What is Engineering Workshops Motor Trade Insurance?
Engineering workshops motor trade insurance is a type of cover for motor trade businesses that carry out engineering work, whether it’s the main focus of the business or just one component of it.
Some forms of motor trade insurance aren’t suited for engineering workshops, which is why it’s a good idea to tailor your cover so it suits the exact needs of your business.
You can find more information about this type of cover below, including the optional extras you can have included in your policy, the main factors that affect the cost and some great ways to save money.
What the experts say…
“When operating an engineering workshop, it's always important to cover yourself for the main risks that come with it. Engineering workshops motor trade insurance can not only cover you for working on customer vehicles, it can also protect your premises, tools, stock and cash.”
– Ian Beevis, Founder of Clean Green Compare
The Main Types Of Engineering Workshops Motor Trade Insurance
The main types of engineering workshops motor trade insurance are:
- Road risks insurance: Lets you and your employees drive customer vehicles on public roads for business purposes.
- Money cover: Insure the money you hold on site for theft and loss.
- Goods in transit cover: If you need to transport vehicles as part of your business, you can cover their contents while on the road.
- Legal costs: Help towards legal expenses if you have to fight a liability claim.
- Personal accident and sickness cover: Provides financial support in the scenario that you or one of your employees were sick or injured and couldn’t work as a result.
You can mix and match these cover options so you get the cover that’s right for your business.
Extra Types Of Engineering Workshops Motor Trade Insurance
Motor trade insurance will enable you to work on and transport customer vehicles but there are other types of cover you should consider. These include:
If you have a premises that you want to cover as part of your motor trade insurance, this is not a problem. How extensive the premises cover is depends on your needs. You may want to just cover the structure of the building itself for things like fire and flooding but you can also get cover for things like stock, tools and equipment.
There are multiple kinds of liability insurance you can get. Employers’ liability insurance will cover you for claims from your employees and is legally required if you have even as little as one employee. Public liability insurance will cover you for claims from customers or members of the public. Product liability will provide cover for any parts you might have fitted that result in damage or injury.
Key loss cover is quite a basic but still useful type of insurance to have as it will cover the costs of replacing keys and locks for cars you’re working on.
You can also get cover for tools, parts and equipment that are being transported to or from your premises.
Engineering Workshops Motor Trade Insurance - Things That Aren't Covered
Although motor trade insurance is generally quite extensive and covers a lot of the risks you face as a motor trade business owner, there are key exceptions, which include:
- Non business use of vehicles: – One of the most important exclusions to be aware of is how you can use the vehicles that are in your. Motor trade insurance will enable you to work on and transport customer vehicles but only for business-related use. So any use of customer cars for anything outside strict business use will not be covered.
- Illegal activity: – Any loss, damage or injury that occurs due to illegal activity within your business will also not be covered. Any example would be a car being driven and damaged while under the influence of drugs or alcohol.
- Vehicles exceeding limits: – Engineering workshops motor trade insurance will cover you to work on and transport most types of vehicles but there may be exceptions for very high end, imported or rare vehicles. If you receive such a vehicle, you should inform your insurance provider just to be safe.
- Malicious or negligent acts: – Acts of negligence or malicious damage won’t be covered under your motor trade policy either.
It’s always worth looking over the details of your policy so you know exactly what scenarios you’re covered for.
What Types Of Businesses Need Engineering Workshops Motor Trade Insurance?
Some of the main types of motor trade businesses that are suited for engineering workshops motor trade insurance are:
- MOT centres and garages: Garages and MOT centres are obvious candidates for this type of cover since they’re constantly working on and transporting customer vehicles.
- Body shops: Body shops are another type of business that can make use of engineering workshops motor trade insurance.
- Mobile mechanics: If you work as a mobile mechanic, then you can certainly benefit from this type of cover too. Even if you don’t have a premises you work from, you can still get cover to work on and transport customer vehicles as well as getting cover for your tools while in transit.
- Specialist repair, performance and tuning workshops: Any motor trade businesses that provide specialist services, such as tuning and performance workshops would be able to make use of this type of insurance too.
These are the main types of motor trade businesses that can benefit from this cover but any that carries out diagnostics, servicing and repairs on vehicles would be suitable.
Get Engineering Workshops Motor Trade Insurance Quotes Today
The Steps To Getting Engineering Workshops Motor Trade Insurance
Simply follow these steps to get engineering workshops motor trade insurance quotes:
Engineering Workshops Motor Trade Insurance - How Much Will It Cost?
There’s no set price when it comes to motor trade insurance because there are a lot of variables but know the main factors that impact cost will help you to get a better idea. Below are some of the key factors that insurance providers consider:
- The type and size of your business: The exact nature of your business and its day-to-day operations will be a big considering for insurance providers as will things like the average number of vehicles you deal with and how many employees you have.
- Your premises: As well as the type of premises you have and its size, insurance providers will also consider where it’s located and how secure it is.
- The level of cover you take out: The level of cover you choose to get for your business will certainly impact the cost of your insurance too. More basic policies that only provide minimal protection will obviously cheaper than something more extensive that covers things like your premises, tools, stock and cash.
- How you pay for your cover: You have the option to pay annually or monthly for motor trade insurance and while monthly allows you to pay in installments, you will normally have to pay interest that you’d avoid by paying annually.
Shopping around for quotes is one of the best ways you can save money on engineering workshops motor trade insurance.
How You Can Save Money On Engineering Workshops Motor Trade Insurance
Some of the best ways to save money on engineering workshops motor trade insurance are:
These tips should help to reduce the cost of your engineering workshops motor trade insurance and make it that much more affordable.
FAQs – Engineering Workshops Motor Trade Insurance
What types of cover are necessary with engineering workshops motor trade insurance?
The types of cover you need at minimum are road risks insurance (at least third party only), employers’ liability insurance (if you have employees) and if you have a premises that you own rather than rent – building insurance.
Is it possible to use a private car insurance no-claims bonus for engineering workshops motor trade insurance?
Yes, many motor trade insurance providers will take your driving history into account when coming up with a price for your policy and this includes your personal no-claims bonus.
Is combined insurance necessary if I don't have a premises?
If you work from home rather than from a premises, you may not require policy but you still might opt for one if you want cover for things like your tools and stock.
How long does it take to get engineering workshops motor trade insurance?
Provided you have the necessary information required to get quotes (covered in detail above), then it shouldn’t take long at all to get cover. In fact it can take as little as a few minutes.
