Everyone who owns a car is an expert in motor insurance. From “my premium is cheaper as I get 90% no claims discount”, to “I‘m covered for any vehicle I drive” statements - we have experience in dealing with many of the misconceptions surrounding motor insurance. The Road Traffic Act makes insurance compulsory in the use of a mechanically propelled vehicle on a road.
What is covered? There are three core cover offerings:
- Third party
- The legal minimum covers Road Traffic Act liability for property damage and bodily injury
- Third party fire and theft
- Road Traffic Act liability plus damage to the vehicle from fire and theft
- Liability plus loss of or damage to the vehicle subject to certain exclusions
When arranging cover for our clients, due consideration is given to:
- Definition of road
- The Road Traffic Act states insurance or security must be arranged to cover use of a mechanically propelled vehicle when on a road. Case law has determined a “road” can include any area to which the public have access. This is especially important when dealing with fork lift trucks and other plant which is not road registered
- Business use
- Cover is only in force for the business use specified on the policy. Most large company fleets require additional business use of some description where partners, spouses or children use the vehicle for their own business use
- Driving restriction
- Any authorised driver is regularly stated on the certificate of motor insurance however, schedules regularly exclude drivers under 25 or over 70 years of age. When did you last undertake a driving licence check and advise the insurer of any convictions?
- Driving abroad
- Most policies provide cover for use of the vehicle abroad to comply with the minimum requirements of the foreign country only, leaving damage to the vehicle excluded
- Personally owned vehicles
- The insurance policy title must include all vehicle owners to ensure the insurable interest principle is adhered to and comply with the Road Traffic Act. This is regularly overlooked
- Vehicle values
- Conditions imposing security requirements for vehicles over £40,000 in value are becoming more common with tracker security systems being required
Castlemead Insurance Brokers have the knowledge, experience and market connections required to competitively place the required cover for your business.