What are the different types of motor trade insurance policies?
Motor trade insurance is the broad term used to cover the range of insurance policies you will need to take out if you have any of the following motor businesses: Vehicle sales, vehicle repair and recovery, tyre-fitting, MOT centre, vehicle valeting or a vehicle body shop. Instead of taking out a policy every time you need to drive a different vehicle, motor trade insurance allows you to drive all the vehicles either owned by you or your business or in your custody or control in connection with your business.
Keep reading to find out about the different types of motor trade insurance policies available, including road risk insurance, liability motor trade insurance and combined motor trade insurance.
What is road risk insurance?
Every motor trade business will face different risks and will need different motor trade insurance to get the best policy for the best value. Road risk insurance is the most basic level of insurance and it is required if a motor trader is involved in the buying, selling, repairing or servicing of any vehicle. This is necessary insurance if your business needs to drive vehicles that you do not personally own. For example, it is useful for motor traders who buy and sell vehicles or repair vehicles for customers- you will have to drive vehicles not owned by you at some time.
What is motor trade service indemnity / public liability cover?
Motor trade service indemnity / public liability insurance is important to your business as it provides protection from claims made by employees or customers, and it includes any liability incurred from faulty maintenance and repairs made by you. Whatever kind of motor trade business you have, there is always a risk that someone will make a claim against you, but liability insurance will help to cover the legal fees and financial compensation that come with these claims.
What is combined motor trade cover?
This motor trade combined insurance policy is a policy that combines all the covers required by a motor trade business ie Property damage, business interruption, road risk and liability cover. The extensive policy provides cover against all the risks motor traders may face from trading in the motor trade sector. With this type of cover, you can also be protected against any damage that may occur to the buildings you own as part of your business, as well as any essential equipment, tools and machinery.
