Vehicle Sales Insurance

Vehicle sales insurance refers to insurance products specifically tailored to businesses and companies engaged in the sale of vehicles – such as car dealerships with premises and sole traders based at home. These companies have specific insurance needs as a result of having a large inventory of expensive stock, customer interactions and test drives as well as other operational aspects that can cause higher levels of risk. Having the right level of insurance protects the business from financial loss resulting from accidents, liabilities and other unforeseen events.

What Do You Get With Prime Cover?

Vehicle sales insurance from Prime Cover gives your business the security you need for your vehicle sales business. There are several levels of vehicle sales insurance to choose from, with Prime Cover tailoring the level of coverage you require.

Levels of Cover:

  • Third Party Only (TPO): Protection against damage to third-party property without any cover for your own.
  • Third-Party, Fire and Theft (TPFT): Cover against damage to third-party property and protection against theft and fire of your owned vehicles.
  • Comprehensive (COMP): Cover against damage to third-party property and protection against accidental damage, malicious damage, weather, flood, theft and fire of your owned vehicles.
  • Combined: A wider range of cover to protect you and third parties against damage, accidents, fire, injuries, building premises cover, public liability and more.

You can also add several additional motor trade insurance coverage options for your vehicle sales insurance.

We understand each business is unique, and that’s why Prime Cover is here to serve you with customisable options helping to keep your vehicle sales operations legally compliant and safe from great expenditures that you can avoid if any legal issues occur.

From small to large companies, we offer expert advice dedicated to your needs.

Additional Coverage Options for Vehicle Sales Insurance:

  • Trade Plate Insurance: Legally drive vehicles on public roads without having to register and tax each vehicle.
  • Liability Cover: Any claims by third parties while on your business premises will be covered.
  • Loss of Income Cover: Any incidents, such as fire, that force your business to shut down, resulting in loss of income, you’ll be paid a regular income to compensate.
  • Directors’ and Officers’ Cover: Claims including negligent service against directors and officers for your business will be covered.
  • Tools and Equipment Cover: Any loss, damage or theft of tools and equipment will be compensated.
  • Cover for Engineering Inspection: Ensuring any machinery or equipment on your commercial premises is functioning and safe to use with frequent inspections.

Prime Cover can recommend the ideal levels of cover for you and has ample experience as vehicle sales insurance providers, and we are also widely known as reliable recovery truck insurance providers.

Get in touch with us to discuss how we can help you with our extensive vehicle sales insurance policies.

What is Vehicle Sales Insurance?

Vehicle sales insurance will vary depending on the business that needs coverage. The primary insurance for vehicle dealers is road risk insurance.

Garage or public liability insurance and stock of vehicles cover which will cover third-party property damage that may occur at the dealership, as well as the stock held at premises are often included in tailored packages.  

Risks associated with vehicle sales and dealerships are theft and vandalism as well as natural disasters and the potential for collisions, especially for customers test driving vehicles when considering a purchase.

If your vehicle sales company has employees working for you then you will have to have employers' liability insurance legally to cover any potential claims from employees against the business if they’re injured on the job or feel they’ve been wrongfully terminated, harassed or discriminated against.  

Other packages that can be added to vehicle sales insurance are policies to cover cyber threats, property insurance to cover the physical assets of the dealership, and business interruption coverage as well as many other customisable products.  

What Insurance Do Vehicle Sales Agents Need?

Vehicle sales agents primarily need to have cover to drive personal and stock vehicles on the road. Many vehicle sales agents will require cover for a large quantity of valuable stock they hold, as well as adequate protection to cover the property and employees the business has.

Clearly, the size of the business will also impact the coverage needed as a smaller business with a modest number of used vehicles for sale won’t need as high a level of cover as a large, branded dealership with dozens and dozens of vehicles for sale.

However, when customers come to consider a purchase, they will often want to test drive their potential vehicle and this requires additional cover. Cover for trade plates, often automatically included in quoted premiums, is also needed to give protection to those driving cars on the road which they don’t personally own for motor trade purposes.

The property owned by the business will also need to be covered against vandalism, theft, fire and natural disasters which could ruin the property, furniture, computers, equipment and tools as well as the vehicles, owned by the company, that are for sale, or cause the business to cease trading – causing loss of earnings to owner and employees alike.

The insurance that your business needs will be as unique as you are, which is why it’s best to contact one of our expert team members to discuss your requirements and receive a bespoke, free, no-obligation quote. 

Who Needs Vehicle Sales Insurance?

Anyone who is involved in the sales or trade of vehicles of any type will need vehicle sales insurance, whether they’re a sole trader or a large dealership. Those who need vehicle sales insurance are typically: 

  • Car Dealerships

    Independent dealers or large franchise dealerships selling new or used vehicles. 

  • Motorcycle Dealerships

    Similar to car dealerships but focused on selling motorcycles.

  • Commercial Vehicle Dealerships

    Those who specialise in the sale of commercial vehicles such as vans, trucks or public service vehicles.  

  • Recreational and Caravan Dealers

    Businesses that sell motorhomes, trailers and caravans.

  • Vehicle Importers and Exporters

    Those bringing vehicles into or out of the country will need specific coverage – especially while in the UK. 

  • Online Vehicle Marketplaces

    While people can purchase vehicles online, they are often still held in parking lots or holding areas prior to being sold.

Other, more specialised, dealers selling vehicles may also require vehicle sales insurance. To find out what insurance types and policies you need for your business, get in touch with a member of our expert team.  

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The Benefits of Vehicle Sales Insurance

There are many benefits of having a good insurance policy when you’re in the vehicle sales sector, such as: 

Asset Protection

With a significant amount of capital invested in the inventory it can be protected. 

Legal Compliance

Some forms of insurance are required legally, such as road risk for driving vehicles on the road without insuring them individually and employer’s liability.

Financial Security

Guarding against unforeseen major expenses, insurance provides a safety net – leading to the long-term sustainability of the business. 

Business Continuity

Your insurance can guard against any issues that might cause your business to halt temporarily – giving financial support to you and your employees. 

Peace of Mind

Knowing potential risks are covered by your policy will allow you to focus on the business, growth and customer service rather than worrying about potential setbacks. 

Liability Coverage

Covers the business against any large claims against it if it’s deemed responsible for damage or injuries to third parties, the public or employees.

Why Choose Prime Cover for Vehicle Sales Insurance?

Prime Cover is the premium provider of vehicle sales insurance, in addition to car valet insurance, motor trade insurance and more, thanks to our expert knowledge, bespoke policies and solutions with comprehensive customer service.

With our cover for vehicle sales insurance, we help your business follow all legal compliance, giving you peace of mind that no matter what happens, you’re in safe hands and won’t have to pay massive sums of money that can leave you in dire situations.

Through our services, you’ll have long-term financial security and strong protection against your valuable assets. We present all aspects of vehicle sales insurance with no-nonsense advice without all the intangible jargon and are here to support you with 24/7 claims support.

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For businesses that deal in vehicle sales, road risk insurance pays for losses or damages sustained while the vehicle is being driven and whilst at the home address, during test drives and optionally whilst in transit, this insurance helps guard against damage, theft and third-party liability.

Individual situations will determine if your vehicle sales business needs employer’s liability insurance. If you have employees, UK law usually requires you to obtain this insurance to cover any work-related injuries or illnesses they sustain while working.

There are many options for additional coverage from Prime Cover, including trade plate cover, liability cover, loss of income cover, tools and equipment cover, directors’ and officers’ cover and much more. Contact our team today to discuss all additional options for vehicle sales insurance.

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