Does food delivery need hire and reward?

Yes. Paid takeaway and food delivery work counts as hire and reward, even if you only do it occasionally.

Is hire and reward always more expensive?

Usually, because of higher mileage and the risk of carrying other people's goods. Prices still vary between insurers.

Can one policy include both classes?

Many insurers can cover mixed use, but you need to declare both activities so the policy reflects how the van is really used.

Van

Carriage of own goods vs hire and reward: what is the difference?

Carriage of own goods covers your own tools and stock; hire and reward covers being paid to move other people's goods. Learn which fits your van work.

Carriage of own goods covers you to carry your own tools, stock and equipment for your business. Hire and reward covers you when you are paid to transport other people's goods, such as courier or delivery work.

How the two classes differ

The key questions are whose goods you are moving and whether you are paid to move them.

Carriage of own goods: a plumber, electrician or builder carrying their own materials and tools to jobs.
Hire and reward: a courier, takeaway driver or man with a van being paid specifically to deliver someone else's items.

Hire and reward is generally seen as higher risk because of the mileage, frequent stops and the value of other people's goods, so premiums tend to be higher.

Choosing the right one

If you are ever paid to move goods that are not your own, you are likely to need hire and reward, even if it is part-time or occasional. Getting this wrong is a common reason claims are rejected.

If your work mixes both, for example a tradesperson who also does paid delivery runs, declare the full scope to your broker so the policy covers everything you do.

Goods in transit

Hire and reward covers your liability while driving, but not the goods themselves. Couriers often add goods in transit cover to protect the items they carry. Check what your contract or delivery platform asks for.

Getting a quote

For carrying your own tools and materials, see van insurance and tradesman insurance.
For paid delivery and courier work, see courier insurance.

Fill in a short form on the right page and a specialist FCA-authorised broker from our panel will contact you about quotes for the correct class of use.