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This insurance covers one of those slightly grey areas (certainly in the motor trade insurance policy area) where you really need to be clear about what you are buying and why. This isn't a grey area because there's possibly one man in every ten streets of the UK changing the vehicle he drives every week or two, and he also knows a man who can fix it for you if anything goes wrong.
No, this is a grey area because, to a large extent, this is a commercial form of insurance, even if you're only a mechanic and needing the policy cover to deliver the car back to the customer (even if that might be the distance from the ramps at the back to the dealer forecourt at the front). All Motor Trade Insurance has a sales element attached to it, so they will say their aim is to “provide convenience, superior service and competitive prices” but many of these companies will require a survey of the site in order for you to be able to take out insurance, and you will need to make sure that your security and alarm equipment is up to scratch - who's going to insure you if you're easy to steal from?
Then there's the type of business you have; you may find that the ‘bend and mend' sector is growing, and as a result the value of your customer's cars has become greater than your fixed assets (like machinery). You need to increase your cover to comprehensive, rather than just third party.
Your business is growing and you are employing more staff, all of whom, if in contact with vehicles as sales staff or mechanics, will need to be named on the policy and naturally you may have staff leaving to go elsewhere - all changes which have to be made to the driver-only policy. Naturally, you can purchase all these differing types of insurances as separate policies, or include as many as possible in one, but as a business where you will encourage and expect customers to enter your premises (even if it's just a forecourt) you will need public liability coverage incorporated into your Motor Trade Insurance Policy.
On the other hand if you are just looking to get yourself a third party only, driver-only type of policy, you should expect certain conditions to be stipulated on your personal, private behaviour also, as the value of your insurance rests solely on you as a risk. One thing to remember though, many of the ‘specialist' companies say that they do not need to carry out a survey of the premises.
That doesn't mean that you won't have to provide photos and receipts, it means that they may not send their man around to check. Something else to consider is that everybody sells insurance, from the supermarkets to the bank, and if you have sought finance to establish or expand your business then incorporating your insurance with the lender may actually prove more profitable for you.
The truth is that Motor trade Insurance is essential for people in motor trade business. Taking a motor trade insurance policy is easy as there are so many brokers and agents available in the market. What is important is finding the Motor Trade Insurance Quote which suits your requirement.
In this article I have brought forward few points which may not be disclosed by your agent or broker. These points will help you in deciding which policy is best suited for your business.
a) The simplest and the most important point that you should remember is that you should get the right cover at the right price. Normally whenever you search for Motor trader insurance quote you begin by asking the insurance company what premium they will charge or what is their best price. Instead you should let the insurance company know how much you are willing to spend on insurance. Many people may disagree with me, but by letting the insurance company know the amount you are willing to spend you can save time and money.
Once the insurance company finds out the amount you are willing to spend they may straight away agree or disagree. Another important reason of letting the insurance company know your budget is that unless you give insurance companies a lower competitive quote they will give their best price. This will save time which would otherwise be wasted in bargaining with insurance companies.
When you tell the motor trade insurance company about your budget make sure the price you are quoting is not low. For example if the insurance company is giving you a quote of 4000 and you tell them that you have a quote for 1500, they will find you that you are not genuine. So be reasonable when you are giving an offer to the insurance company.
b) The second important point that you should remember is to find out what your requirements are. Most people to reduce their insurance premium forget what their requirement is. Listen to what the insurance company is saying and ask the right questions. Only when you tell them your exact requirement will they be able to give best possible insurance which will cover all your business requirements.
c) One common mistake which most people make is that they don't ask question. Sometimes they spend the whole day answering questions which the insurance companies put to them. It is important that you ask them questions like "How long does it take to process my claim" or "What is excluded and included in the insurance policy?" By asking questions you are able to decide which motor trade insurance policy meets your requirements.
d) Also look for other factors, apart from insurance premium, like the level of customer support, local branches, time taken to process claims and so on. These factors prove useful when claims for losses are made on the insurance companies.
Remember the points mentioned and be patient when taking Motor Trader Insurance Policy.