About Our Motor Trade Insurance
What Is Motor Trade Insurance
This type of insurance is designed for a range of business use but is popular mainly with mechanics, car salespeople and valeting services. Essentially, it covers the temporary driving of a wide range of vehicles for essential business use.
Should I Consider Optional Extras?
There are several optional extras for businesses as every business has different requirements, especially for motor trades. These extras include:
Liability insurance: All motor trade businesses, even home-based, require liability of insurance to protect your business from any claim. This insurance provides cover for both defence and damages you wish to claim.
Breakdown insurance: National breakdown cover is available, and there are more options within these policies to suit your needs, including recovery and roadside assistance.
Excess protection insurance: Each policy includes a mandatory excess, but excess protection will cover the amount in the event of a claim.
Accompanied demonstration cover: An excellent addition to your insurance policy is the Accompanied demonstration cover, allowing you to demonstrate and test drive vehicles for potential customers.
Motor Trade Combined
Motor trade combined insurance is a combination insurance policy that protects both the premises of your motor trade business and its assets, such as machinery and vehicles.
This type of insurance is designed to give your business an entire motor trade insurance service. Whether you operate as a large operation or as an independent garage, you can benefit from this type of cover.
Motor trade insurance covers:
- Any damage to your business premises and materials
- Any damage to your work vehicles, essential equipment and crucial tools that you need to run your business
- All goods in transit
- Essential business interruption insurance covers the cost of any financial loss during a closedown
- Theft of business cash
- All liability insurances, including employers, indemnity and public liability insurance
- Road risk insurance
There are certainly pros and cons to opting for the more expensive combined policy, but ultimately the value that it brings to your overall business should be the defining factor. The cost of equipment in the motor trade alone is reason enough to opt for the more substantial policy.
Do I need combined insurance?
Essentially, if you work within bricks and mortar premises, with a substantial amount of equipment, tools and vehicles, then combined insurance will be the best option for you, and it is emphatically encouraged across the industry.
What are my cover options?
This type of cover will give you the control you need to tailor it to your specific business. Of course, every business is different, so a tailored insurance policy should always be attained.
Road Risks Only
Road risk insurance is far less extensive than motor trade combined insurance and therefore carries more risk with it. Essentially, road risk insurance covers vehicles that you don’t own but that you need to drive. For example, if you are moving a vehicle bought from an auction to someone’s home, or if you are test driving a car following a repair.
Who needs road risks insurance?
If you are in the motor trade industry and you buy, sell or repair cars, you will need road risk insurance to enable you to move the vehicles you work with. This type of insurance does suit smaller organisations that work from home better than those with their own premises, mainly due to the added insurance you need with your own business premises. Of course, it is illegal to operate someone’s vehicle without the proper insurance, and you can be prosecuted if you are found to be driving without road risk