Anyone operating in the motor trade business needs to ensure they have the correct level of insurance cover for their needs. This may feel like a minefield, such is the variety of policies on offer.
If you are looking at which insurance is right for you, one of the first points to consider is whether you need full- or part-time cover. Whether your business operates on a full- or part-time basis will impact the type of cover you need.
What are the insurance options for the part-time motor trade?
As the name suggests, this type of insurance is designed specifically to cover traders that only operate on a part-time basis. As with other types of insurance, the cover is usually offered at three different levels:
1. Third party only.
2. Third party, fire and theft.
3. Fully comprehensive.
Part-time motor traders are usually small businesses that can choose between a part-time road risk insurance policy or a combined insurance policy. The former covers you just for driving cars on the road and can be supplemented with various add-ons, while the latter offers more cover to include items such as workshops, tools and stock and is aimed more at larger motor trade businesses that operate from designated business premises rather than from home.
Is insurance necessary for the part-time motor trade?
You will need to ensure you have adequate insurance cover for all your business needs. This may seem like an additional expense, particularly if you are currently operating on a small level; however, it may be possible to arrange personal and family cover under the same policy.
For further advice on the options available to best fit your needs, speak to a professional insurance broker; for example, you can get a motor trade insurance quote from Quote Me Today.
If you are a small motor trader, you may also be interested in joining the network of traders who are members of the British Motor Trade Association.
Remember that if your business grows and becomes a full-time operation, you will need to change your insurance policy to reflect this; if you don’t, you risk invalidating your insurance policy or having it cancelled. Speak to your insurance company or broker for advice to ensure you maintain the level of cover that is right for your needs.