No Claims Bonus: Save on Your Insurance

No claims bonus (NCB) is one of the best ways to save on your insurance. You can save up to 30% off your premium with just one year of no claims.

If you drive claim-free for some years, the discount could reach as much as 75%.

What Is A No Claims Bonus?

You can start accumulating NCB for every year that you have insurance without making a claim. The key here is driving defensively – what matters is whether or not you make a claim, and not whether it was your fault or not.

Example 1:

It’s a sunny day, and you are driving on a highway when suddenly an uninsured driver hit your car. Given that it is not your fault and you made a claim, because of this, you may not be earning an NCB for that year. In addition, your existing NCBs will get a step back, and in some cases, go back to zero.

Example 2:

You were sleeping in the middle of the night, and your car is parked in the streets of New York City. Upon waking up, you discovered that your car had been stolen and you made a claim, your NCB, therefore, could be lost.

How Do I Earn A No Claims Bonus?

Car, van, commercial vehicle, tractor and on all types of insurances like third-party, fully comprehensive, and third-party, fire, and theft will earn you NCB.

SEE ALSO: Van Insurance: Everything You Need to Know

Depending on your insurer, you can earn an NCB for up to nine years. Although for most insurers, they will only allow you to earn for up to five consecutive years.

How Much Can I Save From An NCB?

Insurers will reduce your premiums by a set percentage that is determined by the number of years you are driving claim-free. Discounts vary greatly from one insurer to another, but the average discount scale is usually:

YearsReduction
110%
220%
330%
440%
550%
655%

There are other ways to reduce the costs of your car insurance policy; you can read our guide, 10 Easy Ways to Reduce the Costs of Your Car Insurance for more information.

How Can I Protect My No Claims Bonus?

Some insurance companies offer opportunities to preserve your bonus. A car insurer may be able to redeem all costs from another insurer where a claim is not your mistake. In this case, you wouldn’t lose any claims discount. It is best to talk to your chosen insurer about their policy as this can vary greatly.

In most cases, if you do not have a policy in your name for two years, your No Claims Bonus will disappear.

Can I Use My NCB On Another Vehicle?

Yes, you can. In the insurance industry, they call it “Mirrored No Claims Discount,” it is used by a person who has earned a bonus on a car policy and decided to buy another vehicle. To get a discount on his insurance, that person can then “mirror” their accumulated NCB to the vehicle he just bought.

Can Named Drivers Earn A No Claims Discount?

With a standard car insurance policy, named drivers do not earn their own No Claims Discount. However, some companies will allow them to earn an NCB. This is brilliant if the named driver wants to go on with their own car insurance policy later on.

Buying A Kit Car

Kit cars are smaller, sportier vehicles that are tailor-made for track days and are usually assembled by the owners themselves, but some manufacturers will sell them in a fully-fitted state.

Kit cars are popular with enthusiasts who like the challenge of assembling a vehicle – anything from a small sports car to more unusual vehicles such as dune buggies – they are the perfect vehicles for those who like to tinker with and assemble the vehicles themselves.

Piecing Together

Many kit cars are sold in parts, from the chassis to which you attach the body kit to the engine itself. There are a number of manufacturers on the market from smaller, more bespoke manufacturers such as GKD Sports Cars, to some of the most well-known manufacturers including Lotus, Caterham, Tiger Racing and Ginetta, a lot of whom have had, or continue to have successful racing teams of some sort.

Indeed, it is the appeal of racing that draws some enthusiasts to these small and sporty vehicles, particularly when it comes to older, rarer vehicles and more unusual vehicle types such as dune buggies.

So what should you think about when looking for a kit car? Whether you’re looking to build one from scratch or just buy an assembled vehicle from the manufacturer, you need to bear in mind a few things when it comes to deciding what to buy.

Where Can I Buy A Kit Car?

Kit cars are available to buy either in parts from stockists and manufacturers, from internet auction sites or from the manufacturers themselves. Auction sites are a good resource for both fully-completed kit car sets, partially completed projects, replacement parts, and body kits.

When researching your ideal kit car, it is vitally important to ensure that your manufacturer is still in business, for while discontinued makes and models might be rare, they can also be more difficult to find.

Research is key when it comes to buying a kit car, particularly as they can be expensive to run and sink time into. Kit cars can be bought readily assembled or in pieces for self-assembly, but whichever state you wish to purchase your vehicle, it’s important to first…

Take A Test Drive

Before committing to a purchase, consider what you want first. Motor shows are a great place to start, especially if you’re able to have a test drive in the model you want to buy. When deciding on a model for you, remember that it’s important to ensure that you not only fit the car but that you have the workspace and storage space available for you to assemble one.

Can I Buy A Fully Assembled Kit Car?

Some manufacturers will offer completed kit cars for sale, allowing you to drive off almost immediately. But for many enthusiasts, it’s the challenge of construction that appeals to them, so many will choose to buy their vehicles in their incomplete stage and assemble the rest themselves.

On the plus side, fully-assembled kit cars will be instantly available to insure.

Buying Second Hand

Be careful when it comes to buying a second-hand kit car, for the vehicle may not be what is promised on the site, so unless you are able to view the car yourself and take a test drive, you may be taking a risk when it comes to buying the vehicle.

Who Should I Talk To?

If you’re starting off in the world of kit cars, it can be worth looking into joining an enthusiasts club in your local area in order to gain an insight into aspects such as what to buy, what to look out for when it comes to parts and even details of upcoming track days and meets.

It can be worth talking with the manufacturer as well, which is why it is handy to meet them at events and motor shows to get a feel of the vehicle, where best to source parts, and how best to insure your vehicle.

I Only Want To Use It On A Track

Many enthusiasts will use their kit cars as part of track days, races and meets, so making sure you’re insured for these is essential, as you’ll need to be covered both on the journey to and during the event itself, whether you transport the vehicle on a trailer or drive it yourself.

If you only use the vehicle on an occasional basis it can be worth speaking with your broker about the possibility of putting the vehicle on a more short-term insurance policy, maybe even a temporary ‘per-trip’ basis to help save you money on your insurance due to the infrequency of use.

RELATED: Insuring A Modified Car

What About Insurance For A Kit Car?

Kit cars are designed for short-term use, usually for track days and motor shows. There are some enthusiasts who like to use their vehicles for longer periods, but kit cars are essentially not designed for everyday use, which makes insuring them an interesting experience.

The price of your kit car insurance will depend on how readily-assembled the car is. Because of the nature of kit cars and their manufacture, no two vehicles are the same, and so it is important to ensure that all your paperwork is correct when it comes to supplying information for your kit car insurance broker. On the other hand, you may check our guide on How to Reduce the Costs of Your Car Insurance.

Prestige And Luxury Car Classification

What do you consider to be a ‘luxury’ car? Some will think of large cars such as Rolls Royce and Bentley, while some may consider sports cars such as Ferraris and Lamborghinis to be so.

Prestige can be used to symbolise a sign of wealth or status, and many luxury cars range from small and nippy compact cars to big and powerful saloon vehicles – including many models of BMW, the iconic Rolls Royce and even those new to the marketplace such as Tesla.

What Constitutes A Prestige Car?

Prestige vehicles come in many different shapes and sizes to suit all types of drivers, owners, and in some cases, the owners’ drivers.

So here’s a quick guide to vehicle classifications when it comes to luxury and prestige vehicles.

Premium compact

Those in the premium compact category are usually based around a hatchback or compact wagon style and can be a way of enticing those who are new to the luxury car market with smaller yet still prestigious models.

Vehicles in this class will usually be lower in engine size and be more fuel-efficient than some of the higher end prestige vehicles, some examples include:

  • Audi A3
  • Volvo V40
  • BMW 2 Series
  • Lexus CT
  • Mercedes Benz B-Class

Compact executive

Compact executive cars are considered to be an entry-level for luxury cars, providing the opportunity for enthusiasts to dip their toes in the executive car market.

Usually including sportier features and slightly reduced storage space inside, compact executive vehicles may not be as powerful as a higher-end vehicle with a V8 engine, but the combination of sleek design and a powerful engine can be selling points to those new to the market.

  • Audi A4
  • Alfa Romeo Giulia
  • BMW 3-Series
  • Jaguar XE
  • Mercedes Benz C-Class

Mid-size luxury

Mid-sized luxury cars are the most commonly recognised type of luxury car and can provide the next step up for those looking for a more powerful engine.

Stocked with technology, V8 engines, and superior handling systems, mid-sized cars are designed to be powerful while still retaining an elegance about them, and are a popular choice with those looking to make an impression of wealth or status.

  • Audi A7
  • Mercedes Benz E-Class
  • Saab 9-5
  • Hyundai Genesis
  • BMW 5 Series

High-end luxury

High-end luxury cars are also known as grand saloons or full-size luxury vehicles and offer a more extensive engine size, more sophisticated interior decoration and stockier design. Usually associated with bussing celebrities and politicians to and from events, these vehicles are also popular with those who have a penchant for particular manufacturers.

  • Porsche Panamera
  • BMW 7 Series
  • Maserati Quattroporte
  • Jaguar XJ
  • Mercedes Benz S-Class

Ultra-luxury

Ultra-luxury vehicles include manufacturers such as Bentley, Rolls Royce and Maserati – names that are usually associated with prestige.

With longer wheelbases, these sleek looking vehicles combine comfort with power, ultra-luxury cars are loved by the rich as famous, and can often be found in business districts all over the world.

Ultra-luxury vehicles are either driven by the owners themselves or to be chauffeured in as a symbol of wealth for some.

  • Bentley Continental GT
  • Rolls Royce Ghost
  • Maserati Ghibli III

Luxury SUV

The Luxury SUV category offers a powerful engine while retaining the spacious interior for everyday family use and off-road abilities.

  • Toyota Land Cruiser
  • Mercedes Benz GL-Class
  • Nissan Infiniti QX70

Insuring The Prestige

Because of the size and power of prestige and luxury vehicles, getting it insured could be an expensive business as they are seen as a greater risk to other road users and pedestrians.

As a result, younger drivers may not be able to get a particularly cheap policy, so it can be worth building up not only some driving experience but also some No Claims Bonus to help reduce your premiums in the future.

SEE ALSO: Young Drivers – Reducing Your Premiums

Indeed, because many choose to buy prestige cars later in life, ensuring you have a clean driving record once you come to buy one can help to reduce the cost of your prestige car insurance premium.

For those with chauffeurs, it is vital to ensure that you also have some specialist chauffeur insurance to protect against third-party claims.

Securing Your Motor

Because of the value and in-car technology in prestige cars, they can be vulnerable to theft, so making sure your expensive vehicles are kept safely secured at all times can help reduce the cost of your policy.

Additional security measures such as alarms and wheel locks can help protect your car and prove to your insurer that you are taking steps to protect your prestige motor.

Looking For A Quote

When searching for a prestige car insurance quote, it can be worth looking around to find a quote that suits you. There are some brokers who cater for the more expensive motor; provided you’ve got a good driving record including plenty of No Claims Bonus, you can ensure that your policy is kept low.

Buying A Japanese Import Car

When it comes to motor vehicles that have not been built in the UK, there are two types of classification to symbolise imported cars:

  • Parallel imports – cars which have been imported from within the EU
  • Grey imports – cars which have been imported from outside of the EU

Japanese cars are popular amongst enthusiasts who like a slightly larger, more powerful vehicle which is built for speed and has increased torque.

Car ownership in Japan is usually short-term, with many choosing to replace their vehicles after two or three years, this is due in part to the stringent vehicle safety checks that cars have to go through in Japan, meaning that vehicles can become available with low-mileage and in good condition.

Japanese import cars will usually have low mileage on them when you buy them, which you think would be good from an insurance point of view, but there can be other pitfalls along the way which affect the cost of a premium.

However, with grey imports, you also have to factor in the costs of importing the car into the UK and the stringent tests they have to go through to be deemed suitable to be driven on roads in the UK.

Enhanced Single Vehicle Approval

If you’re looking to import a car into the UK, there are several things you have to do to make sure the process is safe and legal. By putting the vehicle through an ESVA test, you are essentially proving that the car is safe to drive on the roads in the UK.

An ESVA test is a more thorough MOT for imported cars and is an essential part of the import car ownership process. Your car will be examined thoroughly by a mechanic, and in some cases will have to be modified to bring it up to standard for driving in the UK – including replacing tyres, modifying suspension and even having to change bodywork to meet UK road requirements.

Remember that cars built in Japan will usually have different specifications to those built in Europe, some are built for speed and so are popular with enthusiasts who like to modify them to show them off at car shows and participate in meets and competitions.

Telling The Taxman

Not only will you have to tell the DVLA about your new vehicle and satisfy their stringent safety checks, but also declare the vehicle to HMRC to ensure you’ve paid all the relevant vehicle taxes.

After you import a vehicle into the UK, you will have 14 days in which to inform HMRC using a system known as NOVA (Notification of Vehicle Arrivals). Only after your vehicle is accepted will you then be able to start the process of registering your vehicle with the DVLA.

If you’re buying from a dealership, they will usually do this for you as part of the import process, always be sure to double check that this has been done and that the vehicle has all the relevant paperwork before you commit to a sale.

How Can I Import A Vehicle?

There are a number of different outlets you can use for sourcing an import motor:

  • Specialist Dealerships

Import dealerships will be experienced in the process of buying and selling on import cars, so finding a local showroom can be your first point of call, as not only can they source and import your preferred vehicle, but they may even have one in their showroom.

After importing the vehicles, the dealership will then prepare the car to ensure it meets ESVA standards before selling it on to you, whether you’ve pre-ordered an import or bought from the showroom floor.

Be careful though, do some thorough research and look to see if they have a website and premises before you commit to a sale.

  • Online

You can buy vehicles through auction sites and private buyers these days, but you must make sure that you thoroughly research the vehicle, and in particular its history before you commit to a sale.

Paperwork is the most important part of buying an import vehicle, and you must check that the seller has the relevant paperwork to hand.

What About Sourcing Replacement Parts?

One of the main pitfalls of owning an import vehicle, especially an older model, is that replacement parts can difficult to source. Many enthusiasts will add parts such as tuning kits to boost performance

There is no shortage of specialised stockists of import car parts in the UK, while the Internet provides another source of stock, be wary of shipping costs if you’re buying from abroad though.

Do I Need Specialist Insurance?

Because Japanese import vehicles will have more powerful specifications than cars built within the EU, they will require a specialist grey import insurance policy.

There are some specialised brokers who can provide cover for import vehicles, so it can be worth researching into multiple options before you decide on a policy.

Japanese cars are popular with those who like to tune their vehicles to increase speed, reduce drag, and spruce them up with body kits, but remember that making modifications to your vehicle can add to the cost of your Japanese car insurance policy.

How Can I Reduce My Premium?

Much like a regular car insurance policy, being careful with your vehicle as well as your driving habits that can help keep your insurance premium down.

By accumulating some No Claims Bonus and maintaining a good driving record throughout your ownership before you buy a vehicle, you can help keep your costs low.

If you’re only going to use the vehicle on occasion, either for car shows or race meets, consider adding a limited mileage allowance onto your policy, which could help keep the cost of your car insurance policy down if you stay below the mileage limit agreed with your broker.

For more details, you can check our comprehensive guide, How to Reduce The Costs of Your Car Insurance.

Young Drivers – Reducing Your Premiums

When it comes to car insurance, first-time and young drivers can find it particularly challenging to find an affordable car insurance policy. Because they are seen as a high risk due to their driving experience and their age, their insurance premiums will usually be much higher than those of an experienced driver.

So what can you do to help reduce the cost of your young driver’s car insurance policy and save yourself as much as you are able early on in your driving career?

Further Your Knowledge

Early on in your driving career, gaining additional knowledge can help to reduce your premium, so look into courses such as Pass Plus – which helps to teach more advanced driving techniques, such as driving on a motorway or at night time. Pass Plus courses can help to take a little off your premium, and investing in it early on could prove worthwhile in the long term.

While you’re learning to drive, you’ll be driving your instructors’ car, but after passing your test, you’ll have the responsibility of car ownership to worry about yourself. When starting off as a new driver, it can certainly be worth thinking about what you’re going to be wanting to drive.

Consider Your Car Model At First

When you’re first starting out on the road, consider the car you’re starting off with. Cars with smaller engines and that haven’t had any modifications put on them are going to be cheaper to insure, so consider starting a little more modest to start.

Ok, so it might not be your first choice or ideal car to start with, but by starting small, you can help yourself to save big on your young driver’s car insurance.

Consider adding extra security features such as steering wheel locks and alarm systems to help deter thieves and prove to your insurer that you have taken steps to protect your vehicle by making it less attractive to wannabe thieves.

ALSO SEE: 10 Easy Ways to Reduce the Costs of Your Car Insurance

Accumulate Some No Claims Discount

As your driving experience increases, your risk level will gradually drop, and you will find your premium reducing. By ensuring that you drive carefully and safely, you can begin to accumulate No Claims Discount which could help to reduce your premiums over time. But with the advent of technology, there are also other options for proving you’re a good driver, so why not try…

Tracking Yourself With Telematics

Telematic technology allows insurance providers to monitor drivers and, more importantly, their driving habits in order to determine the kind of driver that they are. While it might seem a bit Big Brother-ish, driving a car with a black box fitted in it could be useful for proving you’re a good driver.

Telematic black boxes are used by insurance companies to record certain aspects of your journey – including acceleration, braking, overall speed and cornering position – before feeding back the details using wireless technology.

Some policies will even allow you to view your current progress using a smartphone app, giving you the chance to check your progress while giving your insurer an idea of the type of driver you are, calculating your next policy price using the data you provide.

If you’re still not sure about using technology, turning to other people can help in the meantime, especially if you consider adding…

Second Drivers

While it may seem a little ‘uncool’ to add one of your parents to your insurance policy, this may help to reduce your premiums in the long term. By adding a more experienced driver with a good driving record as a second driver on your policy can help to reduce your costs by adding them as an ‘occasional driver’ – just make sure to not add them as the primary driver, or you may find yourself facing a fraud charge.

It can also be worth seeing about adding your car to a multi-car policy, especially if you still live at home with the folks. Multi-car policies can help reduce your costs by insuring them under the same household rather than as individual policies, and speaking of yourself as an individual it can be worth looking into a few details about yourself to try and bring down your premiums, so why not try…

Checking Your Job Title

If you are currently in work, have a think about your job title, and try running a quote through with several job titles that apply to you, you may find it cheaper for one than the other, but be sure to be honest as you can when applying.

Also think about how much cover you want to take out, so during the application process think about…

Checking Your Cover Level

Don’t just assume that getting a third party-only insurance policy is going to be the cheapest option, be sure to research into as many policies as possible before deciding on the one that’s right for you.

For some, taking out a fully comprehensive policy can be a cheaper option than just limiting yourself to a third party-only policy, but by taking steps to ensure you drive safely and are honest with your insurance company about your details you can save yourself a small fortune on your young driver’s car insurance policy.

Young drivers and first-time drivers can have a pretty raw deal at first when it comes to finding an affordable car insurance quote, but by taking action early on you can help yourself going forward.

By taking the time to make a few changes to driving habits, ensuring you drive safely, and taking the time to have a look at your policy options, young drivers could save themselves some money which could set them up for a long and happy driving career.

Insuring A Business Car vs Your Regular Car

When searching for or renewing your car insurance, you may notice a choice of three types of cover on the online form:

  • Social only (otherwise known as Social, Domestic and Pleasure)

SDP covers you as a named driver for those journeys you make that are not work-related. This type of covers you on your day-to-day drive, including trips to the shops and commutes to see friends.

  • Social and commuting

With this level of cover, you are covered for all aspects of SDP cover, with additional cover for your daily commute, ending either with you parking the car at a place of work or other secure car parks from which to commute further by train or bus.

So whether you pick up and drop off a work colleague en-route to the office or commute to a train station from which you continue on to your place of work, social and commuting cover will help to cover your vehicle during the commute itself and while it is parked up during your working hours.

  • Business use

Business use is taken out to cover your vehicle if you use it as part of your work, either to commute from different work locations, travelling to liaise with or delivering goods to customers. Business use can also extend to another driver on the policy, including your spouse, handy if you both work together.

RELATED: 10 Easy Ways to Reduce the Costs of Your Car Insurance

Which Should I Choose?

Your choice of cover can affect the price of your premium, particularly if you use your vehicle as part of your profession – such as a travelling salesman or delivery driver – and you may need specialist business car insurance as a result.

What Is Business Car Insurance?

Business car insurance differs from a regular car insurance policy because it is designed to cover work-related journeys only, these can include tasks such as:

  • Driving to visit customers
  • Driving to another of your company premises
  • Driving to attend a training day or an away day
  • Driving to the bank or post office in order to make payments

In the case of a travelling salesman or delivery driver, the level of cover may have to be extended to include commercial travel in order to insure the vehicle and the contents of it during transit.

Does This Cover Company Cars?

If you drive a company car, your company should be covering it with an insurance policy. It can be worth asking what level of cover you have on the car, if not just for your own peace of mind.

If you are covered on the vehicle by your company’s insurance policy you may not need to take out additional insurance on the vehicle. If you use your own vehicle as part of your everyday business use, then business car insurance is essential to ensure you are covered correctly while on the job.

What About If I Drive A Taxi?

Taxis and other ride-sharing services won’t be covered under a business insurance policy because they have a completely different set of risks as a result, and as such need a completely different type of insurance policy.

If you drive a taxi for a living, either for a fleet or as an independent through ridesharing apps such as Uber then you’ll need specific taxi insurance on your vehicle.

SEE ALSO: How Can I Become a Taxi Driver?

What Can Affect My Premium Price?

When applying for a business car insurance policy, your broker will want to know several important details, which may affect the price of your policy:

  • What work do you do?

Depending on what type of work you do can affect the price of your insurance policy, especially if it means you’ll be clocking up the miles by visiting customers or commuting between multiple sites.

Speaking of which, you may also have to answer:

  • How many miles a year will you cover?

If you clock up many miles during the year as a result of your work, it could mean a difference in your premium price. Long journeys throughout the year can lead to a higher premium, so it can be worth working out your average mileage throughout the year and ensuring as close to that as you can.

Be careful not to overinsure yourself, as while you may think you’re being careful by giving yourself a bit of extra leeway, you may be increasing the cost of your premium as a result. Be as accurate as you can in predicting your yearly mileage, even if the journeys change throughout the year as a result of having to travel to different locations – including to meet customers.

If you work between sites, try and work out the mileage between the sites and estimate how often you will travel between them in order to work out a predicted yearly mileage, which you could then let your insurer know.

  • Do you carry any goods?

If you are a delivery driver or a travelling salesman for a company and carry goods as part of your work, whether using a small van or a car, you may need to add a commercial aspect to your business car insurance.

Check with your broker what is covered as you may need to add this additional cover to protect not only your vehicle but the goods you are carrying too.

What About No Claims Discount?

You are able to accumulate No Claims Discount (NCB) on a business car insurance policy but you may find yourself having to start from scratch. If you use your personal vehicle for work purposes and have accumulated some NCB, this may help to count towards a cheaper premium in future.

As always, it is best to ask your broker during the application process if this is possible.

When it comes to insuring a business car, research is key, so by making sure you are as honest as possible when it comes to setting up a policy, you can help yourself to secure a cheaper premium.

Insuring Fleets: Haulage

Photo By: Texas Federal State Property Office

Haulage firms specialise in the transit and delivery of larger products, or larger quantities of products to and from factories, manufacturing plants and even supermarket warehouses.

Haulage firms are made up almost exclusively of Heavy Goods Vehicles (HGVs); vehicles which are over 3.5 tonnes in weight, although some businesses may also make use of vans for smaller deliveries, known as Light Goods Vehicles (LGVs).

What Vehicles Can I Cover On My Policy?

Haulage fleet insurance will help you to cover a number of HGVs in your fleet under a single policy, as opposed to insuring each truck individually, which could prove to be quite expensive in the long run.

Haulage insurance can be used to cover a wide range of different lorry types; including articulated, refrigerated, flatbed and tipper. So whether you have a mixed fleet or only use a single type of truck to deliver goods, insuring them all under one policy can help save you money in the long term.

If you have a fleet which is comprised of a mixture of vehicles, it can be worth looking into grouping these onto their own fleet policies, such as courier fleet insurance and van fleet insurance in order to save yourself some money by insuring them all under one policy rather than individually.

What Will Be Covered By A Haulage Policy?

Haulage policies will help cover you against damages as a result of an accident caused by a third party, as well as protection from theft – both for the vehicle and for your customers’ goods.

Much like a regular car insurance policy, there will be differing levels of cover on HGV insurance – from third-party only to fully comprehensive. Third-party covers the driver only whilst fully comprehensive gives a more balanced cover, and is recommended for fleets as it covers all bases.

There are a wide variety of insurers out there who offer haulage fleet insurance, it can be worth comparing prices to see what suits your business needs.

What Extras Can I Get?

Insurers will offer additional extras as part of your policy, which depending on your line of work and the goods you carry can be handy to have in addition to your basic cover, here are a few things you should look out for when searching for a policy:

  • Goods In Transit cover

Goods In Transit cover is an essential part of your cover, as this covers your customers’ goods against theft, loss or damage sustained in an accident while in transit.

However, depending on the type of load you are carrying you might find this cover difficult to get, as products such as hazardous materials may not be covered by your insurer, ask your broker if you are unsure and be as honest as you can about the goods you carry.

  • Public Liability cover

Public liability cover helps to protect members of the public against damage to property or injury sustained because of a mistake by one of your drivers, which can include anything from property damage from scraping as a result of tight cornering to personal injury.

  • Employers’ liability cover

Employers’ liability cover helps in the payment of compensation should a worker sustain injury or illness while working for you, with many policies allowing you to insure up to a certain amount to cover all the vehicles in your fleet.

  • Windscreen cover

Windscreen cover, much like on a standard car insurance policy, will help to cover the cost of replacement windows on your HGVs in the event of damage – from involvement in an accident, chipping over time or even as a result of damage from wildlife such as flying birds.

  • Equipment cover

Equipment cover helps to cover the contents of your HGV which are involved with the security of your cargo or help to keep it secure during transit – including strapping, ropes, secure latches and security ties – and help to protect these against theft and damage.

  • Drivers’ belongings cover

On the other side of the coin is drivers’ belongings cover. HGV drivers usually spend a lot of time in their cabs and may have personal possessions contained within. Drivers’ belongings cover helps to protect these against theft or damage as a result of an accident, think of it as contents cover but on the road.

  • Breakdown cover

Breakdown cover is also available as an added extra and can prove handy for getting back on the road as quickly as possible following a breakdown, allowing your drivers to continue on with their journey with minimal time loss.

  • Courtesy vehicle

If the breakdown company are unable to fix the cab by the side of the road, some policies will include cover for a courtesy truck to help get you back on the road as quickly as possible following an incident.

Delivering Abroad

If your business takes you across the Channel and into Europe, you will need to get some European cover on your haulage insurance policy, as well as ensuring that your drivers have the correct paperwork and licences to drive their HGVs abroad.

Hazardous Goods

The type of goods you carry may affect your level of cover, especially if you carry hazardous materials such as chemicals. Depending on your cargo, some insurers may initially refuse you cover because of the risk factor, so it can be worth talking to several brokers when you are looking for cover as some may be more specialised and accommodating to your cargo.

Driver Diversity

When it comes to your staff force, age and experience can help to keep your premiums low. So while it might be difficult to insure younger drivers and new starters against your fleet insurance policy, providing your drivers have clean driving records and have accumulated some No Claims Bonus on your policy already you could find your haulage fleet insurance policy becoming cheaper.

Whichever business you are, haulier or courier, your vehicles will need insuring against third party damage and theft, that’s where a haulage fleet insurance policy comes in, and it is valuable to have.

10 Easy Ways to Reduce the Costs of Your Car Insurance

Your car insurance is something that you have to pay for. However, there are plenty of things that you can do in order to reduce your bill. Here are 10 top tips to reduce the cost of your car insurance premiums.

Always shop around

Do not settle for the first quote that you find or the renewal quote of your current insurer. You can save a lot of money by comparing car insurance quotes to discover the best deal.

When you compare, make sure that you look at exactly what each policy offers; the cheapest quote may not include all the benefits you require.

Go fully comprehensive

Deciding on a comprehensive policy can be cheaper as compared to a lower level of protection like third party, theft and fir. It also offers better coverage.

This is because a number of insurers associate third party policies with high-risk drivers that are looking for the cheapest cover. As a result, many charge more for less coverage.

Pay up front

You can save money by making a single payment for your car insurance rather than splitting it into monthly payments.

When you opt to pay monthly, insurance companies will normally charge you interest, sometimes as much as 30 percent APR.

Get the right car

The car that you drive has a huge an effect on the cost of your insurance. The more expensive and powerful the car is, the higher it will cost to insure the car.

This is because the price of repairs will be higher if you encounter an accident, and insurers consider you more prone to have an accident if you drive a fast car.

Every car is assigned to a car insurance group based on the amount it costs to insure the car. Groups range from 1 to 50, and the lower the group, the lower the cost to insure the car. Look at cars that are included in group 1 for the cheapest possible cover.

You can learn more about car insurance groups, including how cars are set to each group on the Parkers website.

Get black box insurance

This is a kind of car insurance policy that connects a telematics box in your vehicle in order to track your driving.

It can suggest that you pay less if you drive safely and within the rules of the policy. This a good choice for young or new drivers since what you are required to pay is based on how you drive and not on how your insurer thinks people that are the same as your age drive.

Take a Pass Plus course

Some insurance firms will give you a discount if you have extra driving qualifications like Pass Plus.

These driving courses tell insurers that you are a safer driver, and less likely to encounter an accident. Make sure that a discount is granted before you receive a quote as not all insurers offer it.

Consider a multi-car policy

Insurers often give a discount if you and other drivers in your house share a multi-car policy.

They include all the drivers on one policy and can cost lesser than separate standalone policies, but not always.

Increase your car’s security

Making your car more secure and less at risk of vandalism or theft can mean that insurers will offer you cheaper premiums.

Consider:

  • Parking your car in a garage, or on your driveway, if you have one
  • Fitting a Thatcham approved tracker, immobiliser, or alarm
  • Getting a steering wheel lock

Even if the value of these security measures is not recovered by the possible savings, they can be worth it for the added peace of mind.

Drive carefully

The best way to keep your premiums as low as possible in the long run is to drive cautiously and avoid making a claim on your insurance.

You can receive a No Claims Bonus for every year that you drive and not make a claim; a bonus of five or more years could offer you a discount of as much as 75 percent.

Add a named driver

It can make your cover cheaper if you include another person on your policy as a named driver.

This will work best if you can include a more experienced driver to your policy, for example, if you are a young driver including a parent with a clean licence and several years of no claims could reduce your premiums.

How to Insure Yourself to Drive a Car That Is Owned by Someone Else

You will still need cover in place if you wish to drive someone else’s car. Here are the ways on how to make sure that sure you are insured to drive a car that is owned by someone else.

Ways to drive a car you do not own

You can get a cover to drive someone else’s car by:

  • Obtaining your own car insurance policy for the vehicle
  • Availing a short term car insurance for the duration that you want to drive the car
  • Being included as a named driver on the policy of the owner
  • Verifying if your own car insurance policy (if you possess one) covers you to drive other cars

Can you insure a car that you do not own?

Yes. However, you will have to inform the insurer that you are not the registered keeper or the owner when you apply.

A number of insurers will only propose you cover the principal driver if you are also the registered keeper of the vehicle. Numerous companies will want to insure you, so shop around and examine the policy documents before applying.

Will the owner always be the registered keeper?

No, the person named on the registration certificate (DVLA V5C) is the registered keeper; this does not have to be the person who purchased and paid for the car.

For example, if you are driving a company car, you may be recorded as the registered keeper because you are the person that is using and looking after the vehicle although the company that you are working for is actually the owner of the car.

What cover can you get?

Most insurers will not limit the level of cover you can get so that you can choose between a third party fire and theft policy and a fully comprehensive policy.

You may also be able to avail a third party only cover. However, not all insurers offer this. This particular guide will aid you in deciding which cover is the best for you.

How to insure a car you do not own

When applying for a cover, you will normally be asked to confirm who the registered keeper and the owner of the car is. Some insurers will offer only to cover you to drive a vehicle that you do not own if it belongs to:

  • A parent
  • A leasing company
  • You employer
  • Your partner, spouse, or civil partner

If you are not asked, scrutinize the terms before you avail the policy. Most insurers will usually assume that the vehicle belongs to you or a person included on the above list. If you have a different case, your cover will not be valid, and any claim could be declined.

READ: No Claims Bonus: Save on Your Insurance

How much does it cost?

It can cost you a lot more to get cover for a car that you do not own since insurers may regard you as a higher risk.

If you do not have a financial interest in the car, some insurance companies assume that you will take less care driving the vehicle, and therefore be more prone to make a claim.

It is worth shopping around and getting quotations from various insurers, as some companies will not change their price based on the owner of the vehicle.

Other ways to get cover

If you cannot get cover for a car you do not own you could:

  • Be the registered keeper of the car: If you wish to be the primary driver of the car, you can amend the V5C registration document to present yourself as the vehicle’s keeper. The present registered keeper is required to request for this change. Instructions can be found on this GOV.UK website.
  • Be included as a named driver: You can drive a car that is owned by someone else id they include you to their policy as a named driver.
  • Avail a short-term policy: If you only need to drive someone else’s vehicle for a short period, a short-term policy could be the answer.

Verify if you have cover to drive other cars

If you already own a fully comprehensive policy, you may be covered to drive a car you owned by other people.

Cover to drive other cars is sometimes incorporated in comprehensive policies, but not all, so scrutinise your paperwork carefully before you drive someone else’s car.

This type of insurance will only give you basic third party cover and is often only available if:

  • You have not hired the car
  • You are over a particular age, often 25 years old
  • You do are not the owner of the car

This type of cover is only created to be used during emergencies and not for regular driving. If you are not certain as to what is considered as an emergency, contact your insurer and ask them before you drive.