Are Personal Vehicles Covered Under Motor Trade Insurance?

Motor trade employee working on the underside of a vehicle

Motor trade businesses are a significant section of the UK economy. With over 77,000 auto-related enterprises in the UK, it’s no surprise that these types of businesses have unique needs and requirements when it comes to insurance.

For some, motor trade insurance may be fairly straightforward. If you’re a smaller business, or know exactly what kind of cover you need, this can make life easier. Usually, however, this is not the case. Commercial insurance policies like motor trade or tradesman insurance can often seem more complicated due to the level of cover and all the aspects that need to be considered.

In this article, we’ll be exploring what motor trade insurance is, and whether things like your personal vehicles are included under this kind of cover.

What does motor trade insurance cover?

Motor trade insurance is a type of commercial insurance policy that is made specifically for businesses within the motor trade, from garages to mechanics and showrooms. This type of cover is meant to protect your business against the challenges specific to the motor trade.

Some of the core components that you may find in your motor trade policy include:

  • Buildings and content insurance
  • Public liability
  • Employer’s liability
  • Property damage cover
  • Legal liability
  • Road risk
  • Trade car insurance
  • Business interruption cover
  • MOT loss of licence resulting in loss of profit cover

Not to mention additional package covers that you may arrange with your motor trade insurance broker.

Are personal vehicles covered by my motor trade policy?

Although they may sound similar, personal vehicle insurance and motor trade insurance are very different. As the UK law states, everyone who drives a motor vehicle in the UK must have valid insurance, however this type of personal insurance doesn’t cover you if you specifically work with motor vehicles.

Whether or not your motor trade insurance covers your personal vehicle as well is a matter of your specific cover, and your insurer. Policies can vary customer to customer, particularly when working with a motor trade insurance broker like Higos. If this is something you require, make sure to discuss with your broker or insurer and have your cover tailored to include your personal vehicle in your insurance policy. This will likely not come as a default, and it’s vital that you do not drive a vehicle in the UK without appropriate cover.

Each motor trade business is unique, and your cover should be too. To find the right insurance policy and to ensure you’re staying within the law, it’s important to consider every aspect of your business. Do you need cover that allows you to drive any vehicle? Do you manage a team and need to be covered with employer’s liability? Even if you’re running a solo business fixing up and selling on vehicles, it’s vital to have the right motor trade insurance to suit you.

For more information on our motor trade insurance policies and how we’re here to help find the right cover to suit your needs, get in touch. Get a quote today by calling us on 01458 270323, or Request a Call Back. After all, for comprehensive motor trade insurance cover, it has to be Higos.

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