Can Anyone Get Motor Traders Insurance?
There are some restrictions as to who can take out a Traders insurance policy, and it can vary between insurers.
At Think Insurance we try our best to get you a Motor Trade insurance policy that works for you, however for some traders, we (and many other brokers) won’t be able to offer a competitive Traders insurance quote, or even offer a policy at all, due to certain restrictions.
How Getting a Traders Insurance Quote with Think Insurance Works
When you call our UK based office and begin speaking to a member of our Motor Trade insurance team, you’ll be asked a series of questions about yourself and your motor trade business, to help us assess whether we can offer you a quote, and if so, where we can find the best Traders insurance quote for you and your business. We’ll use our bespoke system and our knowledge of the motor trade market to match you with one of our specialist Motor Trade insurers. However, in certain circumstances and due to specific restrictions, this isn’t always possible – here are some of the reasons why:
Motor Trade Insurance Restrictions
Many traders will have no problems obtaining a motor trade policy through us, however there are some traders who may struggle getting Motor Trade insurance at a price they are happy with. While you may find a few issues with obtaining a policy perfect for you, it’s not impossible. Here at Think we do our best to try and find a solution to any issues regarding obtaining an insurance policy. This includes the following:
Motor Traders with Criminal Convictions
Whilst there isn’t a blanket ban in place to prevent traders with criminal convictions taking out a Motor Trade insurance policy with Think, not all criminal convictions are considered. In addition, drivers with excessive motoring convictions or driving bans may struggle to get a competitive insurance quote too. There are a few ways in which you may be able to cut the costs of your insurance.
If you are struggling to find out if you are eligible for a policy with your convictions, our sales team are able to look into your situation and find out how to get you covered.
Age Restrictions for Motor Traders
For most Motor Trade insurance policies we can only offer cover to traders between the ages of 25 and 74. However there are some exceptions, and with a few select insurers we can offer Traders insurance to motor traders over the age of 23. If you are above the age of 74 it may also be possible to renew a Trade Car policy, though getting a brand new one and starting from scratch may be difficult.
There are some occupational restrictions, however these can vary between each underwriter and therefore an exhaustive list isn’t available. Furthermore, if you have been involved in a restricted profession in the past, then that may impact your eligibility for Motor Trade insurance with some insurers. Occupations such as scrap or salvage related trades might be more difficult to find cover for, but we do our best to try find a solution where possible. If you find yourself ineligible, we may be able to offer advice on what you could do to rectify your current situation.
For more information on this, please call and speak to one of our experts.
We can only offer insurance to traders located in Britain, and at this time cannot offer a Motor Trade insurance policy to traders in Northern Ireland. In addition, to be eligible for Trade Car insurance with Think, you must have been a UK resident for at least three years.
While there are not many restrictions regarding the type of property you reside in, there may be stipulations regarding where vehicles are kept on the property. When applying for a quote you may be asked where a vehicle is kept, and to ensure that you get the cheapest policy you can, we highly recommend evaluating the safest place on your property for storage. Don’t, however, be tempted to lie about where you keep your vehicles in order to reduce your premium! Your insurers can and will check, and if they find out you’ve lied as part of your quote, they could increase your premium or even cancel and void your policy, which will cause you even more problems in the future.
Driving Licence Requirements for Motor Trade Insurance
To obtain a Motor Trade insurance policy with Think you must have held a full UK driving licence for at least one year, or an EU driving licence for one year providing you have been a UK resident for three years. While having some No Claims Bonus is not mandatory, it is beneficial and drivers with excessive motoring claims (regardless of fault) may be rejected when applying for a Traders insurance policy.
Hobbyists Are Not Eligible For Traders Insurance
If you run a business but it isn’t part of the motor trade you will not be able to get a Traders insurance policy, and may instead be interested in Business insurance through Think. Furthermore, if your motor trade activities are conducted as a hobby, you will not be eligible for Motor Trade insurance as only motor traders operating as a business can take out full-time Motor Trade insurance or a Part Time Motor Trade insurance policy.
Do I Need Motor Trade Insurance?
You may still be wondering to yourself if you still need a Motor Trade insurance policy. Well, if your business is centred around the motor trade in any way, such as a car dealer, a car jockey or you own a repair garage, then you are required to have the correct form of insurance. This applies to vehicle valeters, mechanics, car dealers and other similar businesses related to the vehicle industry. Simply put, if you are responsible for the care of any customer’s vehicle(s) or hold the custody of a vehicle which is to be tested, repaired or sold then you will require a motor trade policy for the protection of your customers, their vehicle(s) and your business. This is not an insurance to simply cover multiple vehicles for a private individual, nor is it for an individual whose hobby revolves around cars. This is strictly for businesses that produce an income as a result of working with cars.
This requirement is not just set to Limited Companies. If you are self-employed but still run a motor trade related business then it is essential that you are covered by the correct insurance policy. The type of Motor Trade insurance cover you require is dependent upon the type of business you operate and where you operate your business from. These factors include things such Motor Traders who operate in more than one location, traders who operate from their home or from a designated premises. Each of these examples may require a slightly different level or type of cover.
To even qualify for a Motor Trade insurance policy, you must first be able to provide evidence that you are running a business that generates a source of income, such as receipts from vehicles you’ve bought and sold, or documents showing vehicles you’ve worked on. In providing this you are proving your eligibility for the policy which will help give the insurer the comfort you are a legitimate motor trade business, and not someone looking to get cheap cover that they wouldn’t be able to get on a standard Car insurance policy.
The best advice we can give you if you’re looking for tips on getting a good Motor Trade insurance policy is making sure you know what you want. A good policy for one trader may not cut it for another. Knowing what needs to be included in a Motor Trade insurance package for it to be good enough for your motor trade business is how you can get a good Motor Trade insurance policy.
How to Keep Costs Down When Getting a Good Motor Trade Insurance Policy
When taking out an insurance policy for anything you’ll no doubt be focused on how much you’re going to be happy to pay. When it comes to insuring your motor trade business, the cost of getting a good Motor Trade insurance policy is going to be something you will look at closely, because when it comes to Traders insurance the cheapest policy may not offer all the cover that you need.
However, there is an easy way you can make sure a good Motor Trade insurance policy doesn’t cost too much, and that’s by contacting a reputable Motor Trade insurance broker, such as ourselves, to help you find a policy that works for you. At Think Insurance we’ll even help you design an insurance policy that’s bespoke for your business!
Fit the Requirements for Traders Insurance?
If you do fit the requirements for a Traders insurance quote through Think Insurance then we look forward to hearing from you. Click ‘Get a Quote’ below or call 0800 221 8077 to be put through to a member of our Motor Trade insurance team, who will be more than happy to clarify any of the requirements and restrictions mentioned in this FAQ.