Flexible Insurance Options for the Motor Trade

If you are running a business that works with cars or other road vehicles, then you should have specific Motor Trade Insurance in place. Motor Trade Insurance is a flexible product that allows you to combine a range of UK Business Insurance products, but, most importantly, it will include cover for any customer vehicles that the business is responsible for. Motor Trade Insurance is also the right product for your business if you are selling vehicles.

Does My Business Need Motor Trade Insurance?

Any UK Business that may need to move, deliver, drive, test, work on or sell a vehicle is going to need insurance in place that covers the specific risks associated with driving, or having custody of, a vehicle.

You know that, if you own a car privately, you have to have UK Car Insurance to drive it on the road. If your business owns vehicles, then you will need a form of Motor Fleet Insurance so that you and any employees can drive them. When you have care, control and custody of a customer’s car, then your business will need an equivalent form of UK Insurance cover in place – and that will be part of the Motor Trade Insurance policy.

If your business is something that you do on a part-time basis, you will still need Motor Trade Insurance, but can get quotes for policies that are specifically designed as Part Time Motor Trade Insurance.

What Kind of Businesses should have Motor Trade Insurance?

Here are some examples of business activities that would need to have suitable Motor Trade Insurance in place. There will be other businesses that need Motor Trade cover too – as a guide, assume that, if you work with vehicles in any way, you should look into Motor Trade policies.

• Vehicle repair, servicing or MOTs – either mobile mechanic services or from a garage or workshop
• Vehicle sales
• Tyre or accessory fitting
• Car valeting
• Vehicle breakdown and/or recovery services
• Scrap yards
• Specialist vehicle restoration
• Vehicle delivery services

Is Motor Trade Insurance the same as Road Risk Insurance?

It’s not the same – but they are very much related! Road Risk Insurance is the foundation product in any policy for businesses that work with vehicles.

Motor Trade Insurance can be thought of as a Combined Commercial Insurance Product. Motor Trade Insurance providers will allow you to select various options when they give you a quote – these options enable you to add a range of other commercial insurance products onto the underlying Road Risk Insurance, but all within the same policy – so that’s the combination element.

So, Road Risk Insurance is the Important Part?

Road Risk Insurance is the part of the Motor Trade Insurance that deals with driving customers’ vehicles on public roads. If you run a small business from home with no employees, this might be the minimum insurance you’d require from a Motor Trade policy. Like private UK Car Insurance, Road Risk Insurance is often available at three different levels of cover – Third Party Only, Third Party Fire & Theft, and Comprehensive.

What else can Combined Motor Trade Insurance cover?

When you are running a business, there are a range of insurance products that will have to – or want to – consider. You could source all those products separately, but that means lots of quotes, lots of renewals and may well not mean the best value. With a Combined Motor Trade Insurance Policy, UK insurance providers offer to combine a number of relevant business insurance products under one policy. Examples of types of cover that could be included are:

Liability Insurance: Liability Insurance products cover legal fees and compensation if a claim is made against the business. Relevant liability insurance for businesses in the Motor Trade might include Public Liability Insurance, Product Liability Insurance and Employers Liability Insurance.

Business Insurance Products: Relevant examples might include Material Damage Cover – to protect vehicles tool or equipment owned by the business – and Commercial Property Insurance, insuring the building, forecourt or workshop that your business owns.

Ready to Review other Insurance Products?

Whether you are looking for UK Insurance products to protect your business or personal policies for your car, home and family, shopping around always makes sense. Choose from one of these categories and compare a number of quotes with just one quick form.

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