Motor Trade Insurance
Do you ever look out at the gleaming stock lined up in your forecourt? Ever wondered how much money you’ve invested in tools and equipment? Now think how you might deal with a situation where you had to replace them.
Motor Trade Property (Premises) Insurance allows you to consider such an unfortunate occurrence without breaking into a cold sweat.
CIP Insurance Brokers offer can protect your assets & property as well as providing road risk, liability cover, both Public Liability and Employers’ (the latter being a legal requirement).
Don’t wait until it's too late…just give us a call or pop in. We’ll make it out business to protect yours.
- Highly competitive premiums and monthly payment options
- Road risk only or complete motor trade combined packages
- Protection against damage to own & customer vehicles on business premises
- Sales indemnity / public liability / defective workmanship cover
- Machinery, plant & tools cover
Who qualifies for motor trade insurance?
Motor trade road risk insurance policies are intended for individuals who are actively engaged in operating a business within the motor trade sector, either full-time or part-time. To be eligible for this type of motor trade policy, you must be able to provide documented proof that this insurance is being utilized in connection with your motor trade business.
In recent times, there has been misuse of motor trade road risk policies by deceitful applicants. Some people who own multiple vehicles but aren't authentic motor traders have tried to exploit this policy to secure cheaper insurance rates compared to what they would get through appropriate fleet policies or individual vehicle policies. This unethical behavior has led to financial losses for insurers and subsequent premium hikes for legitimate motor traders.
To address this issue, motor trade insurance underwriters may require evidence of trade-related activities at any point during the policy period to confirm its proper alignment with the declared motor trade occupation. Therefore, it's important to maintain records of financial transactions carried out in the course of your motor trade business.
If your business involves activities like buying, selling, repairing, or modifying vehicles, CIP Insurance Brokers can help you find a tailored Motor Trade insurance policy. For inquiries or quotes, you can reach out to our knowledgeable team via a phone call, call-back request, or by completing a contact form.
How long do I have to provide evidence of trading? Once a motor trade insurance underwriting department formally requests evidence of trade-related activities, you're typically given a 7-day window to comply. Failing to provide adequate proof of your motor trade activities or providing insufficient evidence could potentially lead to the rejection of your claim (if you've made one) or the cancellation of your motor trade insurance policy.
What qualifies as evidence of motor trade activities? Several documents can serve as evidence to demonstrate your active involvement in the motor trade to the insurance underwriters. You might be asked to present any of the following forms of trade-related activity:
- Advertisements, whether online or in print.
- Invoices from auction houses.
- Confirmation of membership with auction houses.
- Details of your business bank account.
- Copies of your company letterhead and logo.
- Copies of your tax self-assessment form.
- Receipts for vehicle purchases and sales.
- Receipts for parts or mechanical work done.
- Copies of V5 registration documents.
For those engaged in vehicle sales, your receipts must include essential information like contact details of both parties, date, price, make, model, and registration number.
How should I provide evidence of my motor trade business? You can take pictures of your documents and email them to our customer service team. Alternatively, you can send physical copies through mail, but we strongly recommend making photocopies of the documents and sending duplicates, as we cannot ensure their safe delivery and return.
We trust that this blog post will be helpful to traders who are required to furnish proof of trading to a motor trade insurance underwriter. If you have any inquiries, please feel free to contact our motor trade customer service team.