Can I drive my customer's car under motor trade insurance?

Yes, as long as it is in your custody for trade, for example to test, road-test, deliver or move it. That is what road risk cover is for.

Are high-value or performance cars covered?

Often, but many policies cap vehicle value or restrict certain types. If you handle prestige cars, check the limits and declare them when you get quotes.

Can I use a trade vehicle for personal trips?

Only if social, domestic and pleasure use is included on your policy. Don't assume it is. Confirm with your insurer or broker before driving privately.

Motor trade

Does motor trade insurance let me drive any vehicle?

Motor trade insurance covers you to drive vehicles in your custody for trade, within your policy's limits. Here is what that means in practice.

Motor trade insurance covers you, the driver, to drive vehicles in your custody for trade purposes. In that sense you can drive many different vehicles, but only within the limits your policy sets. It is broad cover, not a free pass to drive anything.

What "drive any vehicle" really means

Unlike a private policy that insures one named car, a motor trade policy insures you as the driver for trade use. That means you can drive different vehicles in your custody without insuring each one separately.

Typical trade journeys include:

Road-testing a customer's car after a repair or service
Moving stock between sites or to an auction
Delivering a sold vehicle to its new owner
Collecting a vehicle for valeting or bodywork

The limits to look out for

There are sensible limits, though:

The vehicle must be in your custody for genuine trade purposes.
Cover may be limited by vehicle type, value or engine size.
Private or social use of a vehicle usually needs to be declared.
Young or newly qualified drivers may face extra restrictions.

Policies may also limit who can drive under them, for example only named drivers or drivers over a certain age, so check this if you have staff or family helping out.

Check your policy wording

So it's not a free pass to drive anything. It is broad cover for the vehicles your trade involves. Always check your policy's vehicle and use limits, and make sure the details you give match the vehicles you actually handle, such as vans, prestige cars or modified vehicles.

Getting motor trade insurance quotes

With Kompare you fill in a short form about your trade and the vehicles you handle. A specialist FCA-authorised broker from our panel then contacts you about motor trade quotes. Read how we work, or start on our motor trade insurance page.