When it comes to van insurance, there are a few things that you should know to make the best decision for your needs. Here we will explore the different types of van insurance policies available, as well as some of the factors that you will be required to think about when making your decision.
The best way to see if you are being offered a good deal is to get some quotes. Then, you can make that comparison in terms of cover offered and how favourable the price seems.
Types of van insurance cover
The cover you go for will depend on the value of the vehicle that you are trying to protect. Also, whether you have goods to protect as well as a van that you have either bought or are in the process of buying for your business, for example.
Let us then consider the two main types of van cover.
Comprehensive van insurance will cover you for any damage that your van causes to another vehicle, as well as any personal injury or property damage that you may cause to yours. If you want everything covered, then you need to opt for comprehensive. It is the best protection that you can have when it comes to thinking about all parties concerned.
Third-party van insurance will only cover the damage that your van causes to another vehicle and will not provide any coverage for damage in respect of your own. It is a minimalist cover and something of a legal requirement. It, however, represents an affordable option for many small businesses.
Third-party cover can be upgraded to include fire and theft cover. This is something that businesses should think seriously about because it would be a serious financial hit to have to buy another van should the other one be lost to criminality, wherever it may have been parked. Whole fleets of vans have been lost to vandalism and arson in areas where there are high or even supposed low crime rates.
- Commercial van insurance
A commercial van insurance policy will relate to a van insured for business rather than just personal use. It will cater to the situation where goods of various kinds are being carried as part of business activities. This might be because it is a courier business delivering parcels, a shop transporting goods to its customers, or a florist delivering flowers. A gardener may be using their van to transport tools to go about their work. A mobile mechanic will carry tools, and the modern equipment can add up to quite a sum if not protected by insurance and has to be replaced by its owner in the event of a loss.
You will also need to decide if you want to add any extra cover to your policy, such as a windscreen cover or breakdown assistance. Damaged windscreens can fail an MOT because of something simple like the chip being too large or in the driver’s line of vision.
Ways to Reduce Premium
Van insurance is ordinarily more expensive than car insurance, and so business or private van owners will invariably look for ways to reduce their insurance premiums. This might include discounts that can be obtained from insurers or increased excesses which are another way to reduce premiums.
Discounts will be about things that an insurance company will look favourably on. This will include clean driving licences, good security systems installed on vehicles that are Thatcham approved, and the fact that the vehicle is kept inside a garage, work premises, or locked compound overnight. These are in addition to no claims bonuses that are the largest discount obtainable with insurance policies.
Van insurance is important for anyone who uses this type of vehicle for business purposes, although a van can also be used for activities termed as social, domestic, and pleasure.
There are different types of van insurance policies available, and you will need to consider the value of the van, as well as the goods being transported when making your decision. You can also add additional features to your policy, such as a windscreen cover, which may come as standard, or breakdown assistance.