Motor trade insurance is a policy meant for people or businesses engaged in motor trade. This compromises of body repairs, MOT testing, car dealerships and even mobile mechanics. But is there a difference between a trader’s car insurance policy and a private car insurance policy? The main difference is that with a private policy, the vehicle cover must also be included. With a trader’s policy, it’s you who’s specified on the policy.
What this means is that you don’t need to take out a policy every time you need to drive another car as the policy covers all the cars you may drive including those of the customers. There are different options to choose from when taking a motor trade insurance policy. It’s, therefore, essential to select a policy that suits your needs. One Sure Insurance takes you through the various options to ensure that you get the best amount of cover that gives you value for money.
Here are the three different types of motor trade cover you need to know about.
Road Risk Cover
A road risk cover covers a motor trader for any cars he/she owns or those that are under their control while they are away from the business premises. Internal risk only covers them for liabilities that happen on their own premises. This type of cover best suits a person who purchases, repairs, and sells cars. What’s more, road risk cover comes with the same level of cover as personal insurance does that is the third party, the third party only, fully comprehensive and fire and theft insurance.
Liability Motor Trade Insurance
Liability cover takes care of any injuries that happen to your customer, employees or eve property due to the trader’s negligence or that of the business. Moreover, it takes care of any expenses and hospital treatment in case a customer takes you to court.
This type of cover is crucial as accidents could occur at any time. If a customer gets hurt and you don’t have a liability cover, then the business would have to pay for all the costs incurred.
Combined Motor Trader Insurance
Considered one of the largest types of cover, the combined motor trade insurance targets large motor trade business that feature an MOT center, garage, forecourt and a showroom. If you have expensive equipment and stock onsite, this cover would be ideal for you. Combined motor trader insurance covers road risks, damage to stock or vehicles, employer’s liability, theft of any kind, machinery damage, business interruption and more.
Motor trade insurance is diverse, and it’s important to find the right cover. If unsure, contact an insurance expert who can further explain in detail each of this type of insurance.