What does Mechanics Insurance cover?
Policies can be completely tailored to cover your individual business needs. Mechanics can trade from home or from a separate business premises and therefore polices will full under two main categories, combined motor trade cover or road risk only.
Policies are tailored to cover anything from professional indemnity, tools you use, the vehicles you work on and loss of earnings should you wish.
What cover type is best for my mechanics business?
Working out what type of policy you need is quite simple and outlined below:
Road Risk Only
This form of policy will apply to mechanics who trade from their home address. Regardless of whether full time or part time trader, if you trade from home, this is the policy you will require.
Combined Motor Trade
This form of policy will apply if you trade from a business premises separate to your home address. This form of policy will extend to cover the building as well as the usual protection offered against damage to vehicles etc.
Reducing the cost of Mechanic Insurance
You can reduce the cost of you mechanic cover by insuring only what you need to cover.
Level of Indemnity
By keeping your level of indemnity lower, you reduce the level that a broker may have to pay out should you need to make a claim. Always make sure though that your indemnity level is appropriate to your level of risk.
Third Party v Comprehensive
If you are unlikely to use the roads a great deal in your line of work, you may get away with a simply third party cover level. Like private car cover, your own vehicle will not be covered in the event of an accident. This is a very basic level of cover and only suitable for small time traders.
If you have a premises or large amount of tools for your mechanics business, you may want to consider installing security devices such as better rated locks on doors and tool chests. It is also advisable to install security cameras that will deter people from stealing or damage your property.