Motor trade policies require a considerable amount of proof to validate the business trading is legitimate and operates within the motor trade industry. This is due to a considerate amount of historical insurance fraud where businesses have taken a motor trade policy instead of a fleet policy. Any business servicing, moving or selling cars, vans trucks or motorbikes will qualify for a motor trade policy.
What should I consider?
If you can prove you’re a legitimate motor trader, there are a few other things you need details on to apply for a policy, these include:
Vehicle Exclusions.
Not all policies cover all vehicles, there is usually extra savings to be made providing a limited type of vehicles are included.
Any Other Work / Jobs
If motor trade is not your main business/job, there are options for a part-time motor trader policy.
Level of cover
Typically motor trade policies don’t come with private car insurance as standard, however this can be included along with windscreen cover, gap cover and courtesy vehicles.
Trading Premises
By having a business premises additional cover is recommended compared to the minimum requirement of road risk insurance. Without business premises cover damage at the business premises and theft may not be covered.
Vehicles Worth
Motor trade insurance claims will usually be at the trade price of a vehicle of the vehicle. Working with vintage and/or high value cars will often require specific specification on a policy.