If you need to drive customer vehicles to keep your business running smoothly, road risks insurance is the cover you will most likely require. This can be purchased with different levels of cover:
- Third-party fire and theft
- Or fully comprehensive cover
As a vehicle seller, you may allow your potential customer to drive one of your vehicles by purchasing demonstration cover as an extra cover.
Car traders can add and remove vehicles they buy and sell using the motor insurance database (MID). You won’t have to pay mid-term adjustment (MTA) fees for changing vehicles. Updating the MID efficiently when you buy and sell vehicles will help you remain compliant with the law.
If your business has employees, road risks cover can support multiple drivers if you choose. Cover can be set up for named drivers, or on combined policies broader cover for unnamed drivers over 25 can be included. If you wish to cover sports cars and high value cars you will need to discuss this with insurers upfront.
On that note, remember, motor trade insurance is designed exclusively for business use. It won’t offer cover for driving family and friends’ vehicles.
At Gallagher, we are happy to discuss your business with you to understand which covers are appropriate to your business. We have many years working in the motor trade and have a range of policies to suit a variety of different types of traders.