Part-time motor trade insurance is the perfect solution for those who have another occupation outside of the motor trade or are retired. You will legally need to have motor trade insurance if you operate any type of motor trade business, such as a mechanic, tyre fitter, car dealer, crash repairer or MOT specialist.
What Type of Insurance Cover Do You Need?
The type of part-time motor trade insurance you need really depends on your business type. An experienced broker will tailor-make a single policy that provides the right protection.
Important considerations when taking out a policy include whether you have permanently owned vehicles, ones you are planning to sell-on or others that you are fixing or restoring. If you are buying and selling vehicles on a part-time basis, a motor trade policy will enable you to register the vehicles with the Motor Insurance Database (MID).
Overall, part-time motor trade insurance isn’t that different from full motor trade insurance.
But as a part-time trader, you might not have your own business premises or employees, so your policy can be tailored towards this.
Road Risk or Combined Insurance?
When searching around for the right policy, you will normally find two main types of insurance for motor traders: road risk insurance and combined insurance.
Part-time road risk insurance
If you don’t have your own premises, you will probably find that part-time road risk insurance is suitable for your needs. It will give you cover for vehicles you are working on or those which form part of your stock in the case of a car dealership.
As with full-time motor trade insurance, there are three levels of cover: third party, third party fire & theft and fully comprehensive. You will need to take out third party as a minimum. Vehicles kept under SORN and vehicles under restoration can be covered for fire, theft and accidental damage.
Part-time combined insurance
If you have your own premises, such as a small repair centre, lock-up garage or even a car forecourt, you should consider traders combined cover, which will offer you more protection than a road risks policy.
In addition to the three levels of cover with a road risk policy (third party, third party fire & theft and comprehensive), you can arrange cover for buildings and contents insurance including: vehicles, tools, machinery, stock, money on premises and even business interruption.
If you employ people, you should consider employer’s liability insurance to protect you if they are injured in an accident whilst at work. Other areas to consider are product liability insurance (if you are supplying or receiving goods) and public liability insurance if you interact with the public or they visit your premises.
As a quick overview, here is some typical examples of cover for part-time motor trade insurance from Tradex:
- Road risks only cover
- Third-party, third-party fire & theft or comprehensive cover
- Transfer or mirror your private vehicle no claims discount
- Public liability and employers’ liability
- Traders combined cover
- Younger motor traders considered
- Bonus Booster available. Offers those with no bonus a six-month policy to accrue a year’s no claims bonus and subsequently use this with us on a full-term policy.
If you would like more information on part-time motor trade insurance, please contact Tradex on 0333 313 1111.