If you work in the motor trade then you will know how high the premiums on motor trade insurance can be. That’s why it’s important that before you buy a motor trade insurance policy you do all the necessary research to make sure you get the best deal. There are factors that you can take into account and things you can do to help reduce the price, but even while trying to get the best possible deal you must ensure that you don’t compromise on the coverage given to you by the policy.
Here are a few tips on what you can do and what you ought to look out for.
No Claims History?
If you do not have any claims history then you stand a good chance of receiving a substantial discount on your motor trade insurance. Insurers consider customers like this to be low risk and so they set up discounts of as much as 60% for them on their policies. Furthermore the reduction is incremental, which means that the longer you go without claiming, the higher the discount you are likely to get. In addition it’s worth bearing in mind that the mirrored discount lets individuals benefit from a separate policy that is not related to your regular business activities. While you can get this kind of discount on a cheap motor trade policy, you must provide the necessary documents to prove your eligibility.
What is Your Business?
Insurers like Sky Insurance will ask about the type of work a motor trader does when calculating their premiums. MOT and body work businesses are often considered less risky while those who primarily do dismantling, breakdown recovery or salvaging damaged vehicles are regarded as risky ventures ad are less eligible for discounts on their coverage. It’s important that you tell the truth when buying your policy and don’t provide false information about your primary activities. If you do, you risk nullification of your policy and losing coverage on your business.
Are you Entitled to Cheaper Insurance?
There are of course other factors that can lower your premium. Luxury vehicle businesses attract a higher premium on the grounds that such vehicles are more prone to theft as they can be worth many thousands of dollars. Company cars also qualify for cheaper premiums if the car has been used for several years and you haven’t made a claim on it. You can remain eligible for premium discounts by ensuring only personnel named in the insurance document drive the vehicle. By considering these factors you can keep your motor trade insurance low and affordable.