Motor trade insurance

Motor trade insurance is a vital requirement for anyone buying, selling or running a car business.

Motor trade insurance is a vital requirement for anyone buying, selling, or working with cars in any capacity. 

Whether you’re driving a car you’ve just repaired or collecting one from auction, you need insurance before you take it on the road. 

Our experienced motor trade insurance brokers work with specialist insurers to help you find the most suitable and cost-effective coverage for your business.

Who needs Motor Trade Insurance?

Motor trade car insurance provides tailored protection for a wide range of professionals in the car industry. It covers you and your employees when driving or working on customer-owned vehicles and vehicles owned by your business. 

• Part-time and full-time motor traders
• Mechanics
• Body shops
• Valets
• Vehicle recovery agents
• Car brokers

Motor Trade Road Risk Insurance

Road Risk Insurance is essential for any motor trade business that needs to drive vehicles they don’t own. It allows the insured to legally drive cars in their possession, whether for business use or, in some cases, personal use. 

This cover protects against liabilities like damage to third parties or injuries, ensuring that businesses can operate confidently and safely when moving, testing, or delivering vehicles.

Combined Motor Trade Insurance

Combined Motor Insurance goes beyond the standard Road Risk cover by incorporating broader protection for businesses in the motor trade. In addition to covering vehicles driven by the insured, it can include cover for tools, equipment, and even property contents.

Employers’ Liability, Public Liability, and Product Liability insurance can also be part of the package, offering comprehensive protection for staff, customers, and products. 

A Motor Trade Combined Insurance policy is ideal for businesses that own premises and require a more complete safety net for day-to-day operations.

Coverage Options

Motor traders' insurance offers three key levels of cover, similar to those of standard car insurance policies.

• Third-Party: The legal minimum, covering injuries to other people or damage to their property if you or your driver is at fault.
• Third-Party, Fire and Theft (TPFT): Adds protection if your vehicle is stolen or damaged by fire, in addition to third-party cover.
• Comprehensive Cover: The highest level of cover, which protects third parties as well as your own vehicles and injuries. It also covers accidental damage to your own vehicles.

We would also advise our clients to have Employers’ Liability, Public Liability and Product Liability insurance.

Who should be on your policy?

You should carefully consider how many people are added to your policy as the more people, the higher the risk, and the more the premium.

Drivers under the age of 25 are deemed a higher insurance risk, as well as those with a history of criminal or driving offences. 

Our brokers can help advise you on measures you can put in place to lower the risk and your premiums.

Motor Insurance Database

It is essential for anyone in the industry to update the Motor Insurance Database (MID) on a regular basis.

The MID contains details of all insured vehicles in the UK and is used by the police and the Driver and Vehicle Licensing Agency (DVLA) to enforce motor insurance laws.

If you have to keep a customer’s car for over 14 days or if you have any hire cars or courtesy vehicles on a temporary basis, you must update them on the MID.

Get a Motor Trade Insurance Online Quote Today

Looking for the cheapest motor trade insurance that fully covers your business? Whether you need part-time motor trade insurance or a full policy, we’re here to help you find the best deal on affordable motor trade insurance that provides complete peace of mind for you, your employees, and your customers.

To find out more and to discuss your needs, please contact us on 01274 515 747 or email us at mail@lwood.co.uk