How does company van insurance work

Are you interested in finding out about how company van insurance works? Company van insurance is insurance that helps keep your business on the move. In our latest blog, Insure My Van discuss what company van insurance is, how much it costs and how to keep your company van insurance costs at a minimum.  

What is company van insurance? 

Company van insurance, also known as business van insurance or commercial insurance, is an insurance policy that is specifically designed for commercial vans used for business reasons. How do you know if you need company van insurance? If you use your van for any commercial purpose, for example, haulage or carrying goods for hire, then you will need to get business van insurance. Similarly, if you use your van for purposes that involve payment, for example, if you work as a mobile gardener or a mobile hairdresser, then you will need commercial van insurance. If you use your van to sell products/services at events, for example a local market, you will need commercial van insurance. If you drive your van to your place of work, this would also be described as business use, therefore you would need a business van insurance policy. Lastly, if your van is registered in the name of your limited company, you will need to get commercial van insurance. Your van insurance policy should be acquired in the company’s name too.  

What is the difference between company and private van insurance?

If you drive your van for social or personal reasons, like a hobby such as surfing or camping, then a private van insurance policy should provide you with sufficient cover. However, a private van insurance policy will not cover you if you use your van for any of the purposes mentioned earlier.  

Do you get various levels of insurance?

Like private van insurance or car insurance, what your business van insurance will cover depends entirely on the level of protection you decide to take out. There are three main types of cover available when it comes to company van insurance:  

– Third party only van insurance  

– Third party fire and theft van insurance  

– Comprehensive van insurance 

How much does commercial van insurance typically cost?

The cost of your van insurance depends on a couple of factors. Firstly, the size of your van will have an impact on the price of your insurance. In general, a larger van will cost more to insure than a smaller van. Therefore, vehicle size is a key factor to consider when purchasing a van. Secondly, the type of business you are involved in will also influence the cost of your business van insurance. Insurer’s view certain business activity to be of greater risk than others. Lastly, the security of your van also contributes to the cost of your commercial van insurance. Where you park your van at night and the security features installed to your van have an influence on your insurance premium.  

How can I make my insurance cheaper?

Here are some tips to help you keep your van insurance costs down:  

– If your business needs allow, opt for a smaller vehicle when purchasing a van  

-Improve the security features of your van  

-Install an immobilizer 

-Build up your no claims bonus 

-Choose experienced drivers with a good driving history 

If you are considering taking out a van insurance policy, our Insurance Specialists would be happy to provide more information on the best ways to reduce your business van insurance costs. Contact our Van Insurance Experts today on (01) 660 6900.