Traders policy? - is it legal?

[retro80sboy]

a lad I know who is self employed (but nothing to do with cars) has a traders insurance policy.

 

He's a bit of a car nut like many on here and buys a lot of bangers just for the hell of it - like many on here.

 

what are the legalities of such policies? Surely its not that simple, he pays about 400 quid a year and can add as many cars as he likes to it up to the value of 2.5k.

 

Such a policy would be ideal for me as, as you all know, I get through a fair amount of cheap shitters.

 

anyone else have a policy like this?

[CreepingJesus]

I knew an oval racer a few years ago, who did exactly this. He was a turner by trade, but his policy covered his collection of cars, vans, trailers and his F2 rods and bangers.

According to him, it really was that straightforward. Bearing in mind that technicalities and fine print, just weren't in his nature, it seemed fairly simple. The acid test, as it were, was that the local police dug him up for all sorts of stuff, but never lack of insurance - it always seemed to be watertight.

I thought you at least had to be self-employed to stretch the definitions far enough to get such a policy, but I'm pretty sure he wasn't. And, as you say, it was pretty cheap, too. I'd love to know the answer to this, myself; and I wouldn't imagine we're the only ones in this parish!

[Alexg]

I got a quote once, £700. I just said I was a part time trader who sells approx 10 cars a year. If I had the cash I would have done it. It'll be handy to have

[CreepingJesus]

So they just took your word for it? You didn't need to show them a trader's license? Brilliant!

My insurance probly stands me about £500 a year all in; it'll be more once the bikes are on the road full time, so that might work out well.

[Alexg]

I was honest over the phone, said I don't have a registered buisiness but buy and sell a few motors from time to time. I think the quote allowed me a max of 5 cars at any one time 2kish value each. It was in Jan and I almost did it. I want to get into trading more so I'll deffo take it out when I have some free cash. Try Lionhart insurance, the bloke was very helpfull...

[retro80sboy]

not sure what the fella does exactly - he did tell me but I cant remember. He is though self employed and apparantly said 'business is slow so im going to buy and sell a few cars'. and that was that.

 

If its this simple, then ill do it.

 

surely cant be though? can it?

[Negative Creep]

I thought it only covered you for commercial use, i.e collecting a car but not going shopping in it? I guess you'd get pulled a lot as the cars would show uninsured on ANPR

[michael1703]

your thinking of trade plates, thats a tax issue, it taxes a car for the purpose of collecting/delivering and you cant go shopping etc with them on

 

I'm a trader, have a business address etc, but I know the company i use would insure you if you only bought and sold a few a year at a private address

 

http://www.roadrunnerinsurance.co.uk/

[whitevanman]

I'm no longer self employed but I have a Traders policy, any vehicle up to £5000, SD+P use, some times they ask for invoices to prove you do repairs or sell cars etc. I also have claimed on it when I had the bad crash in 2006 and it was no problem at all, I'm with MMA through Nothern Counties in Gateshead.

[nigel bickle]

I have aTraders Policy (RSA-thru Roadrunners).I do have several ''proper '' policies for oldies,regulars, bikes etc- but you never know when you are going to need immediate cover.

 

Even though insured elsewhere- Its indisputable allover cover saved me -and the wife on several occasions now -and helped out a mate when they tried to nick his car.(By sitting in the passenger seat-my Policy covered him-test drive...getting it home safely)

 

Best route seems to be a wad of photocopies-putting one in the glovebox each time. i also keep their phone number & policy number in my mobile-just in case.

 

I know afew of us -with more vehicles than makes any sense- tend to use them. I'd be stuffed without.

[whitevanman]

can be done online as well I beleive.

[Mr Lobster]

This makes interesting reading as its something I've been mulling over myself.

 

I guess you'd get pulled a lot as the cars would show uninsured on ANPR

 

I think you still have to get them onto the Motor Insurance Database, presumably just a case of a phonecall though? Then they would show as insured on ANPR.

[wuvvum]

I work in a 9-5 office job and I have a traders' policy - most places aren't overly fussy about trading licenses and such. Mine is about £475 a year - covers me third party for trade and SDP use, although anything above 3.5T is trade use only. The only restrictions on what I can drive are nothing above 7.5T (which doesn't really affect me as I don't have an HGV license anyway), nothing with more than 9 seats and no imported Imprezas. Mine is through Bollington.

[Station]

My mate's had a policy for years, just because he buys loads of cars (like most on here). When I bought the Starion and MR2 off him, he said Don't worry about the insurance, he'll just keep it on his trader's insurance, as it was no difference to him.

I think it's just a case of you pay the insurers £700 - £1200, they give you the 1p piece of paper, and you can insure loads of cars.

[dollywobbler]

You get 14 days grace from buying a car I think, after that you have to call them to state the number plate. To be honest, you're better off doing that ASAP as it'll keep the ANPR off your back.

 

Was great when I had my policy, though I kept the classic cover in place for the 2CV.

[retro80sboy]

the time has come for me to renew my insurance so im gonna give this a whirl.

 

a day of getiing some quotes beckons I think.

 

ill keep you all updated.

[retro80sboy]

having problems getting my van covered under the traders policy as its my business vehicle. so looks like I might have to insure that seperatly, which is a royal pain in the arse.

 

anyone know of any other companies other than the ones mentioned that do a part time traders policy? thanks.

[maxpower]

having problems getting my van covered under the traders policy as its my business vehicle. so looks like I might have to insure that seperatly, which is a royal pain in the arse.

 

anyone know of any other companies other than the ones mentioned that do a part time traders policy? thanks.

 

the trader policy i have will cover vans but only up to 3.5 tonnes..... you can try them if you want policy cost £410 per year

 

tradex insurance company

[Cavcraft]

I've found Tradex prohibitively expensive when I tried them twice. Give Crowthorne (brokers) a bell: 0870 770 2935, they were the cheapest by several country miles last time I checked.

 

Depending on what you do for a living to need the van it's probably worth mentioning you need the van for that and for using to collect car parts.

[retro80sboy]

got a quote of £545 off a company called Network insurance.

 

This includes my van and any car, seems like a good deal. going to check ive got enough money in the bank then probably go with this.

[meggersdog]

I was with Tradex when I used to do courrier work.Trader's policy and courrier business use all in one but it was v.expensive.I'm with MMA now,they do installments and you can add vehicles on their website.When asked for trading details on the form I just put neighbours reg numbers in and stated I'd sold these cars in the weeks previous.

[Cavcraft]

MMA are bloody good but (probably as with any other trade insurance) they get very nosey if you make a claim and want to know every last sodding detail of all the cars you've had in the last few months.

 

From memory you can give them a percentage of work you do too: i.e 2% imports, 4% sports cars, 20% recovery etc. No bother with my 5.6 tonne Merc truck, though they don't seem to like scrap work. I think the only things I'm wasn't insured for were minibuses, motorbikes and anything over 7500 kilo's.

[warren t claim]

Aren't they starting to get arsey over Subarus these days?

[Cavcraft]

They weren't arsed when I had one last year to be fair. Obviously the flip side of trade insurance is that you only get trade value of anything you claim against. You may think your retro Escort/Cavalier/Maestro/Bluebird is worth £600, they're going to think it's worth the square root off sod all. Tbh on anything under a grand that got stolen I wouldn't have bothered claiming.

[Cavcraft]

Hey, Retro, don't forget to check if there's an age limit on your policy. Mine wouldn't let me drive anything pre-1980.

[Mike D]

Mine covers me pre-'80, but only 3rd party... i'm another with Roadrunner

[Pete-M]

I'm with Tradex - they're shite. Renewed in January and I'm still waiting for them to send me the actual certificate. Have to ring up occasionally and ask for cover notes when I need 'em. Also takes forever for them to get cars on the MIB database.

 

Cheap though.

 

As for traders licenses? WTF are they? I've only been doing it 20 odd years and I've never needed one.

[meggersdog]

As for traders licenses? WTF are they? I've only been doing it 20 odd years and I've never needed one.

 

My trade licence is due for renewal.More commonly known as "trade plates",the form from doolva call them a trade licence yet with every trader's policy renewal form I've had they are trade plates....

[Pete-M]

As for traders licenses? WTF are they? I've only been doing it 20 odd years and I've never needed one.

 

My trade licence is due for renewal.More commonly known as "trade plates",the form from doolva call them a trade licence yet with every trader's policy renewal form I've had they are trade plates....

 

 

Ah, oh, trade plates. I've never really needed 'em, and if I have, I've always borrowed 'em anyway!