Truck Insurance Comparison FAQs
How Much Is Commercial Lorry Insurance For Haulage Use?
How Much Is Commercial Lorry Insurance For Haulage Use?
Commercial lorry insurance for hauliers is a unique package of policies that provides cover for daily business activities. Policy particulars such as cover for goods - spoilage of perishables, tools / equipment - theft and accidental damage. Underwriters spend an enormous amount of time investigating every motor trade business process to ensure their company can provide low cost exacting cover in every situation right down to the last penny. To ensure that theirs and your risk is covered adequately via those collective monthly premiums. Truck insurance can be a bit of a maze, especially to a new start up motor trader. To learn more and get a greater understanding of how to start haulage company cheaply see our page. Take a few short journeys with multiple stops as a haulier and you are no longer classed as solely working under a haulage policy but possibly in need of cover under a clause known as 'Carriage of goods for hire or reward.' The difference being, as a haulier running HGVs with specialist HGV insurance it is expected that young drivers and owner driven trucks work the long haul trips. Less stops, less accidents, simple a to b but with its own risks.
On the other hand, when transporting multiple goods to multiple destinations between London and Birmingham for instance on one departure the risk is presumed and calculated as greater. This is more a task of a courier even if you're dropping off heavy palleted goods and visiting multiple warehouse depots. If the goods are not your own and the pick up point and drop off are not your own business premises and the goods are not your company's either, there is even more reason to have the Carriage of goods for hire or reward clause included.
What Does This Mean For The Cost Of Commercial Lorry Insurance For Haulage Use?
It is further complicated if the goods you transport are in fact your own, although less so in regards to some aspects to all HGV or Heavy Goods Vehicles Should you be in the haulage business and do long haul as well as courier transportation, transport other company's goods as well as your own, then a 'Carriage of own goods' clause needs writing in. On top of these three main coverage inclusions there's 'Goods in Transit' insurance too. This will insure against accidental damage and theft of own company equipment and tools, as well as any perishable fresh produce, electricals or fine art that has been listed for regular cover as valuable assets on the move. While each of these policies can be completely different, commercial lorry insurance for haulage can be tailored to each individual motor trade business. So while you may have read that you need to have either or one of the following principle clauses this is not entirely true. Commercial lorry drivers salaries are changing and going up as well as insurance. A haulage company can offer both courier services and long haul and in the same document. In fact it usually tends to be cheaper and with discount, to draft one insurance document and offer a singular coverage, rather than split insurance policies across different risk. Unless of course it is one off transportation of very valuable goods such as fine art, jewellery or rare antiques.
The average truck insurance quote for hauliers in the UK is between £1500 to £3000 however each operation and set up can be world's apart from another. Which is why you need a specialist motor trade insurance broker to help you navigate the terms and conditions of a policy. There is little point paying for a policy clause that is not required and then not paying for one that it is. In this industry such a mistake can cost thousands of pounds. A description of which each goods clause entails follows; you class yourself as a haulier, the dominant terms and conditions will surround the area of long haul haulage operations; Cover for Ireland, UK wide and European mainland, plus Russia, Asia, Africa, the Middle East if required. Particulars tend to stick to the idea of one thorough journey with one destination. HGV s and trucks are changing and some will not require a diver and will self driveand in theory they should not crash as much so the should be cheaper to run.
Two other clauses may be built inside a policy, Carriage of own goods and Carriage of goods for hire or reward. The former deals with the fact you store your own goods and then transport them. This will encompass an all business worth on your own goods being damaged, stolen or lost. The latter is for couriers and transporters in the motor trade industry who carry other company's stock and cargo. For a better and broader knowledge of this lorry insurance product see our home page about HGV trucks.This may include lateness insurance such as cover against perishable goods going rotten. All of this is classed as Goods in transit but such a mention would then include your own tools and equipment, should your business be involved in such undertakings. You may recover your own vehicles perhaps or your company delivers high end building materials and machinery but also uses these as a third party service. New technology with electric vehicles will alter the insurance prices in the long term.
A question often asked is, "How many vehicles do I need to own to have motor trade insurance cover on a fleet?" Haulage fleet insurance is available for commercial lorries and tends to be available for companies that have two or more vehicles. Some policies can start from five. Businesses choose this type of cover not only because it can work out cheaper to have a fleet insurance that covers the policy of haulage and goods in transit but it is easier to manage monthly payments, add and remove trucks, tipper lorry drivers and generally follow up claims more easily. The cost of commercial lorry insurance for haulage when covering a fleet will be cheaper than individually insuring, however any underwriter will still take into account the combined details of a motor trade business when offering insurance cover.
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