There are many different kinds of insurance policies in the UK, but one of the most important – specifically for those who are involved in motor trading – is motor trade insurance. With the proper motor trade insurance, you can work and perform your job confidently and without fear of any consequences brought about by unexpected situations. If you want your business to be properly protected and lessen your risk, then motor trade insurance is definitely a necessity. But before choosing motor trade insurance for your business, what else do you need to know about it? For instance, how do you know if the insurance cover you select is the best for your business and your requirements? Here’s your all-in-one guide to motor trade insurance in the UK.

The basics of motor trade insurance

Motor trade insurance, officially referred to as motor trade road risks insurance, is a policy which is similar to your ordinary private vehicle insurance with the difference that it comprises different kinds of cover. Coverage includes comprehensive, third party only, and thirdparty fire and theft, for example. And just like private vehicle insurance, the motor trade insurance renewal you have may be affected by the ‘no claims discount’ you can get.

Fundamentally speaking, motor trade insurance or road risk insurance is insurance which can cover anyone from vehicle salespeople to those who work as valets. Motor trade insurance is a product which can protect anyone working with different kinds of vehicles. If you are a mechanic, you can benefit from motor trade insurance; the same is true if you sell cars and work with vehicles on a regular basis.

The types of cover you can get

Following are the most common types of cover you can get with motor trade insurance:

• ‘Third party only’ cover – this policy is the most common and basic type of protection anyone can acquire, and it fulfils your minimum requirements for insurance under the law. In other words, the policy protects you if you hit any third party whilst operating your vehicle – but your insurance firm will only cover the expenses of the other vehicle but not the vehicle you have.
• ‘Third party fire and theft’ cover – this type of cover protects those who drive their own vehicles and the vehicles which belong to others on the road. In addition, it offers coverage for fire, loss, and theft, as well as damage to whatever vehicles are in your control. If there is an accident, it will also cover injuries to a third party, claims, and damages.
• ‘Comprehensive’ cover – the comprehensive cover will include everything that has already been mentioned, plus accidental vehicle damage, whether it’s to your own vehicles or the cars of customers.

But bear in mind that there are many other types of cover of which you can avail, including combined motor trade insurance (which covers physical properties and business premises). If you regularly deal with customers or the general public, you can also take advantage of public liability, product liability, and employers’ liability.

When choosing the best motor trade insurance policy for your needs, it’s best to look for a qualified motor trade insurer – one who can give you all the information you require and who can provide you with the guidance and options you need as well.