Taxi Insurance
Taxi Insurance UK
Factors to consider and Tips when Buying Taxi insurance in the UK
A taxi insurance policy is not as straightforward as insuring a private motor cover, so it is best to consult a specialist provider who appreciates your needs.
When you have shopped around and obtained a number of quotes for insurance for taxis, how should you decide between them?
Price
In a challenging economic climate, everyone is looking for a cheap deal. But cash flow is important too, so ask about the insurers’ payment options. For example, can you spread the cost by paying monthly in instalments by direct debit?
Ask for a discount
Don’t be shy about looking for a discount for your taxi insurance. Perhaps you have a low yearly mileage. If that is the case, your provider might offer a better price than they would for a driver who covers longer distances.
Now is the time to show off about your good driving skills! If you have a significant no claims bonus, have been in the business for some time and have no traffic offences to your name, mention these things when you are getting taxi insurance quotes to see if you can get a discount.
The excess on a taxi insurance policy is also an important factor. An excess is a minimum amount below which an insurance company will not pay out for a claim. So if you reverse your taxi into a fence and cause damage worth £250, the insurer will not pay out for repairs if your “excess” is higher than that. You have to pay for the damage yourself.
Some taxi insurance providers offer a reduced premium if you voluntarily have a higher excess on your policy, because they assume that they are less likely to have to pay out.
If you are security conscious you might have extra locks and alarms fitted. Mention these and see if there is any discount for having them.
Cover
When comparing taxi insurance quotes ask exactly what the cover includes. All policies will cover third party damage to people and property, but what about damage to your own vehicle? What about public liability insurance, which covers damage to third party property?
Also, check whether the policy covers public or private hire, as is appropriate for your business. If you are considering expanding your business, ask if the policy can amended to cover a fleet and other named drivers.
Are there any extras?
In addition to the standard components of insurance for taxis, you may be offered additional extras. For example, many providers offer legal expenses insurance for issues that are unconnected to motoring.
You might also be offered breakdown cover. Of course, if it inconvenient and embarrassing if your taxi breaks down, but shop around for breakdown cover to make sure that you are getting the most competitive price.
Given that your vehicle is essential for your business, how would you cope with the loss of income you would incur if it had to be taken off the road for a few days? Such a loss can be protected by business interruption insurance, which can be added to most insurance for taxis.
Quality of Service
Making a claim on your taxi insurance is stressful enough, but is made easier if a highly skilled team of professional staff are available during the hours you need them at the end of a phone.
A taxi insurance policy is not as straightforward as insuring a private motor cover, so it is best to consult a specialist provider who appreciates your needs.
When you have shopped around and obtained a number of quotes for insurance for taxis, how should you decide between them?
Price
In a challenging economic climate, everyone is looking for a cheap deal. But cash flow is important too, so ask about the insurers’ payment options. For example, can you spread the cost by paying monthly in instalments by direct debit?
Ask for a discount
Don’t be shy about looking for a discount for your taxi insurance. Perhaps you have a low yearly mileage. If that is the case, your provider might offer a better price than they would for a driver who covers longer distances.
Now is the time to show off about your good driving skills! If you have a significant no claims bonus, have been in the business for some time and have no traffic offences to your name, mention these things when you are getting taxi insurance quotes to see if you can get a discount.
The excess on a taxi insurance policy is also an important factor. An excess is a minimum amount below which an insurance company will not pay out for a claim. So if you reverse your taxi into a fence and cause damage worth £250, the insurer will not pay out for repairs if your “excess” is higher than that. You have to pay for the damage yourself.
Some taxi insurance providers offer a reduced premium if you voluntarily have a higher excess on your policy, because they assume that they are less likely to have to pay out.
If you are security conscious you might have extra locks and alarms fitted. Mention these and see if there is any discount for having them.
Cover
When comparing taxi insurance quotes ask exactly what the cover includes. All policies will cover third party damage to people and property, but what about damage to your own vehicle? What about public liability insurance, which covers damage to third party property?
Also, check whether the policy covers public or private hire, as is appropriate for your business. If you are considering expanding your business, ask if the policy can amended to cover a fleet and other named drivers.
Are there any extras?
In addition to the standard components of insurance for taxis, you may be offered additional extras. For example, many providers offer legal expenses insurance for issues that are unconnected to motoring.
You might also be offered breakdown cover. Of course, if it inconvenient and embarrassing if your taxi breaks down, but shop around for breakdown cover to make sure that you are getting the most competitive price.
Given that your vehicle is essential for your business, how would you cope with the loss of income you would incur if it had to be taken off the road for a few days? Such a loss can be protected by business interruption insurance, which can be added to most insurance for taxis.
Quality of Service
Making a claim on your taxi insurance is stressful enough, but is made easier if a highly skilled team of professional staff are available during the hours you need them at the end of a phone.
