Forecourt Trader Insurance

You must be a genuine motor trader in order to qualify for a cheap motor trade insurance cover. Many times, insurance companies ask for proof so as to avoid providing cheap cover to fraudulent buyers.

Vehicle Exclusions – Motor trader’s insurance covers will exclude certain types of vehicles. Ensure that the insurance policy you select covers the vehicles you deal with. Your motor trader insurance broker should provide a list of such vehicles.

Additional Occupations – If you are part-time motor traders with another main occupation, the motor trade insurance policy may not allow you to use vehicles in connection with your main occupation. You may require an extension to include this additional use in your motor trader insurance cover.

Cover and Benefits – Many motor traders insurance policies do not offer you the benefits of private car insurance offers. Hence, it is possible that you do not enjoy windscreen cover, no claims bonus, and courtesy vehicles.

Yes, you can, most of the motor trade insurance policies also cover the car when in personal use. In short, the car just needs to have a business-related purpose.

Almost all of the Motor trade insurance policies cover businessmen of 25 years of age to 74 years old. However, with some exceptions and additional requirements, you can get traders insurance at 23. All the other people under 25 should have at least two years of driving experience and No claims history in order to get motor trade cover.

Generally, a home-based trader can have 5 cars covered through a motor traders insurance policy. However, if you operate from business premises, you can have an unlimited number of cars in your possession or custody, all covered under motor trade insurance.

If you are by any chance included in a motor trade sector or car industry, motor trade insurance is a compulsion. This includes drivers, traders, mechanics, valeters, jockeys, dealers and vehicle recovery agents.

Motor traders insurance covers businesses to work on and drive their customers’ vehicle and vehicles the company owns, Even if you don’t have to drive your customers’ cars, you will still need some form of motor traders insurance cover to protect you against accidental damage or other risks that arise from your work.

On a motor traders policy it does tend to cover you for social, domestic and pleasure with the option to include cover for commuting to and from a place of work, specifically for vehicles which are covered as part of a business need – use of vehicles for purposes such as a test drive, servicing and MOT, or the collection

Insurers are likely to accept anyone who can show proof that they operate in the motor trade. Because you do trade-in vehicles, the law states that you need additional coverage for public liability. … Your typical home insurance does not cover repairing vehicles on your drive away and the visitors, that may arrive.

You Can‘t Drive Any Car You Like on a Motor Traders Policy!

In summary, Motor Traders policies are designed for you to operate your business, and to allow you to drive your own vehicles and customers’ vehicles, but you can‘t just drive the vehicles belonging to your friends or family members if they are not on the policy.

Motor traders policies are typically tailored to a business’s specific requirements, so it’s worth thinking about what kind of risks and activities you actually want to be insured: this means that you won’t get a shock when a claim is rejected as uninsured, and also that you’re not paying for cover you don’t actually need.

The following are some of the most common aspects that can be covered by motor trade policies:

Road risk: If you take vehicles onto the public highway then you need road risk cover. This could be the case if your staff are delivering cars to buyers, or if you run a mechanics business and you need to take cars out to check faults. If your business doesn’t require vehicles to be driven on public roads, you could consider parts-only cover, which is much more basic.

As with normal motor insurance, you can opt for road risk cover which is comprehensive, third-party, or third-party, fire and theft.

Employers’ liability insurance: This protects your business against claims from your staff – you should have this if you have employees regardless of whether they’re driving vehicles or not.

Public liability insurance: This covers you and your workers against claims made by customers or members of the public.

Product liability insurance: This offers your business protection if you fit a new part into a customer’s vehicle, but the part then turns out to be defective.

Material damage covers: This covers any vehicles or equipment you own, for example, if you run a motor dealership it means your unsold vehicles are insured. Such insurance may automatically increase in value during peak registration periods in March and September.

Combined motor traders insurance: This would cover your business for the likes of road risk as well as equipment and even your premises. It may be cheaper to take out this sort of cover rather than several separate policies, but be sure to check it insures all the relevant parts of your business to a sufficient extent.

Extra drivers: For many businesses, it’s important that their trade policy covers all their staff. But opting for an “any driver” policy is likely to be more expensive than either naming any insured drivers on the policy or limiting cover to just a handful of employees.

Vehicle types: If you need your insurance to cover your staff to drive vehicles from cars to vans and even HGVs & buses, really any number of different motor vehicles, it’s likely to be much more expensive. Make sure your policy covers you only for the vehicles you need to drive.

No matter how frequently you buy and sell, you need road risks insurance to legally drive the vehicles. To get a policy, you must prove you are buying vehicles to sell them. This means keeping purchase and sale receipts. This is worthwhile as you will need this information when filling out tax information for HMRC.

To summarise, yes you can drive an uninsured vehicle that was uninsured prior to you driving the vehicle, which is now insured because your motor trade insurance policy details that it is. And that you have notified the insurer of the addition, and or updated the MID.

To even qualify for a Motor Traders insurance policy, you must first be able to provide evidence that you are running a business that generates a source of income, such as receipts from vehicles you’ve bought and sold, or documents showing vehicles you’ve worked on.

The only way to get genuine trade plates is through the DVLA. You need to go onto the gov.uk/trade-licence-plates website and download the VTL301 form to apply for your first trade licence. The form will ask you what type of business you run, plus the name, address and other business details.

Motor trade business examples include:

• Vehicle repair businesses
• Vehicle sales businesses, including individual traders operating from home (whether full- or part-time)
• Garages offering MOTs and servicing
• Breakdown and recovery firms
• Vehicle delivery firms (cover may be referred to as ‘trade plate insurance’)
• Scrap yards
• Specialist vehicle collectors and restorers
• Firms selling and/or fitting vehicle parts and accessories, including tyres
• Vehicle repossession businesses
• Car valet companies
• Any business where the parking of a customer’s vehicle is involved (cover may be referred to as ‘car jockey insurance’)
• Any other businesses that have care, custody and control of vehicles

For both full-time and part-time motor traders, Mymoneycomparison.com can help you compare motor trader insurance covers. We help you compare quotes from highly esteemed motor traders insurance brokers who offer the perfect balance between value and price.

The motor trade industry is so wide and diverse. It is an industry whereby different strokes apply to different folks. That is why we take time to research and provide accurate motor traders insurance quotes that suit your needs. We also recommend speaking directly to one of our specialist partners or motor trade insurance brokers in order to aptly discuss your business requirements.

Whatever your needs are; the motor dealership, repair shop, salvage company, or an MOT centre, we are a reliable brand to trust. We provide motor traders insurance quotes for road risk and combined risk. Ensure you get your motor traders insurance quote online now to enable you to plan for your business. Also, peruse our website properly to see the motor traders insurance policy explained.

The Institute of the Motor Industry Website

Retail Motor Trade Federation – The Retail Motor Industry Federation (RMI) is the UK’s leading automotive trade body, representing franchised car and commercial vehicle dealers, independent garages, bodyshops, motorcycle dealers, petrol retailers, auction houses and cherished number plate dealers,