Category Archives: Taxi Driver

Things That Affect The Cost of Taxi Insurance

Insurance is a major expense for taxi drivers so if you do drive a taxi then it’s very useful to know what the major factors are that affect the cost of a taxi insurance policy.

Below are some of the main ones –

Type of taxi insurance

The type of taxi insurance you get will certainly affect how much you pay. The two main types of taxi insurance are public hire insurance and private hire insurance.

Private hire insurance is typically cheaper than public hire, all other things being equal. This is because public hire taxis are safer on average since they can only be pre-booked and cannot accept fares from public places.

Value of your vehicle

The value of your vehicle is a big thing that will affect the cost of taxi insurance. If your vehicle was written off and needed to be replaced then your insurance would need to cover that so insurance providers will always consider how much your vehicle is worth.

Level of cover

The level of cover you take out is another thing that impacts the cost of your cover. For example a third party only policy will cost considerably less than a comprehensive policy that includes extra levels of cover such as breakdown assistance.

Your age

Your age is always an important factor when taking out any kind of motor insurance and certainly the case with taxi insurance. Drivers under the age of 25 are statistically more likely to be involved in accidents so if you are under 25 then you can expect to pay more for cover.

Current NCB

Your current No Claims Bonus will alter the cost of taxi insurance too. Just like with regular car insurance, insurance providers will consider the amount of NCB you currently have when coming up with a price for the policy.

How you pay

Most people will pay for their insurance monthly since it means you’re able to spread the cost. If you can pay for your policy annually though, then you’ll be able to make a good saving with the majority of insurance providers. Always be sure to push for the best deal when you do this.

The insurance provider

Price can vary quite a bit depending on the insurance provider so it’s always worth getting quotes from a lot of different insurance providers when you want to save money on taxi insurance.

Is Taxi Driving the Right Job for you?

If you can drive then you may have thought about becoming a taxi driver at one point or another. A lot of people consider driving a taxi at one point or another but a lot fewer actually look into it seriously.

If you’re currently considering becoming a taxi driver then below are some of the main pros and cons as well as the necessary requirements for becoming licenced in the UK.

Pros

  • Regular work – Once you’re licensed and on the road, finding regular fares isn’t too much of a challenge, especially if you work for a minicab firm. If you do work as a minicab rather than taxi driver then you should know that you cannot pick up fares off the street.
  • Meeting new people – If you’re a people person then taxi driving is a job where you’ll meet new people all the time. The people you meet will be from all walks of life so it’s a great way to expand your horizons and learn more about people generally.
  • You’re not stuck behind a desk – This is a big pro since a lot of jobs in the modern world require you to be sat a desk for 8+ hours a day.

Cons

  • Can be dangerous – One of the biggest downsides of driving a taxi is the potential dangerous. Inebriated passengers can be particularly troublesome and it’s not too uncommon for taxi drivers to be attacked on the job.
  • Non-paying passengers – There are times when every taxi driver has to deal with non-paying passengers and unfortunately there’s not a lot you can do about it at the time. Fortunately, the growing number of taxi apps where the fare is paid in advance, are helping to combat this problem.
  • Stress – There’s no denying that driving a taxi can be very stressful at times, particularly if you’re working in a large built-up city like London. This is part of the job and cannot be avoided so it’s definitely something to think about.
  • Insurance and running costs – Running a taxi can become quite expensive and cut into your earnings significantly. Being on the road all day dramatically increases your chances of being involved in an accident and the fuel costs are predictably high too. Getting a good taxi insurance policy that includes cover for accidents, breakdowns and liability claims is a must.

Requirements

In order to get apply for an operator’s licence to drive a taxi you don’t need any special qualifications, although there are minimum requirements you must meet. These can vary but usually include the following –

  • Have held a full UK driving licence for a minimum of 12 months (3 years in London)
  • You must pass a criminal record check
  • You must pass a medical
  • Be at least 21 years of age (over 18 in some areas)
  • You must past a geographical test
  • You must complete a driving skills assessment
  • You must be a full UK or EU citizen (or have the right to work in the UK)
  • You will need to apply for a private hire or public hire licence

You can find further information from the UK government careers site at https://nationalcareersservice.direct.gov.uk/job-profiles/taxi-driver.