Insurance companies spend a lot of time doing maths, so we don’t have. They do this partly to spread risks around. They also keep an eye on the sales. They won’t sell any policies if they set the price too high.
They spend their time cutting and splicing markets, working out which customers they will attract and who they won’t.
They do this in real-time. They do it all the time. Their rates change constantly. They respond not only to market risk calculations, but also to one another. It is impossible to track that. When it comes time to renew taxi insurance, you have no choice but to shop around.
Problem is, who wants to do this? It’s just like buying petrol. No one does it because they love it. It should be quick and simple so that you can get it done quickly. Insurance brokers were created to help you do this. Once you give your information, a broker will search the market for the best deal.
Some would argue that an online price comparison website does this for them. You’ve likely seen in newspapers the recommendation to compare results from multiple price comparison websites. Yes, that’s right. It defeats the purpose, doesn’t that? You don’t want to do this as a taxi driver. It’s much better to handle this via phone while you wait for a fare.
The role of insurance brokers has changed. Brokers are now more on your side and will try to get you the best deal. Your broker is your personal assistant. They work for you and help you protect yourself from all the dangers that insurance companies might throw at you.
They are also free. Insurance companies pay for all that experience, advice, and help.
You could also consider going direct. Although you may get ‘factory prices’, consider the enormous cost of advertising and marketing campaigns that these companies run every day, week and year. Direct insurance companies must support an entire sales and marketing team, including expensive advertising campaigns and a customer-facing team. This is what you pay for.
Talk to an experienced insurance broker about taxi insurance.
These are ten ways to save money on taxi insurance.
1. Your company car experience can be used
When setting a premium, many insurers now take into account company car experience
2. No-Refunds Bonus
You can often use your personal driver’s no-claims bonus for taxi insurance. This is a new development. Previously, it had to be transferred.
3. Move on from your first year
Insurance companies know that you are more likely to be covered in your first year as a taxi driver. Don’t let the premium for your first year scare you. It will get cheaper over time. Focus on other ways to save money and you will get through the first year.
4. You might consider more up-market jobs such as chauffeuring, executive or airport work.
Although you will need a more expensive car, your insurance premiums will be lower.
5. Get rid of the radio
Radio is a distraction that can increase claims and an additional risk for insurance companies. Find a company that doesn’t have radio control.
6. You can just insure yourself
Do not insure any driver or named drivers.
7. Purchase a house
It’s hard to believe, but homeowners seem to have lower taxi insurance premiums.
8. Locate a postcode with a lower rating
The postcode of your taxi company will determine the amount of taxi insurance you have. There are areas with high insurance and areas with low insurance. Consider your commute time to work and how much work you might do. But don’t stop at insurance. Shop around for employers as well. Some may be able to save you a lot.
9. Third party should be considered only
Although third party, fire, and theft are not the minimum legal insurance, you can get rid of the fire and theft parts to save money on your insurance premium. Although you can’t claim if your car was stolen or set on fire, it will reduce your insurance premium. You might consider putting the difference in a savings account to make sure you have something to fall back on in the event of an emergency.
10. Get married
It’s not a joke. Married people seem to have lower taxi insurance claims.
Although you won’t receive all these points from one insurance, that’s the point of a broker. It’s our job find the best match. Talk to us and we’ll do all the work. It’s as easy as picking up the phone.
