Trade plate insurance

Trade plates do account for vehicle tax, but they don’t cover insurance. To legally drive a car with trade plates on public roads in the UK you’ll still need insurance.

Trade plate insurance is specialised insurance designed to give you cover to legally move vehicles on public roads, using trade plates.

If you work in a sector of the motor trade that involves moving vehicles that aren’t taxed, you’ll need trade plate insurance. Most commonly, this applies to the likes of vehicle dealerships, mechanics and mobile mechanics, vehicle transportation services, and even car manufacturers.

To obtain trade plates, you need to register with the government and demonstrate your business’s need for them. Proof of insurance is often required before issue. Once acquired, they then serve to notify police and other officials that you’re driving a vehicle in a professional capacity, circumventing the need to register and tax lots of individual vehicles.

Trade plate insurance covers the vehicle on the road so that the vehicle can be legally moved, transported, or tested.

You can apply for trade plates if your business sells vehicles, manufactures or repairs vehicles, and/or tests other people’s vehicles on public roads. Vehicle delivery services will also be eligible if that is the only thing your business does, or you also manufacture or repair vehicles.

Not everyone can apply for trade plates; they are available for vehicle manufacturers, dealers, repairers, testers and vehicle delivery agents. You can apply for your trade plate or plates using the government website here.

Trade licences and trade plates expire on either the 30^th of June, or 31^st of December, and you cannot get a trade licence for less than six months or more than twelve months at a time.

Consequently, when you initially apply for your trade licence, it will be valid for either six or twelve months, based on when you applied. Once you have your trade plates, you can renew them for six or twelve months at a time.

No, trade plates must only be used for the purpose that you stated when you registered for them, and they will not be granted for personal use.

To issue you with trade plate insurance, we’ll need to see documents such as your driving licence and any no-claims proof.

Like other insurances, trade plate insurance costs will be based on factors such as the number, age and history of drivers, the extent of cover that you choose, your claim history, and the area in which your business operates.

When selecting the right trade plate insurance provider, one of the first things you’ll need to establish is their level of experience working in the motor trade, as well as their ability to create custom policies, their customer reviews and how good their customer service is.

At Prime Cover, we have years of experience working almost exclusively in the motor trade and can create bespoke policies, including a car valeting insurance policy, to suit your needs. We also offer a 24/7 claims and support line and are here for you whenever you need.

No. Trade plates are not the same as insurance, you’ll need a separate trade plate policy to cover vehicle usage while on a trade plate.