What is Taxi Insurance?
Taxi insurance is specialist cover for anyone carrying passengers for hire or reward. It’s a legal must-have in the UK and gives you the protection that standard car insurance can’t offer – keeping your business, your passengers, and your vehicle covered for every journey. The right policy depends on how you work – whether you need private hire insurance for minicabs and pre-booked jobs, public hire insurance for taxis at ranks, black cab insurance for city cabs, or Uber insurance for app-based or ride-hailing drivers. This kind of hire and reward insurance is built for the demands of professional taxi work.
It only takes one quick form to compare tailored quotes for every kind of cab insurance – whether you drive a minibus, run a multi-vehicle fleet, or just want the right cover for your own taxi business. UK taxi insurance specialists can match you with options for your licence, vehicle, and business – plus extras like breakdown cover, public liability, and no-claims bonus protection – so you get cover that really fits the way you drive.
What the experts say…
"Taxi insurance isn’t one-size-fits-all – what matters is finding cover that fits how you work, who you carry, and where you drive. The best value comes from comparing quotes, understanding what’s included, and making sure your policy matches your licence. With the right cover in place, you can stay focused on your business and your passengers, knowing you’re protected every mile."
– Ian Beevis, Founder of Clean Green Compare
What’s Covered by Taxi Insurance?
A taxi insurance policy does more than just meet legal requirements – it’s designed to protect you, your cab or private hire vehicle, your passengers, and other road users while you’re working. Whether you need minicab cover, cab insurance, app driver insurance or hire and reward insurance, the level of protection you choose will decide exactly what’s included.
- Third party only (TPO): Covers injury or damage you cause to other people or their property – the minimum required for any taxi or cab driver.
- Third party, fire and theft (TPFT): Adds protection if your vehicle is stolen or damaged by fire – suitable for most taxi and minicab policies.
- Comprehensive: Covers damage to your own taxi or cab as well as others – even if you’re at fault.
- Passenger liability: Protection if a passenger claims for injury or loss – important for any hire and reward insurance.
- Windscreen/glass cover: Pays for repairs or replacement – often included with comprehensive taxi insurance.
- Replacement plated taxi: Some insurers provide a temporary licensed vehicle if yours is off the road after a non-fault claim.
- European cover: Short-term EU cover for driving abroad – always check your policy if you plan to work outside the UK.
The exact cover you get will depend on your insurer and the way you operate, so always check what’s included before you buy.
Add-ons for Taxi Insurance
Want a taxi insurance policy that works harder for your business? Adding optional extras is a smart way to boost your protection and reduce your risk. From getting back on the road faster after a breakdown to covering legal costs or lost earnings, these add-ons can make a real difference if something goes wrong. Here are some of the most popular options for taxi, cab, and private hire insurance:
Covers claims if a passenger or member of the public is injured or their property is damaged as a result of your work, such as slips at taxi ranks or damage to baggage.
Pays for legal support and representation in disputes, including accident claims and help with recovering uninsured losses after a collision.
Offers roadside assistance and recovery, helping you and your passengers get moving again quickly if your taxi, cab, or minibus lets you down.
Pays out for the cost of replacing lost, stolen, or broken taxi keys, and may cover locksmith charges and onward transport if you’re stranded.
Protects your income with a payout if you’re seriously injured and unable to work, helping to cover bills and lost earnings while you recover.
Lets you make a claim without losing the years of no claims discount you’ve built up, keeping your premium lower in the future.
Only add the extras that match how you work—building the right cover means you only pay for what you really need.
Taxi Insurance Exclusions – What’s Not Covered?
Like any insurance, taxi policies have exclusions. You typically won’t be covered if (always check your documents for the full list of exclusions.):
- You’re unlicensed or operating outside your taxi licence terms.
- Your taxi is driven by someone not named on your policy.
- You use your vehicle for personal trips unless “social, domestic and pleasure” cover is included.
- You leave keys inside or fail to secure your taxi.
- You haven’t declared previous claims or convictions.
- Breakdowns or maintenance, unless you’ve added breakdown cover.
Who Needs Taxi Insurance?
Taxi insurance isn’t just for full-time cabbies – it’s a legal requirement for anyone driving passengers for hire or reward in the UK. Whether you’re working as a private hire minicab, taking street pickups as a public hire driver, running a city black cab, or picking up fares with Uber or another app, you’ll need the right cover in place. This specialist vehicle insurance is designed for the unique risks of commercial driving – higher mileage, more time on the road, and responsibility for passenger safety. If you transport paying customers in any way, standard car insurance simply won’t cut it.
- Private hire drivers – Minicabs, pre-booked journeys, app drivers, and airport transfers who can only take passengers by prior arrangement.
- Public hire drivers – Licensed taxis that can be hailed on the street or at taxi ranks, including hackney carriages outside London.
- Uber, Bolt & app drivers – Anyone working with ride-hailing platforms, needing flexible app driver insurance and cover that matches local licensing.
- Black cab operators – Iconic London cabs, wheelchair accessible vehicles, and drivers licensed for city work and street pickups.
- Chauffeurs, wedding cars, minibuses, and school contracts – Specialist cover for contract drivers, event transport, or group travel carrying fare-paying passengers.
If you take payment for any journey, you need taxi insurance that matches your licence, vehicle, and business. The right cover keeps you legal and protects your income, whatever kind of taxi or hire and reward driving you do.
Get Taxi Insurance Quotes Today
Don’t have your registration number? No problem, click here.
How to Get a Taxi Insurance Quote
Getting a taxi insurance quote is simple – here’s what you’ll need to get started:
How Much Does Taxi Insurance Cost?
Taxi insurance usually costs more than standard car insurance – but for good reason. Taxis, cabs, and private hire vehicles spend more hours on the road, cover higher mileage, and carry passengers for hire or reward, which all increase risk for insurers. The amount you pay for your taxi insurance policy will depend on a mix of personal, vehicle and business factors. Here’s what most providers consider when calculating your premium:
- Your experience and claims history – More years behind the wheel and a clean record can bring your cab insurance premium down. Recent accidents or claims will push it up.
- Your age – Younger drivers, especially under 25, are seen as higher risk and often pay more for taxi, minicab or app driver insurance.
- The type and value of your taxi – Expensive or specialist vehicles cost more to repair or replace, which means higher cover costs.
- Where you operate – City centres, urban areas and busy postcodes tend to have higher risks (and higher premiums) than rural or quieter areas.
- Your annual mileage – The more miles you drive, the greater the chance of an accident, so expect higher costs if you work full-time or cover long distances.
- Your level of cover and chosen add-ons – Comprehensive insurance and extra features like breakdown cover or public liability protection will raise your premium, but give you more peace of mind.
- The type of taxi work – Public hire and black cab drivers often pay more than private hire, due to street pickups and busy locations. Minibus and multi-seater policies can also cost extra.
Every taxi driver’s situation is different, so it pays to compare quotes. The fastest way to get your real price is to shop around and match your cover to your own work.
Ways to Save on Taxi Insurance
Taxi insurance doesn’t have to break the bank. Try these simple ways to keep your premium as low as possible:
Even one or two changes can make a real difference—keep saving year after year by reviewing your policy and habits.
Taxi Insurance FAQs
What is taxi insurance and why do I need it?
Taxi insurance is a specialist policy for vehicles used to carry passengers for payment. It’s legally required if you drive a private hire, public hire, black cab, or app-based taxi, and covers the risks of commercial passenger work that standard car insurance will not.
How is taxi insurance different from normal car insurance?
Taxi insurance is designed for higher annual mileage, more time on the road, and the risks of carrying fare-paying passengers. It often includes hire and reward cover, passenger liability, and public liability options, which standard car policies do not provide.
What factors affect the cost of taxi insurance?
The cost of taxi insurance (sometimes called cab insurance or minicab cover) depends on your driving history, vehicle type, area of operation, annual mileage, age, claims record, and how you use your taxi.
Can I get taxi insurance if I have points on my licence?
Yes, some insurers will still offer taxi insurance to drivers with penalty points or previous convictions, but your premium may be higher and options could be more limited.
What is hire and reward insurance?
Hire and reward cover is an essential part of taxi insurance. It allows you to carry passengers or goods in exchange for payment, and is required by law for all taxi and private hire work.
Do I need separate insurance for private hire and public hire?
Yes—private hire insurance is for pre-booked jobs only, while public hire insurance is for taxis that can pick up passengers on the street or at ranks. Make sure your taxi policy matches your licence type.
Can I get taxi insurance for more than one vehicle?
Yes, many providers offer fleet taxi insurance policies if you operate several cabs or private hire vehicles, making it easier to manage cover for multiple drivers and cars.
What extras can I add to my taxi insurance?
You can often add public liability insurance, breakdown cover, legal expenses, key cover, and no-claims bonus protection to your taxi policy for extra peace of mind.
Will taxi insurance cover personal use of my vehicle?
Some taxi insurance policies include cover for social, domestic and pleasure (SDP) use, but not all. Always check with your insurer before using your taxi for personal trips.
How can I reduce my taxi insurance premium?
You can lower your taxi insurance cost by keeping a clean driving record, building your no claims bonus, installing security devices, choosing lower-risk vehicles, limiting mileage, and comparing quotes from multiple providers.
Get Taxi Insurance Quotes Today
Don’t have your registration number? No problem, click here.
Useful Links for Taxi Insurance
For more information and guidance on taxi licensing, insurance, and the industry, see these official resources and organisations.
- GOV.UK – Vehicle Insurance ↗
– Official UK government information on the legal requirements for insuring your taxi or private hire vehicle. - GOV.UK – Taxi & Private Hire Licensing ↗
– Guidance on getting licensed as a taxi or private hire driver in your area. - National Taxi Association ↗
– Industry support, news, and resources for UK taxi drivers and operators. - National Private Hire & Taxi Association ↗
– Information and membership for private hire and taxi drivers nationwide.
