As with any insurance policy, there are restrictions when it comes to trade motor insurance. It is important to know the details of your policy to ensure you are always adhering to them. This means if you did have an accident your insurer would have no grounds to dispute your claim.

Young drivers

Most businesses will struggle to get trade insurance under 25 years of age for their employees. Some insurers (such as Bollington) will put a cap at 23 years but unfortunately most under this age will not be able to be insured under a motor trade policy. This is due to lack of experience and young drivers statistically have an inflated chance of having an accident. Insurers see this group as high risk so motor trade insurance under 25 is going to be expensive if it is offered and come with other restrictions.

Convicted Drivers

If you are a driver with a conviction whether it is motoring or not, you may struggle to get motor trade insurance and if you do it will come at an inflated price. This is again because convicted drivers are at increased risk of re-offending and making claims. Talking to an expert may help you find the best possible price for your circumstances but bear in mind that restrictions will apply and some convictions cannot be covered at all.

High Risk Trades

When it comes to high risk trades such as breakers, recovery services and vehicle transporters you may need to check that your policy covers these. Some insurers require an additional policy for high-risk services because claims are more frequent and more expensive when they do occur. For example recovery operators mainly use trucks and are at high risk as they conduct repairs and pickups in risky locations such as hard shoulders on the motorway and dual carriage ways.

Companies that work with classic cars whether it is maintenance, sales or restoration may also be considered high risk because of the high value of the vehicles. The same applies to sports cars or other high value vehicles. Speaking to a specialist may help in this instance when it comes to valuation of your premium. Your insurer will not assume you want these vehicles covered so you will need to add them in addition to your policy.

Loss of license

Sometimes there may be an unfortunate instance of a business losing their license to operate, for example MOT stations need a license to perform the practice and make money from it. If you lost your license we would be able to cover potential loss of income as a result. However there are strict stipulations with this type of insurance. The loss of license must be done in good faith or if something genuinely happened to the business that resulted in the license being revoked. If it was for dangerous practice or conscious defective workmanship then restrictions will apply.