Ordinary private car insurance will not normally cover general motor-trade activity. A business that collects, delivers, road-tests or otherwise drives customer vehicles may need a motor-trade road-risk section that permits the driver, the vehicle and the particular business purpose.
Driving cover is different from custody cover
Road-risk insurance focuses on permitted use on the road and, depending on the wording, vehicles temporarily held in connection with the trade. It does not automatically provide the wider protection a garage may need for accidental damage while working on a vehicle, theft from the premises, tools, buildings or liability to customers.
Details an insurer may check
- The nature of the motor-trade business and evidence of genuine trading
- Who will drive, including age, licence history and convictions
- Whether vehicles are collected, delivered or road-tested
- The maximum value and types of vehicles handled
- Where vehicles are kept overnight and what security is used
Cover can also be restricted by vehicle type, value, engine size, use or driver eligibility. A certificate or database entry should not be treated as proof that every customer vehicle and every journey is insured.
Before driving, check that the business activity, driver and journey fall within the policy wording and any endorsements. For protection while a vehicle is stored or being repaired, read the separate guidance on customer vehicles at a garage.