You may think that trader’sinsurance just stops at the basic policy and that you will have to take outadditional insurance to cover unique aspects of your business.
Well, not necessarily.
The Additional Covers for Most Motor Traders
Motor Legal Protection
Although legal covercomes as part of a lot of policies, there are some legal expenses that may notbe covered.
Additional cover forlegal expenses can help you recover the cost of things such as:
– Loss of earning
– Car hire
– Clothing (if appropriate)
– Policy excess
– Other legitimate costs
This additional coveris also general speaking extremely affordable. Quite often it will be asolicitor that will help you with all these areas above.
Liability cover isoften included within a combined policy but it can be added to a road risk onlyif you employ people OR want to cover members of the public on your privatepremises.
Motor Trade Public Liability Cover is there to protect you against claims orcompensation pay-outs arising from members of the public who may hurt themselveson your property OR damage to their property through a result of your or your employees’actions.
Employers Liability Cover is a legal requirement for anyone who employs staff.Should an employee injure themselves or full severely ill through working foryou, they may be able to make a claim against you or your company.
Claims like this canoften result into costing thousands of pounds. As such, if you employ people,make sure you have employer’s liability in place.
Own a larger motor trade business or combined business?
Quite often having alarger business or operating a motor trade business that has premises such as adealership can require the need for insurance above and beyond the cover listedabove.
Additional cover for the larger business can include some of the following.
Commercial Legal Expenses
Not every solicitor canadvise at the higher commercial level. As such, a more qualified andexperienced solicitor may be required of which may cost more than your agreedstandard legal expenses.
A more in-depth legalpolicy can help cover the costs of things such as legal advice, court costs,defending costs within a court case etc. It’s won’t cover pay out costs though inthe event you lose the case. This would be covered by a professional indemnityor liability policy.
Motor traders oftenfind themselves requiring commercial legal cover for things such as:
– Contract disputes
– Tax, VAT, NIC and PAYE Investigations
– Landlord disputes
– Debt recovery
– Fee’s relating to court
You may be happy totake the chance on your existing legal cover, but if you think you may requiremore, then we suggest you ask about commercial legal cover.
Excess protection is growingas people increase their excess in a bid to bring insurance policies down.
In the first instanceof wanting to make a claim, you will still be required to pay the excessyourself. However, the excess protection would kick in to pay back the cost ofthat payment at a slightly later date.
Management Liability Cover
Directors and senior managementof any company have the legal obligation to run the company morally and legitimately.
In the event thecompany is not run morally or legally, employee’s, customers, other directorsor even shareholders should you have them, can accuse you of such and take youto court.
In the event of suchthing happening, your personal assets could be at risk where you are found tobe liable, especially where your actions have cost the company and thereforeits fellow shareholders money.
Management Liability Coveris designed to protect you from such and cover against court costs, settlements,payouts and more. This policy aspect has many areas and you should talk to theunderwriter about exactly what is right for you.
If you are stuck or unsureif any of this is relevant to you, speak with one of our agents who will beable to connect you with an appropriate advisor to assist you.