Motortrade Help

MotorTrader November 16, 2013Help & Guides

This page provides reference information to assist you in the completion of your application.

Frequently Asked Questions

Age

Third Party Only: Policyholder must be 25 or over. Named drivers must be age 21 or over.

Comprehensive: Policyholder must be 25 or over. Named drivers must be age 21 or over. Cover is restricted to Third Party Only for drivers under 25.

Young Divers (21-24 Years Old)

A maximum of 2 young drivers can be included in the policy.

Under Age Business Partners

Third Party Only: Business Partners are acceptable from age 21 and over.

Comprehensive: Business Partners are acceptable from age 25 and over.

However, if the Business Partner is younger than the policyholder they will be rated as the Proposer.

Claims

Third Party Only: Any driver or any risk with 3 or more fault claims are not eligible for cover under this insurance.

Comprehensive: No more than 1 fault accident or 1 theft claim in the last 3 years are allowed for any one driver. Any driver with 2 or more fault claims or any risk with 3 or more fault claims are not eligible for cover under this insurance.

Convictions

Convictions that are over 5 years old do not load the premium. More recent convictions can and generally do contribute to a policy premium loading. When the number and/or severity of more recent convictions reaches a certain level for individual drivers or the risk, cover will be suspended.

Any driver receiving a disqualification exceeding 12 months cannot be included under this insurance.

High Performance/High Group Cars

Cars classified as High Performance/High Group Cars result in a policy premium loading. The current list of these cars is shown below.

In addition, for Comprehensive policies, cover for the vehicles shown in bold is restricted to Third Party Only.

Alfa Romeo
All Models > 2000cc, All GTV Models

Mercedes
All Models >3000cc, All SLK Models

Aston Martin
All Models

Morgan
All Models

Audi
All 16v, 20v & Models > 2200cc
Nissan
Sunny GTi,
All 200 & 300 Models
All Skyline Models

BMW
“M” Series
3 series – 318 u p
5 series – 525 up
6 series – All
7 series – All
8 series – All
Z3 – All

Panther
All Models

Bentley
All Models
Peugeot
All GTi, SRi, Mi Models

Bristol
All Models

Porsche
All Models

Caterham
All Models

Reliant
Scimitar

Citroen
All GT, GTI, 16v, Volcane Models

Renault
All GT, GTi, A610 & Spider Models

Daimler
All Models

Rolls Royce
All Models

De Lorean
All Models
Rover
All GTa, GTi, Vitesse & Coupe
Models, All MGF Models

De Tomaso
All Models
SAAB
All V6 Models
All 9000 Models

Ferrari
All Models
Subaru
All SVX Models
All WRX Models

Ford
All Sierra/Escort Cosworths
All RS, XR, Si, V6, Probe Models

TVR
All Models

Honda
All Civic CRX, Esi, Vsi, All Vetec
Models, All Legend Models, All
NSX Models

Toyota
MR2, Celica, Supra, Rav4

Jaguar
All Models
Vauxhall
All GTE, SRi, GSi, V6 Models, Calibra, Lotus Carlton

Lamborghini
All Models
Volkswagen
All GTi, 16v, VR6 Models

Lexus
All Models

Volvo
480ES, T5 Models

Lotus
All Models
USA/
Canadian

All Models

Marcos
All Models

Kit Vehicles
All Models

Maserati
All Models

Mazda
MX3, MX5, MX6, RX7

Classic/Collectors/Vintage Vehicle Specialists

There is NO policy premium loading for classic/collectors/vintage vehicle specialists.

Vehicle Importers

Vehicle importers are ONLY acceptable on the Third Party Only contract. This results in a policy premium loading. Cover is NOT AVAILABLE for the Comprehensive contract.

Motor Cycles

Cover is NOT AVAILABLE for traders who specialise in motor cycles. However, cover IS AVAILABLE for traders that trade in motor cycles from time to time, or for traders who own a motor cycle that requires cover.

This results in a policy premium loading. Any motor cycle over 500cc is restricted to Third Party Only cover.

Occupation
1. Cover is available to persons who operate in the Motor Trade on a full or part-time basis, either from business premises or from home and would include:

Car Dealers, Mechanics, Motor Engineers, Valeters, Tuners, Panel Beaters and other similar occupations.

2. The following occupations cannot be covered under a Monthly Motor Trade Policy:

a) Specialists in the sale, repair or servicing of Prestige, Fibreglass, American, Kit, High Performance or High Value vehicles.
b) Businesses concentrating solely on after-sales modifications. E.g. turbo installers, body kits, etc.
c) Businesses connected with the servicing, sale, repair and recovery of Coaches, Mini Buses, and HGV’s.
d) Motorcycle Dealers and Repairers.
e) Delivery Agents.
f) Salvage or Scrap Dealers.

Second Occupation

The Proposer’s second occupation can be covered under the Monthly Motor Trade policy, subject to an increase in the premium. Note: This cover is for the Proposer’s second occupation only and is NOT AVAILABLE for named drivers. Cover is available for most occupations such as builders, landscape gardeners, etc. However, certain occupations that involve a lot of driving and/or greatly increase the risk of the policy, such as couriers, taxi drivers, etc., are NOT ACCEPTABLE and will be declined.

No Claims Discounts

The following No Claims Discount (NCD) scale applies:

1 Year 15%

2 Years 30%

3 Years 35%

4 Years 40%

5 Years 42.5%

Introductory Discounts are limited to maximum 4 years.

Introductory Discount

Where a Private Car/Commercial Vehicle Policy is still in force, the same number of years No Claims Discount will be allowed with the Monthly Motor Trade Policy. Introductory discounts will also be allowed in the same fashion for previous company car drivers, but NOT for named drivers. However, a 2 year “step back” will be applied in the case of a protected NCD Policy.

NCD is also transferable from a Policy lapsed or cancelled within 2 years of inception of the Monthly Motor Trade Policy.

NCD from a Motorcycle Policy is not transferable.

Garaging/Immobilisation Postcodes

Comprehensive: Fire, theft and malicious damage cover between the hours of 10pm – 6am, in the following postcodes, is subject to either:

The vehicle being kept in a locked and secured building at the time of loss other than business premises.

OR

The vehicle being fitted with Thatcham approved electronic immobilisation.

Risks for which Cover may be Granted

Proposer and all named drivers have held a full UK driver’s licence for at least 1 year. No more than 2 drivers aged between 21 and 24 years old are allowed.

All risks have no more than 1 fault accident or 1 theft claim in the
last 3 years. Fire & theft claims are ignored for Third Party Only cover. No driver has more than 2 fault claims or any risk has 3 or more fault claims.

No driver has unacceptable convictions on their driving license, or prosecution or police enquiry pending for such offences. Certain convictions on a driving licence are considered unacceptable convictions for insurance purposes.

No driver has been disqualified from driving during the last 5 years, apart from disqualifications of 1 month or less or a DR10 conviction which resulted in a disqualification of 12 months or less. Note: Any conviction resulting in a disqualification but no fine, is “spent” after the disqualification period and normal terms then apply.

Any driver suffering from any physical defect or infirmity, provided DVLA have been notified as required and a valid licence has been issued.

No driver has been convicted of any criminal offence. Note: Convictions that do not need disclosing are ones which are “spent” under the Rehabilitation of Offenders Act 1974. The act states that convictions that are “spent” need not be disclosed to insurers as material facts.
The rehabilitation period is 5 years for non-custodial sentences; 7 years for custodial sentences up to 6 months; 10 years for custodial sentences 6 months up to 30 months. Sentences over 30 months do not become “spent”.

No driver has been declined or refused insurance, or had terms imposed by an insurer.

Territorial Limits – United Kingdom

The policy provides cover for the insured vehicles whilst:

Being driven on the road or on premises not owned by or used by the insured for business purposes.

Temporarily garaged or parked during the course of the journey.

At the private house of the insured or an authorised driver under the policy.

 

Vehicles

The policy covers any motor vehicle:

The property of the Policyholder, or,
Held in trust by or in the custody or control of the Policyholder for Motor Trade Purposes.
Liability in conjunction with trailers whilst attached to a vehicle covered under the policy.

Policy cover excludes:

All steam driven vehicles.
Any vehicle transporter and trailer capable of carrying more than two vehicles, or any vehicle thereon.

Certain vehicles are restricted to Third Party Only cover on the Comprehensive scheme – see the high performance table above.

Use
1. a) For Motor Trade purposes.
b) For Social, Domestic and pleasure.

2. Excluding:

a) Social, Domestic and Pleasure for commercial vehicles over 3.5 tonnes gross vehicle weight.
b) Social, Domestic and pleasure for vehicles designed or adapted to carry more than 8 persons including the driver.

3. Use will be restricted to:

a) In connection with the insured’s business as a part or full-time Motor Trader.

Note: Use in connection with any other occupation is excluded from the basic policy. However it can be added for certain occupations, subject to an increase in the premium.

b) Use for Social, Domestic and Pleasure by any named driver on the policy.
c) Any person for the purposes of demonstration or vehicle testing, providing they are accompanied by a person entitled to drive under the policy.

Cover
1. Third Party Only.

2. Third Party Fire & Theft.

a) Cover not available.

3. Fully Comprehensive.

a) £500 excess (all claims except Third Party Only).
b) Indemnity Limit £7,500 any one incident.
(as selected) £15,000 any one period of insurance.
OR
£10,000 any one incident.
£20,000 any one period of insurance.
OR
£12,500 any one incident.
£25,000 any one period of insurance.
OR
£15,000 any one incident.
£30,000 any one period of insurance.
OR
£17,500 any one incident.
£35,000 any one period of insurance.
OR
£20,000 any one incident.
£40,000 any one period of insurance.
OR
£22,500 any one incident.
£45,000 any one period of insurance.
OR
£25,000 any one incident.
£50,000 any one period of insurance.

Drivers
1. All drivers must be named and approved.

2. All drivers must be either:

a) The Proprietor of the

business

proposed.
b) A Director
c) A Business Partner
d) An Employee
e) A Spouse or Common law Spouse of a), b) or c)

3. Third Party Only: The Proposer must be aged between 25 and 70. For joint Proposers and Partnerships, Co-proposers/Business Partners aged 21-70 are acceptable, but the policy will be rated as if the younger person were the Policyholder.

Comprehensive: The Proposer must be aged between 25 and 70. For joint Proposers and Partnerships, Co-proposers/Business Partners aged 25-70 are acceptable, but the policy will be rated as if the younger person were the Policyholder.

4. All named drivers must be aged between 21 and 70 years.

5. Under the Comprehensive scheme cover is restricted to Third Party Only for named drivers aged 21-24.

 

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