Motor trade insurance
Compare quotes from trusted brands
Insure your motor trade business with zero hassle
Motor trade insurance is a specialised type of cover designed specifically for businesses and individuals operating within the motor trade industry. This includes selling, repairing, servicing, vehicle recovery, valeting and more.
In partnership with some of the leading UK insurers, we’ll not only get you a better motor trade insurance deal with the best cover available, we will work hard to keep you as a customer year after year.
Whether you’re buying and selling the odd vehicle to earn extra cash or have an established MOT and service station, we understand that you need to protect your livelihood.
24/7 claims service
We’re here for you round the clock when you need us most.
Fairer prices for all
We compare the market to find the right deal for you as a motor trader.
World-class support
You’ll get your own UK-based human to look after you for the duration of your policy.
We use a combination of technology and a wealth of experience to give you unrivalled cover and more affordable motor trade insurance prices. Complete a quote form in a matter of minutes.
With over 50 years of experience providing top-quality insurance for the motor trade, you can be sure we’ve got you covered.
What is motor trade insurance?
The primary purpose of this insurance is to offer protection against the unique risks associated with handling multiple vehicles and dealing with the public. It offers a range of policies tailored to meet the specific needs of a motor trade business.
Motor trade insurance is not just a legal requirement for many businesses but also a crucial risk management tool. Without proper insurance, a business could face significant financial losses from accidents, theft, or damages. Here are some key reasons why cover insurance is vital:
- Legal compliance: It ensures that your business adheres to legal requirements, avoiding hefty fines and penalties.
- Financial protection: Safeguards your business against the financial fallout from accidents, theft, and other unforeseen events.
- Peace of mind: Allows you to focus on running your business without constantly worrying about potential risks and liabilities.
Types of cover
Road risks insurance
Road risk insurance is a fundamental component of motor trade insurance. It allows traders to legally drive vehicles on public roads for purposes such as test drives, deliveries, or customer collections. There are three levels of road risks cover:
- Third-party only (TPO): Covers damage to other people’s property or injury to others. It’s the minimum legal requirement.
- Third-party, fire and theft (TPFT): Includes TPO cover and adds protection against fire damage and theft of vehicles.
- Comprehensive: Offers the highest level of protection, covering third-party risks, fire, theft, and damage to the trader’s vehicles.
Combined motor trade insurance
Combined motor trade insurance provides broader cover, encompassing road risks and additional protections such as:
- Business interruption: Covers lost income and additional expenses if your business is unable to operate due to an insured event.
- Premises insurance: Protects business premises against risks like fire, theft, and damage.
- Material damage: Cover damage to any vehicles or equipment stock on your business premises.
- Employer’s liability: Mandatory for businesses with employees, covering workplace injuries or illnesses.
- Public liability: This covers legal costs and compensation if your business activities injure a member of the public or damage their property.
- Tools and equipment: Protection for the tools and machinery essential to your operations.
- Extra drivers: Cover for employees who may be driving customers’ cars.
Quality motor trade cover whatever you do
Motor trade insurance is essential for anyone operating in the motor trade industry. Who needs it includes, but is not limited to:
Part-time traders
Part-time traders insurance to protect you when buying, selling or repairing vehicles in the motor trade, whether that’s working from home or as additional work.
Service and repair garages
Service and repair garage insurance for your garage, employees and customer vehicles in your custody. Protection for vehicles having MOTs, being repaired, serviced, or stored.
Recovery operators
Recovery vehicle insurance for recovery operators. Including vehicle and business premises protection. Cover for towing and recovery operations.
Mobile mechanics
Mobile mechanic insurance for working on, testing and driving other people’s cars at various locations.
Valeters and detailers
Car valeting insurance for protection when cleaning and detailing customers’ vehicles. Cover for the vehicles in your care for cleaning and detailing.
Tyre fitters
Tyre fitter insurance for protection when working on and moving other people’s vehicles. For mobile fitters or motor traders with premises.
How much does motor trade insurance cost?
Typically, motor trade insurance premiums can range from a few hundred to several thousand pounds annually, influenced by the cover level and specific details of your business.
Key factors affecting how much motor trade insurance costs:
Type of cover
Is the level of cover selected third-party only (TPO), third-party, fire and theft (TPFT) or comprehensive.
Nature of business
The specific operations of your motor trade business play a significant role in determining your insurance premium.
Location and security
Where your business operates and the security measures you have in place can affect insurance premiums.
Vehicles covered
The types of vehicles you deal with can significantly impact your insurance costs. For example standard vs classic or vintage cars.
Driver details
The profiles of individuals named on your policy are critical. Age, driver experience, driving history and the number of drivers can all impact.
Policy customisation
Tailoring your insurance policy to fit your business needs can influence costs. Adding additional cover such as liability or tools cover.
Motor trade insurance frequently asked questions
What is the MID?
The Motor Insurance Database (MID) is maintained by the Motor Insurers’ Bureau (MIB) and any vehicle not declared SORN must be added to the database.
Should I add every vehicle to the MID?
Any vehicle that is registered to, owned by or leased to you must be added to the MID. This also includes vehicles that are regularly covered by the policy, such as employees’ vehicles, and any trade plates that you own.
Do I need to add my customers’ vehicles or stock vehicles to the MID?
It isn’t usually necessary to include stock vehicles or your customers’ vehicles, especially if they are already insured separately.
Do I have a period of grace to add a vehicle to the MID?
No, if you need cover for a particular vehicle you should add it to the MID immediately.
How do I update the MID?
We have a dedicated team that you can contact by email or phone. We’ll take care of any changes and provide you with confirmation.
Who will I actually be insured with?
We work in partnership with a panel of UK insurers and will arrange cover with an insurer whose policy best matches your needs. Moreover, all of our insurer partners are rated by financial rating agencies and we continually monitor the financial strength of our partners.
Can I trust you?
We’ve been around for over 50 years so we know a thing or two about motor trade insurance. We’re also authorised and regulated by the Financial Conduct Authority.
Ready to start saving on your motor trade insurance?
Complete quote form
Fill out our quote form in less than 2 minutes, and we’ll be in touch as soon as possible.
Don’t just take our word for it
See what our customers said after trusting insurd with their cover.