purchase third party only, third party fire and theft, or
comprehensive policies. They may cover up to 4 vans on one
policy, but all vans must be covered at the same level.
Motorists may put up to 4 named drivers on each policy or
may choose to cover any driver over age 21 on all vans.
Comprehensive policies include breakdown cover. All policies
include legal expenses cover. Motorists cannot remove these
included types of cover to get a cheaper rate. The specifics
of policy details may be found in one's policy documents.
van insurance may be used for certain business purposes.
Insurers require motorists to designate the purposes of the
vans and they charge premiums accordingly. They also
explicitly forbid certain business uses.
require motorists to indicate the classification of the van
– for what it will be used. The most common is for social,
domestic, pleasure, or commuting use – basically a person's
everyday personal transportation needs. This is generally
the minimum class of use for pay-as-you-go van cover. Beyond
that, policies also allow certain types of business uses.
These may include the carriage of one's own goods, fast food
delivery, or couriers, among others. Each of these is an
option that the policyholder may choose when purchasing
cover. Carriage of own goods covers the van whilst in use in
connection with the motorist's work and during travel to
more than one location for that work. Motorists should know
that for travel in Europe, only the social, domestic, or
pleasure class is applicable, regardless of the class chosen
in the UK.
exclude specific types of business uses. These include
public or private self drive hire, use at an airport,
recovery or breakdown services, involvement in the motor
trade, wholesale newspaper delivery, among others. Insurers
may exclude certain types of vehicles – vans with more than
6 seats, ice cream vans, agricultural vans, refrigerated
vans, vans used to transport toxic materials, along with
many others. Insurers do not cover short term hire vans,
however they may accept long term hire agreements provided
the contract is in place for a minimum of one year;
motorists must have a contract with the hire company and be
contractually responsible for damages to the van. Policies
have a multitude of exclusions; motorists need to pay
attention to them.
If the van
will be used to transport goods, policyholders may decide to
purchase 'goods in transit' cover. Such policies cover goods
carried on behalf of others or the motorist's own goods,
tools of the trade, and so on. This may be necessary for
certain small businesses.
exclude cover on any claims arising from use of the van that
doesn't fall under the list of permitted uses on the
Certificate of Insurance. Motorists need to ensure that they
enter all information accurately so that they don't find
their cover void after an accident has occurred.
purchase pay-as-you-go insurance at any level of cover.
Comprehensive cover insures motorists against any accident.
Third party fire and theft covers any damage to the person
or property of a third party as well as damage to one's own
van as a result of theft or fire. Third party only insures
the motorist's legal liability to third parties and little
is the most extensive level of cover. It covers both the
third party liability – damage to a third party's person or
property – as well as damage to the motorist's own van. It's
consequently the most expensive level of cover. It also
includes breakdown cover and windscreen cover. Breakdown
cover applies for a maximum of six breakdowns during the
covered period. It doesn't apply for breakdowns that occur
within the first 48 hours of the policy or breakdowns due to
knowingly driving in unsafe conditions or at a racetrack or
rally. Insurers often pay a certain maximum for any one
breakdown, around £300. Windscreen cover pays for damage to
windscreens, windows, or glass sunroofs along with any
scratching to the body of the van due to the breakage.
Motorists will simply have to pay a £60 excess if they go to
an approved repairer, but if the damage can be repaired,
they will not have to pay the excess. However, if they take
the van to a repairer that is not approved, cover is limited
to a total of £200.
Fire and Theft
fire and theft covers legal liability to third parties as
well as damage to the motorist's own van in the event of
theft, attempted theft, or fire. There are exclusions to the
fire and theft cover, however. If the motorist fails to lock
the van's doors, set the security features properly, or
repair broken security features, the insurer doesn't have to
pay for the loss or damage. Similarly, if the motorist
leaves the keys in or on the van, the policy is also void.
Policy documents contain lists of these types of exclusions.
only satisfies the legal minimum requirement to drive on
public roads. It only covers the third party liability –
damage to another's person or property. In the case of
property damage, it may limit maximum damages to £2 million.
Third party only doesn't insure any damage to the motorist's
own van, no matter what caused the damage.
contain legal cover up to £3 million, which cannot be
removed to obtain a cheaper rate. The legal cover will not
apply if the van was being operated in the midst of a
criminal offence, whether or not that offence is prosecuted.
There are numerous other exclusions for all levels of cover,
so motorists should be vigilant about the small print.
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All details above are
based on a typical policy and conditions will change from
time to time, and from one insurer to another so please
check policies carefully before entering into any
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