What Is Motor Trade Insurance?

Man working in motor garage.

The motor trade is a huge business, from mechanics to sales, there are thousands of motor trade businesses around the UK. However, the motor trade has extra risks and needs bespoke levels of insurance and specific covers. Combined motor trade insurance is a complex policy that protects motor trade business owners. It generally covers any activity undertaken by people working in the trade. This is particularly important if you have staff, work on customer vehicle or drive customer cars. For example from the car park into the workshop.

What is included in Motor Trade insurance?

If you work in the motor industry, you need motor trade insurance. Whether you are a dealer or mobile mechanic, the minimum cover you need is road risk motor trade insurance. This type of policy insures you if you are driving vehicles during your working day. This can include taking a car for a demonstration or a car that’s been left in your care, for example for an MOT or service. If you have this type of cover, you should be protected should you have an accident. Insurers generally don’t like to give this as a stand alone cover, so it’s likely you’ll need to look at a combined motor trade policy.

Not only does a combined motor trade insurance often include road risk cover but it also protects other aspects of your business. Most importantly, it gives you an employer’s liability cover. This is a legal requirement for all businesses who have employees. Employer’s liability insurance is particularly important if you are in an industry that uses power tools or there is an increased risk of injury due to the line of work. It is common for the motor trade to hire apprentices, which means you may need an extra layer of cover. When finding your motor trade insurance package, make sure you speak to a specialist insurance broker. Underinsurance is a really common site in the motor trade industry and given that it’s such a specialist line of business, you really need someone to help advise you along the way of arranging your insurance policy.

Finally, the most important insurance for a company in the motor trade is tools and equipment cover. The equipment you use in a mechanic’s workshop is specialist and expensive. If it gets stolen or damaged, it will be a large cost to your business both in terms of outlay to replace the equipment and downtime. By having appropriate combined motor trade insurance, you can make sure you limit any losses and ensure that your business keeps running.

Where You Can Get Motor Trade Insurance

By speaking to a motor trade insurance broker, you are taking significant steps to ensuring that you will not be underinsured or overpaying. At Alan & Thomas, we have been working with businesses in the motor trade since we started in 1975. We understand exactly what cover you will need and have fantastic relationships with some of the UK’s largest insurers in this industry. However, it’s not just motor trade insurance that we can help with. We also have an expert, in-house claims support team that will help you when you need to make a claim. We can also help with your risk management plan at no extra cost to you. Not only will this protect your business and staff, but it also helps to work out what level of motor trade insurance you need.

If you have any questions about motor trade insurance, please contact us, we would be happy to help. As part of one of the largest insurance broking groups in the UK, Alan & Thomas can help you with a range of commercial insurance covers and private client insurance. So, whatever you need, we can help. For any assistance with your combined motor trade insurance cover, call 01202 754 900. You can also enquire via email at info@alan-thomas.co.uk.