If you took a moment to search online for motor trade insurance, you’d be greeted by pages of links and adverts, so how do you go about finding the best deal and why do prices vary so much? There are several factors that will influence premium prices for motor trade insurance. These include:
The type of business you own is likely to play an integral role in determining the price you pay for motor trade insurance. If you deal with high-end, luxury cars, for example, your insurance will be more expensive than a business that works with less expensive vehicles. The location, as with most cheap types of insurance policy, will also impact costs. If you operate within a low-risk area in terms of crime and environmental hazards and you have a secure unit, for example, your premium will be lower than a business based in a high-crime area that has shared facilities with no additional security measures in place. No claims bonuses can drive prices down, and driving convictions, such as speeding and drink driving offences, can push prices up.
The level of cover is another important factor to consider. There are various different types of insurance. Typically, the more comprehensive the policy, the higher the fee, but this is not always the case. Types of insurance include:
If you’re looking to save on motor insurance and find cheap policies, here are some steps to take:
The golden rule when buying motor trade insurance is to shop around. It can be tempting to roll over an existing policy if you already have car sellers policy, but often, switching to a new provider can save you money. There are often incentives and special offers aimed at new customers, and if you renew automatically, you could be paying more for less. Ask for quotes, compare different policies and focus on finding the best value offer, rather than the lowest price.
Motor trade insurance can often be more complex and convoluted than other types of insurance policy because customers have varied requirements and there may be issues to contend with, such as drivers being refused insurance, or young drivers struggling to find insurance. Driving convictions can also trigger price changes and make it more difficult to find an insurance company that offers affordable policies. If you are finding it tough to get quotes, it’s a good idea to contact specialist providers who have experience and expertise in solving problems and coming up with tailored solutions.
Insurance premiums are calculated according to the level of risk a provider believes you represent as a customer. You can decrease spending and access better deals by taking steps to lower risks. Examples include implementing restrictions to dictate which employees can drive vehicles, providing training for drivers and encouraging drivers who have committed driving offences to take courses or programmes that are recommended by the police or driving authorities. It is estimated that around 2.4 million driving offences are committed every year in the UK, with approximately 250,000 driving bans issued. Speeding is the most common offence, accounting for over 80% of driving offences, according to government data.
Every motor trade business owner is required to have the relevant insurance cover. If you’re looking for a new policy, or you’re considering switching providers, it’s beneficial to shop around for offers, compare prices and quotes and seek expert advice. Whether you’re looking for a basic policy that meets all the legal requirements, or you have additional requests or needs, there are ways to save time and money. Contact our experienced team today to find out if we could help you find a better deal that is cheaper.