To someone in the industry one of the first questions you may consider is – do I need a Motor Trade Insurance policy? Here are some things you may find helpful :
Regular Car Insurance policy – you may be able to change your vehicle on your car policy but it will probably cost you each time. At an estimated £20 a go this can take the price of your annual insurance to unreasonable levels. Also, be aware that if your insurer finds out that you are in the trade and you haven’t told them for a re-rating of your policy it may invalidate your cover!
Driving Other Cars Extension – this is a useful addition to your private car policy that allows you to drive someone’s car at a Third Party Only level (perfect you may think as a cheap alternative to a Trade Policy). This may be okay if you are stopped by the police but in the event of an accident your insurance could again be invalidated. Why? Because Driving Other Cars cover does not apply to anyone in the motor industry! I often speak to people who use this cover to carry out their business and I can only advise to not – if you do you’re paying for insurance that will never pay out!
Price – motor trade insurance can actually work out cheaper than what you pay for private insurance. With our policies there is no limit to your amount of personal vehicles (so instead of separate car policies you can incorporate all your vehicles on the traders policy – for free!). The minimum premiums through our company can be very low – £350 for Third Party Only; £395 for Third Party Fire & Theft; £450 for Comprehensive!
Necessity – are you getting to the point where not having a policy is restricting your earning potential? Have you ever needed to drive someone else’s car for a repair or a test drive and not been able to? You could take a chance and drive without the right insurance but be prepared for a fine and points, or a ban, if you’re caught. Also, remember that some clients will ask to see your insurance policy before they allow you to drive their vehicle.
Freedom – a trade policy can allow you to drive a multitude of different vehicles under one policy. Some examples could include – vans up to 7.5 Tonne, imports, sports & performance vehicles, mpv’s up to 8 seats, and kit or modified cars. Most policies also allow you and your wife/common law spouse to be covered for social and/or trade use for little extra cost.
So, the question should be – can you afford to not have a Motor Trade Insurance policy?
Think Insurance – Quality, Service and Price