back to articles | December 19, 2019 | Ella Woodward

Categories: Tips & Insights For Car Buying Auto Loans & Financing Vehicle & Buying Research

What is Motor Trade Insurance and Why is it Needed?

If you work in the automotive industry there’s a good chance you’re going to need motor trade insurance, which can protect you and your business from a wide range of different risks as you work on (and drive) your customers’ cars.

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If you work in the automotive industry there’s a good chance you’re going to need motor trade insurance, which can protect you and your business from a wide range of different risks as you work on (and drive) your customers’ cars.

The road risk component is usually the only part that is legally required, but it’s a good idea to ensure your policy covers your business against a wide range of other risks too.

What is Motor Trade Insurance?

Motor trade insurance is a type of insurance that insures you to work with cars or other automotive vehicles. If you drive your customers’ cars you’ll need a motor trade policy that includes road risk cover at the very least, but most car dealers, mechanics and valets choose to add a range of other add-ons to their policies, tailored to the kind of work they do.

What Type of Businesses Use Motor Trade Insurance?

Most automotive businesses will need some form of motor trade insurance. Whether you have a car dealership, valeting business, breakdown firm, scrap dealer, parking service or repairs garage, it is important to make sure that you have the right motor trade insurance for your automotive business so that you can keep yourself and your business covered when dealing with other people’s cars.

What Does Motor Trade Insurance Cover?

This type of insurance is tailored to your specific business in order you cover against a range of different risks, and you will be able to choose the right policy for you depending on what your business does.

One of the most important components is road risk insurance, which insures you to drive cars that don’t belong to you.

A motor trade insurance can also include employers’ liability insurance, and can even cover tools and equipment as well as the workplace itself.

Which Type of Policy Should a Business Take Out?

Motor trade insurance is an important tool when it comes to protecting your business and its employees, but the exact policy you for (and the add-ons and optional extras you decide to include) will depend on the nature of your business, how many people you employ and the kind of work they do on your customers’ vehicles. This motor trade insurance guide from Quotezone.co.uk provides a good overview of how these policies can be tailored to meet your needs, and the specific add-ons and extras you can choose from.

And don’t forget, if you need to finance a new or used vehicle or refinance an existing vehicle loan, buy out your leased vehicle or a private party auto loan, myAutoloan.com is the place to go for fast and easy auto loans of all types.