Motor Trade insurance covers you, rather than a vehicle and is essential for anyone working with motor vehicles. For car dealerships, MOT centres, individuals who buy, sell or fix cars (even if it’s only on a part time basis) Motor Trade insurance provides the protection you need.

Motor Trade insurance, also known as trader’s insurance, is an insurance policy that protects staff when driving or working on customers vehicles. It also allows them to cover themselves when they are working on their own vehicles that the business owns.

Motor Trade insurance offers cover to the business in the event that any accidental damage occurs as a result from a mechanic working on a customer’s vehicle.

Motor Trade insurance is normally tailored to their clients’ needs and the most common parts of a policy are:

Road risk – A policy including road risk will cover the vehicles that are being driven on public roads to be handed over to the buyer of the vehicle or if a mechanic needs to do some check faults on a vehicle before it is handed back to a customer.

Public liability insurance – Provides the business with cover against claims made by the public or current or previous customers.

Employers liability insurance – Provides cover against claims made by staff against the company.

Product liability insurance – Provides cover for new vehicle parts that are fitted to customer vehicles and don’t operate correctly or at all.

Material damage cover – This provides cover for equipment and vehicles that are owned by a company. This provides cover for vehicles that a dealership has not sold or vehicles that are just in their custody.

Combined motor trade insurance – This provides cover for equipment; road risks and the companies work premises.

Extra drivers – This aspect of a motor trade policy will cover all staff of a company to be able to driver and move all vehicles in the company’s current possession.

Vehicle types – This will make sure that all staff of a company are able to drive and move all types of vehicles in the company’s possession.

Third-party cover only – This will only cover the damage caused to a third-party vehicle and not the insureds vehicle.

Third-party, fire and theft – This will pay out any damage made to a third-party and will cover theft and fire damage of vehicles under control of the motor trader, to the motor trader.

Fully Comprehensive – Fully comprehensive cover provides full assurance for vehicles that are in the motor trader’s custody and receive any accidental damage.