What is MOT garage insurance?
MOT stations carry out highly regulated work, which requires specialist motor trade insurance to protect you against all eventualities.
MOT garage insurance provides: road risks insurance – to cover customer vehicles in your custody and control; cover for your business premises, tools and equipment; public liability and employers’ liability cover; optional cover against the loss of your MOT licence. And much more – all in one package.
Legal requirements for MOT garage insurance
Setting up and running a MOT testing station brings responsibility – even more so than other areas of the motor trade industry.
As a MOT garage owner, there are several legal requirements set out by the Driver and Vehicle Standards Agency (DVSA) that you must follow:
- You will need to have suitable premises (for example, suitable testing bays) and approved equipment for the vehicle classes you are testing.
- You will also need an authorised examiner (AE).
- You will need a well-maintained testing facility, for the vehicles you will be working on.
- As you’re assessing whether vehicles are roadworthy or not, you must ensure your MOT tests are properly conducted. This ensures consistent standards are met, wherever testing takes place.
- You will need adequate motor trade insurance. Without insurance, you will not be able to carry out MOT tests.
MOT Garage premises
You need to make sure your premises are suitable and testing bay sizes are correct for the vehicle classes you’ll be testing. You can find the minimum standards in the MOT testing guide.
From an insurance point of view, you will need cover for your premises. Whether you are renting or own your premises, you need to make sure you have adequate cover in place for their rebuild cost.
If you don’t have premises to operate from, you can’t operate a MOT station – so make sure you get the right level of insurance to protect your buildings and your business.
Liability insurance for MOT stations
For any garage employing staff, including MOT testers, mechanics and apprentices, employers’ liability insurance is a legal requirement. It covers you against claims of alleged injury from employees while they are working for your business.
Dealing with members of the public means there is also a risk of injury to them or their property. Public liability insurance protects against this. Though it is not a legal requirement, the legal costs of defending claims can be considerable. If somebody makes a successful claim, the damages paid could finish your business if you need to pay out. That’s why we also recommend this insurance for MOT garages.
Insurance needed for MOT garages
Getting a competitive quotation for your garage will involve combining insurance covers through your insurance broker. Working within a regulated industry, you need to be certain that you have the right covers in place.
Speak to a motor trade insurance specialist, like ChoiceQuote, about the nature of your business as we can advise on the best policy for your business. Insuring your MOT station will be different to other types of motor trade insurance – getting expert advice means you won’t be underinsured for what you do.
Types of cover you should consider for your MOT garage include:
- Combined motor trader insurance, including cover for your premises
- Road Risk cover, for when you need to road test vehicles or move them from one location to another
- Employers’ liability insurance, to protect you if a staff member brings a claim against your business
- Public Liability insurance, for cover if a member of the public brings a claim against you
- Product Liability insurance, in case a part you fit is defective, or is fitted incorrectly
- Loss of MOT licence cover, designed specifically for MOT stations to cover you in the event you should lose your licence
- Diagnostic Equipment cover, insuring against the theft of expensive equipment needed to do your job
- Tools and machinery cover, similarly covering the tools you need to operate
- Engineering inspection cover, providing inspections of equipment by qualified inspectors, in line with Health and Safety at Work legislation
- Demonstration cover, allowing any vehicles for sale to be test driven by members of the public
- Business interruption cover, in case you cannot trade as normal due to fire or flooding, for example
Our professional team will work hard to find you the best quote and suitable cover for your MOT station. We understand the risks you face and tailor the covers to suit your business.
ChoiceQuote has nationwide coverage. It doesn’t matter where you are in the country, we can offer you a competitive insurance quotation on your MOT station. We work with all the major insurance companies working in the motor trade market.
Frequently asked questions
Can I cover my home address with motor trade insurance?Road risks insurance cover is available for individuals who work from a home address. If your business is based at a residential property, call ChoiceQuote. We can help you to understand if this is likely to affect your policy and the premium you pay.
Do I need public liability insurance?We recommend taking out public liability insurance, especially if you are a motor trader, taxi driver or courier. It protects you in the event of accidents and incidents involving the general public - and the claims for damages and legal costs that can follow.
Can I get cover today?Yes, if you need insurance today, you can buy immediate cover. You can make a payment by credit or debit card or if you choose to pay by Direct Debit, you can pay an initial deposit and then pay the remaining amount over monthly instalments.
How do I know I’ve got the best deal for my needs?Speak to our team of advisers! We will guide you through the right cover for your individual needs. Don't be fooled that buying the cheapest policy means it's the best policy - if you find yourself without cover, or unable to make a claim for the full amount following an accident, you will regret it!
Am I covered against natural causes such as severe weather and flooding?For motor trade garages, it depends on the cover you have purchased. Refer to your policy wording for your specific covers relating to your risk.
Can I pay for my policy monthly?Yes - we offer finance options across a range of motor trade, courier and taxi insurance products, subject to status. Ask us for repayment options and details when you get a quote.
How soon will my insurance come into effect?Your insurance will come into effect on the start or renewal date on your quotation. This can be on the same day you receive a quote, but can never be back-dated.
What if I work part-time in the motor trade?Part-time motor traders still need appropriate insurance cover. We can help you to find the right motor trade policy, whether you're full-time, part-time, still in training, work from home or on a mobile basis.