Thinking about Becoming a Motor Trader?

When you work in the motor trade, whether on a part time or full time basis, it’s your responsibility to ensure you have proper insurance. Working with customer vehicles means you need to a get a special type of cover known as motor trade insurance.

There are many providers of motor trade insurance so finding a competitive quote won’t be too much of a challenge. Before looking for quotes though, it’s a good idea to have a look through the information in this guide so you can make a fully informed decision.

Types of cover

  • Third party – Third party cover is the minimum level of insurance you need to be able to work on customer vehicles and move them around. It provides basic protection but isn’t always enough for every type of business.
  • Third party, fire and theft – You can make a third party policy safe by adding fire and theft to it. This is very useful for businesses where customer vehicles might be at greater risk.
  • Comprehensive – A comprehensive policy will enable you and your staff to drive customer vehicles and be covered for all types of collisions. This type of insurance is recommended wherever possible.
  • Combined – A combined policy will provide cover for not only vehicles but also your premises, tools, cash and assets. It’s an excellent type of cover for those who work in the motor trade since everything is protected under one easy-to-manage policy.
  • Part time – If you only work in the motor trade on a part time basis then you can get a part time policy to cover you only for the period of time that you’re active.

Requirements for eligibility

Not everyone is eligible to apply for motor trade insurance. In order to meet the minimum requirements you must –

Be at least 21 years of age

Ways to save money

  • Make your premises secure – One of the best ways to save money on motor trade insurance is to make your premises as secure as possible to cut down on the risk of break ins and vandalism. Installing alarms and CCTV cameras is a must and will go a long way to reducing the cost of your policy.
  • Pay annually – Paying annually rather than monthly is another good way to save money on motor trade insurance. When you do pay annually, make sure that your haggle to get the best deal possible from your insurance provider.
  • Increase your excess – This might seem like a somewhat risky way to keep the cost of your premium down but it is effective. By agreeing to pay more in the event that you need to make a claim, you can cut down the upfront costs.
  • Shop around – Getting quotes from different insurance providers is one of the best ways to save money on motor trade insurance. Getting quotes from several insurers will enable you to choose the best policy possible.