How to keep down the cost of your motor trade insurance policy
Like most types of insurance, the cost varies depending on a number of factors. Here are some things to consider that'll help ensure the cost of your policy is affordable.
Only pay for what you need
As you increase the number of drivers on your motor trade policy, your premium will also increase.
Regular car insurance allows you to have multiple drivers covered under the same policy, but only one person will be driving the car at a time. In comparison, motor trade policies cover multiple drivers on the road at the same time in different cars.
In addition to the number of drivers you cover, it's also important to consider which risks you need to cover. It's a good idea to talk to a motor trade specialist to ensure you're covered in all the right places—without attracting higher premiums.
Increase your car's security
Increasing the security measures on your vehicles and premises is a great way to lower motor trader insurance premiums.
Thieves know how to decipher which cars are easy targets. Consider installing CCTV or storing the vehicle in a garage or gated area. Motor traders might also consider installing floodlighting and burglar alarms on your business's premises to deter thieves from targeting your vehicles.
Providing evidence of these security measures tell the insurance provider that you're taking the necessary precautions, resulting in lower premiums on your trader's insurance.
Employ experienced drivers
Drivers under the age of 25 are statistically more likely to be involved in accidents than older drivers. For this reason, traders insurance for under 25s comes with higher premiums.
An effective way to reduce the cost of your motor trader insurance is to employ drivers with experience and a great track record. When choosing candidates do a thorough background check and ensure they don't have any previous convictions.
Limit the number of cars you use
The more vehicles you have coming and going through your business, the greater the risk might be to insurers, particularly where sales are concerned. We’re not suggesting you shouldn’t run a successful business, but equally any good business should be efficient, so make sure that whatever vehicles you are insuring is likely to make you money and – from an insurance point of view – keep your stock levels manageable. Just make sure you have enough cover for the vehicles you’re working with.
