Getting the best motor trade insurance can mean different things to different businesses. What is most important, however, is that you obtain a great policy that covers all bases and is available at the right price.
If you want the perfect insurance package, there are a few simple steps you should take. It could be the difference between paying too much for cover you don’t need, or paying too little and being exposed to potential problems in the future.
Speak to a broker
Talking to an experienced motor trade insurance broker is the best way to get a policy that is just right for your business.
In addition to giving you help and advice when it comes to understanding the exact protection your business needs, a broker will be able to speak to a number of insurers to try and find the cheapest motor trade insurance available.
With years of experience in the industry, the brokers at ChoiceQuote can identify the aspects of insurance that you require in order to have adequate cover for daily practices and will speak to a range of companies to ensure you get it at a price that suits you.
Covering exactly what you need
One of the most important things to do before speaking to a broker is to identify exactly what you need cover for.
For example, do you have tools and equipment you need to protect? Is it vital to get insurance for your business premises too? Do you have multiple members of staff you need to add to a policy?
By doing so, you can be certain you aren’t paying over the odds for cover you don’t need. However, you also don’t want to be paying too little for a policy, leaving you at risk of paying out a huge sum of money in the event of an accident or incident where you don’t have the correct insurance in place.
Being extremely specific about the cover you require means you will get the best policy for your business, providing suitable protection for the long term.
Having a healthy no claims history should help you to drive down the cost of a motor trade insurance policy.
If you can demonstrate to an insurer that you are a careful driver and your business has been operating safely for a number of years, it is likely that they will offer you a more favourable price for the cover you need. Those with five years or more no claims history might see big savings on a policy.
Remember to preserve your no claims bonus by only claiming for things you desperately need. For example, if an accident or incident occurs that you are able to fix easily, using your own skills and the tools in your possession, there is no point trying to recoup the money through insurance.
Spending a little bit of money to fix a problem might be much cheaper than losing your no claims bonus in the long term.
You could always protect your no claims history with some insurers by paying a bit extra. The slightly higher premium might seem unnecessary at the time, but protecting your record might be beneficial the next time you renew a policy, rather than losing it entirely following a claimable occurrence.
Setting up a business
If setting up a business or moving to new premises, consider the impact your location could have on your motor trade insurance policy.
Moving near to a floodplain, a built-up city area, or a high-crime zone could lead to increased costs of insurance.
Do your research before investing in premises. Be sure to balance the cost of potential business earnings achieved from moving to a particular location against the possible increase of the price of your policy due to where you are based.
Furthermore, remember that starting a new business under the age of 25 could lead to problems finding insurance. Going into the motor trade industry at such a young age unfortunately means that some insurers might not be comfortable with offering cover. To get the best policy, wait until you are older before opening your own business.
Raising the cost of your excess can see a reduction in what you pay for a policy. However, remember not to raise it too high or you could be out of pocket when you need to make a claim.
Insurance is there to protect you and your business. Paying a little bit extra for perfect cover is much better than cutting corners and being left with huge amounts to pay in the future.