a customer who injures themselves while visiting your property can claim for medical expenses, loss of income and mental distress caused by the accident, there isn’t really a set amount you can put to this. This is a claim you would be held legally responsible for, so you need to ensure the level of cover you have is enough.
Then there is your road risks, the ability to drive customer vehicles to test drive them. Rather than putting all your staff down as drivers, choose some key staff members that are over twenty five and have clean driving licenses, you’ll be amazed how this can lower your premium.
How to Save On Your Policy
If your policy is up for renewal, shop around. Get a minimum of three quotes that you can review and compare to find the cheapest possible price for the level of cover you require. Bear in mind that you don’t want the cheapest quote, but rather the one that offers the best cover for the lowest price. Other ways to save money on your policy as I mentioned before is to reduce the number of drivers on your road risks. If they have clean licenses and no claims on their personal policy, they will be less of a risk and therefore you can enjoy a lower premium. Add your own personal vehicles and your spouse on your business policy, this way you can cancel your private cover and use that money towards your business one, it’s a great way to save money on your motor trade insurance in 2013.