Motor trade insurance cover aims to safeguard individuals who make a living by buying and selling motor vehicles and those involved in fixing, repairing, valeting or doing anything related to cars, motorbikes or commercial vehicles.
Motor trade insurance provides protection for any business involved in the motor trade, however, sizeable or small.
Part time individuals who work in the motortrade also need appropriate insurance cover.
Motor traders need to choose a policy which meets their requirements and their pockets.
There are three leading types of motor trade insurance policies.
‘Road risk only’ motor trade insurance cover
‘Third party only’ motortrade insurance policies are also referred to as a ‘third party road risks’ Insurance policy.
Motor traders have to legally get at least a ‘third party only’ motor trade insurance plan should they:
- Profit through the selling and buying of cars and vehicles.
- Provide a general repair service and servicing for any motor vehicle type.
- Use own or customer’s motor vehicle on a public highway
- Repair or restore vehicles, including bodywork and paint shops.
- Provide carwash services, works as a mobile engine tuner or a vehicle fitter.
- Own a garage or MOT service station.
Third party only motor trade insurance policies provide the minimum cover level for a motor trader for any damage to third party property, injuries to a third party or even any third party fatality caused by any motor vehicle related to the business.
Third party fire and theft motor trade insurance provides motor traders with all the aforementioned protection as well as protection against any damage to their motor trade business due to accidents, fire or any theft of vehicles from the motor traders business.
Fully comprehensive motor trade insurance provide motor traders protection for damage caused to vehicles related business, as well as aforementioned third party fire and theft damage.
Liability motor trade insurance policy
Liability motor trade insurance cover is especially targeted at traders who permit the general public onto their premises as part of their work as well as those who employ staff, service, and repair or restore vehicles.
Motor trade liability insurance cover comes in three categories
- Product, Sales & Service Indemnity
- Public Liability
- Employers Liability
Combined motor trade insurance
This kind of policy is a thorough insurance plan which protects the motor trader’s entire business. A combined motor trade insurance plan provides protection for motor vehicles, money, any liabilities, traders’ premises, content and tools and contents.
The policy cover applies to motor traders who work from home. A motor trader policy is vital if you sell, repair, wash or valet cars.
As a motor trader you need to select the right amount of coverage to suit your needs.