# trade insurance



## sean20

could i please have some help and information on trade insurance. im 21 and got 3 years no claims. 
i could do with some information on what trade insurance actually covers me for and the best way to go about it. 
also do i still have to have a separate policy for my own car or will that be covered by trade insurance?

im looking at trade insurance as im doing part time valeting on weekends and been offerd a contract with a small local car sales that mite end up to a few more bigger contracts and i do occasionally buy and sell the odd car.

any help and advice would be much appreciated


----------



## [email protected]

sean20 said:


> could i please have some help and information on trade insurance. im 21 and got 3 years no claims.
> i could do with some information on what trade insurance actually covers me for and the best way to go about it.
> also do i still have to have a separate policy for my own car or will that be covered by trade insurance?
> 
> im looking at trade insurance as im doing part time valeting on weekends and been offerd a contract with a small local car sales that mite end up to a few more bigger contracts and i do occasionally buy and sell the odd car.
> 
> any help and advice would be much appreciated


I'd like to know this also


----------



## Shiny

Unfortunately Motor Trade Insurance is difficult to summarise in a forum post. There are many different options, from policies where you specify and pay a rate per vehicle you own, to "open" policies that cover any vehicle owned by the policyholder (and declared on the MID), up to a selected indemnity limit (value) with varying levels of restrictions/acceptance in respect of certain vehicles such as sports & performance vehicles.

Most won't cover persons under 25, although we deal with a couple of Insurers that will. It can be expensive though, depending on the level of vehicle value indemnity required and the types of vehicles you could be driving (not just own vehicles, but the types of customer's vehicles too). i.e. buying & selling £5k family saloons will be much cheaper to insure than someone wanting to drive customer's Porsches & AMs at £100k in value.


----------



## sean20

thanks for that i have been told before that it will be hard and that it can be expensive cos of my age.

my car is a 04 corsa sri 1.8 and if i could have that on the trade policy would be a grate help. the other cars that i would like it to cover me for is the cars that i would buy and sell on nothing to fancy and expensive say no more than 5K and maybe the odd van.
and then its the cars at the car sales that il only be moving around to the back to clean. as its only a small garage thay sell small cars like fiestas C2 astras and now and again the odd bm.


----------



## Bero

Sean would you be going as a proper trader? You will not be able to get trader insurance if you're just doing it on the side.....undeclared and all that. Will the garage you're working for not cover you for valeting?


----------



## sean20

i neva thought of that tbh. im goin to be doing it just on weekends for now and then hopefully some time next year puting more time into it. 

what do i need to do to become a proper trader? 

if i was to get the trade insurance for the valeting side of the business could i then get that to cover me for buying and selling cars aswel?


----------



## Shiny

As mentioned, you must be operating a legitimate business for profit, ie self employed, or a director of a limited company.

Motor trade insurance is a commercial insurance, not a personal insurance.

You can note various activities such as valeting, servicing, sales etc under the policy if needs be.

strictly speaking, you can't really be added to the garage's insurance unless you are an employee of theirs.

Sorry for the brief answers, posting from my phone...


----------



## sean20

thanks Lloyd
i am self employed but as a roofer as that is what im doing at the moment and iv been self employed for the past 4 years


----------



## Shiny

Well as long are you are operating a legitimate business for profit, including all your earnings from valeting/buying & selling in your tax returns etc, and are able to demonstrate this to an insurer if required, then you should be eligible for a motor trade policy. It is unlikely they will cover any of your vehicles used for roofing, so these will be best kept separate, although saying that sometimes you can pay extra for additional business use if you are using a van for both activities.


----------



## sean20

thanks Lloyd thats grate 

iat the moment i have not got a work van as i work with my dad i go in his van.

but if it would be possible i would like to have my car that i use for my personal use on the policy so as i wouldnt have to have a separate policy for that.
or would i have to put my car into the business name for it to be covered?


----------



## Shiny

You can have the car on the policy, the policy will be in your name as you are a self employed individual and not a company.


----------



## sean20

cheers Lloyd grate help thank you

silly question i know but off the top of your head how much am i looking at for trade insurance?


----------



## -Kev-

how longs a piece of string lol


----------



## smyrk

Well put it this way mate, cover sure sort my insurance out, im 22 and my dad is 49 and were both on the policy, and i pay just over 2500 for the motor policy and liability insurance. Which is a he'll of a lot of money but at the end of the day were based in a unit so we have to be insured to drive customers cars so without it im screwed. It's just one of them things i have to grin and bear it and to be honest these days I'd be lost without it always jumping in peoples cars to drive them etc. I also do abit of trading on the side which you would struggle if you don't have trade policy.


----------



## sean20

thanks mate
what you say there is true

was it cheaper for your dad to go on it?


----------



## Shiny

-Kev- said:


> how longs a piece of string lol


Lol, spot on.

There are loads of variables Sean, even a post code can be three times the price of another. I'll have to speak to you, take full details and get a presentation off to the insurers so they can quote.


----------



## sean20

ok thanks Lloyd youv been a grate help


----------



## Shiny

sean20 said:


> thanks mate
> what you say there is true
> 
> was it cheaper for your dad to go on it?


it doesn't work like that mate, with motor trade road risks, more drivers = more risk = more premium.


----------



## alexjb

Try and get the garage to cover you on their insurance mate, then you won't have to pay anything. I work in a small garage (around 25 - 35 cars) and do valeting and very rarely a full detail. I'm 18 but had my license over a year with 1 years NC. When I started working there it only put the excess up by £100 I think. Although I do only work around 2 days a week because I'm still a student so I'm not sure if that would make a difference.
Hope this helps.


----------



## Shiny

It is not as simple as that, as mentioned, he would need to effectively be employed by the garage and it will only cover him to drive cars on behalf of the business of the garage.

If acting as a bona fide subcontractor, not labour only, he won't be able to get cover under the garage policy. I come across this far too often, garages don't know what they can and can't do half the time and even worse they get duff advice from brokers that don't fully understand motor trade insurance.


----------

