Will It Cost More to Add Another Driver to My Motor Trade Policy?

If you want to add other drivers to your Motor Trade insurance policy then it will cost you more money to do so. The main reason for this is that with each and every driver you add to your policy, the greater the chance there is of someone being involved in an accident as there are more people that could be out driving a vehicle at any one time. You are essentially increasing the risk of having an accident and needing to make a claim which will ultimately cost your insurer money, and therefore you will need to pay a higher premium.

With a Motor Trade insurance policy, theoretically all of the Named Drivers could be on the road at the same time, and therefore pose a higher risk to the insurer.

The amount it will actually cost will also be determined by who it is you are looking to add to your policy, what you want to cover them for, how old they are, whether they have any claims and driving or criminal convictions.

You can add a Spouse or Partner and they can be covered for motor trade use if they are involved in the business, or just Social, Domestic and Pleasure use if not. This would allow them to drive for personal purposes, such as shopping, commuting to and from work, or doing the school run, the same as a standard car insurance policy would. However, if they are under 25 years old, then this will likely increase the cost further.

You can add a child on to the policy for Social, Domestic and Pleasure use, and motor trade related use providing they are a business partner or are a legitimately paid employee of the business. If they aren’t do not be tempted to say they are just to get them cheaper insurance. This is called fronting and is a criminal offence. You will get caught, and when you do your policy will be cancelled and possibly made void meaning you may struggle to get Motor Trade insurance for your business again in the future. Also, if they are under 25 years old this can cost you a lot more and some insurers may not offer them cover. 

You can add your employees on to the policy as Named Drivers so they are covered to drive the vehicles for motor trade purposes, and you may also be able to cover them for Social, Domestic and Pleasure use too. In certain circumstances, you may also be able to cover your employees for additional business use, but this would only be in cases where you run a second business outside of the motor trade and your employees also work for you in that separate business as well. For more details on this, please ask one of our motor trade experts.

You can also add a business partner to your policy too.

To discuss your business and how many drivers you want to include on your Motor Trade insurance policy call our team today on 0800 221 8077.