If you’re supplementing your income with a motoring-based side hustle, it pays to stay protected. Whether you’re buying, selling or repairing vehicles, part-time motor trade insurance is a valuable safety net that may just want to consider. Here’s why.
What is part-time motor trade insurance?
Part-time motor trade insurance is a specialised policy designed for individuals who engage in motor trade activities on a part-time basis. So, if you buy and sell cars, offer vehicle repair services or do something similar in your spare time, it’s well suited for you.
Most policies provide a few basic types of motor trade insurance. Road risks cover protects you when driving customer cars. Liability cover protects you from third-party claims if you or someone else has an accident. And premises cover protects tools, equipment and any trading facilities you use.
Benefits of part-time motor trade insurance
There are plenty of reasons to choose part-time motor trade insurance. Firstly, it covers a wide range of activities, including buying and selling vehicles, servicing cars and offering valet services. So, you don’t have to be afraid to dabble in a bit of this and that.
Secondly, part-time motor trade insurance gives you peace of mind to help carry out your best work. Should a customer’s vehicle be damaged while under your care, your policy should cover the cost of repairs, shielding you from potentially significant financial losses.
Flexibility is another key benefit. You don’t have to worry about a standard motor trade insurance which can be costly for the year. Tailor a policy to your working hours or days and the work you do. This helps to keep costs down, so you can keep more profit.
Common risks without cover
Without adequate cover, you could be financially and legally liable for situations such as:
- Damage to customer cars and accidents
- Driving on roads without valid insurance
- Members of the public being injuries on your premises
- Theft of your tools or equipment
With part-time motor trade insurance in place, you can relax knowing that you’re covered for most events and outcomes.
How to choose the right policy
Choosing the right part-time motor trade insurance policy ensures that you’re appropriately covered for your work. Assess the scope of your side hustle activities to determine exactly what cover features you could benefit from. These may be different if you’re buying and selling vehicles versus making repairs, for example.
It’s also crucial to get the right level of coverage. The cheapest policy can be tempting for cost savings, but getting adequate protection is arguably just as important. Look for policies offering comprehensive coverage across all the necessary areas.
Finally, review policy flexibility. Your insurance needs are likely to change over time, so choose one that can be easily adjusted with high fees.
