Who Needs Motor Trade Insurance?

First things first, who needs it? Well, it’s simple, anyone working within the Motor Trade industry needs insurance. It doesn’t matter whether you’re buying and selling cars from your home, if you’re a travelling mechanic, or if you provide a car valeting service from a lot. While it might feel like a pain at times, it is a legal requirement. This leads us to the questions of what kinds of cover are there and what one do I need.

What Kinds of Cover Are There?

The answer to this is easy: there are many kinds of cover. As said above, you can find insurance that is tailored to any sort of Motor Trade business, but these come in three main variants. Road Risk, Liability, and Combined. These vary quite significantly, let’s discuss how.

Starting with Road Risk, this cover insures any vehicle that is necessary for your business (be it yours or a customers’) against damages on the road. This makes it the most basic variant of Motor Trade insurance. Next, we have Liability insurance. Liability covers you against pay-outs and legal fees because of injuries suffered by your employees or customers (potential or not), and against damage and/or property loss caused by you or your products. These are Employers’ Liability, Public Liability, and Product Liability. Both Road- Risk and Liability insurances can be added to, tailoring them more to your needs, but this depends on the insurer.

Last but not least, Combined insurance. This policy offers you the most cover. It combines the previous two together, along with their add-on products, and then on top of that it gives cover to any properties you work from. But remember; you should think about what your business does and what it will need cover for. Looking at Combined cover, you might just want to go for that, but you might be spending more than you need to cover things that don’t need to be covered.

Insurers & Me: Finding the Right One

Now we’ve discussed the insurance we should talk about the insurer themselves. Just like the insurance, finding the right insurer is difficult if you don’t know what to look for. The place to start is hunting for insurers who specialise in Motor Trade insurance. Not only will they be able to get you the cover you need, their expertise can be used to help you decide what insurance to get if you’re unclear or if you need as much cover as you’re asking for.

A good thing to do when looking for insurers is to read their reviews, good and bad. This tells you all you need to know. Never trust an insurer that doesn’t have any bad reviews, they’ve either deleted them, paid for the good reviews, or both. Once you’ve got a small list collected you should now start gathering quotes. This gives you a chance to see the price range of the insurance you’re asking for and can help you find the cheapest insurance possible for the level of cover you want. It’s not always going to be ridiculously cheap but there are things you can do to sort that out.

Ways to Keep My Motor Trade Premium Low

It’s not easy to keep insurance costs low; Motor Trade insurance is definitely more of a chore in this area than Private Car Insurance. This doesn’t mean you can’t save money but there are things to factor in which affect your premium cost that you might not be aware of. These range from the location of your business to the type of business you are running, the type of vehicles you work with to whether you have convictions, and your experience in the Motor Trade industry to your age. But, Motor Trade insurance premiums are generally more expensive than private car ones, so don’t be surprised if this is true for you. It’s not always the case but that’s where looking for the right Motor Trade Specialist Broker comes into it.


You came into this article with questions like “Who needs Motor Trade insurance?” and “How do I get the right cover?”, well, hopefully I have answered those questions and any other potential questions. Taking what is said here and putting it into practice may be difficult at first but once you’ve gone through your situation everything else will fall into place.