Courier insurance includes a range of insurance that will protect you from any possible situation while you are working. Courier insurance is required if you plan to use a vehicle for commercial purposes such as shipping goods on behalf a company.
Vehicle insurance
Courier insurance will still offer all the options you would expect from any vehicle policy. This includes legal costs, replacement vans, no claims discount, and legal costs. But the cheapest courier insurance will set you back about £1,500 and £2,000 usually. If you’re under 25, you won’t be able to get any courier insurance.
Change
You can keep your car or another vehicle for private use, but most insurance companies will not offer you a no claims bonus. If you do plan on selling your private vehicle, however you may be able transfer your no claims discount to the new policy.
There are two options
You can avoid this type of insurance to save money on courier insurance. Light haulier insurance is an alternative. Light haulier insurance is not offered by all insurance companies so it’s worth looking around.
You can only be covered for a limited number of trips per day with light haulier insurance. Some courier companies may not allow you to take work from you because they require that your couriers have full courier insurance.
Other exclusions can also be applicable depending on your policy. Please ensure you review your policy carefully before signing anything. Examples of common exclusions are dangerous goods, driving at airports, and driving while impaired.
Goods Insurance
A type of insurance called goods insurance, it can be included in any comprehensive courier insurance package. This covers goods that you carry against theft, damage, and loss. Most of the time you won’t be provided with any type of no claims discount and it will set you back somewhere within the region of £200 to £300 each year.
Nearly all courier companies won’t employ you if your package doesn’t include Goods Insurance.
Many insurance companies do not cover goods that are being transported between your vehicle and your destination. You should carefully review your policy to ensure you understand what is and isn’t covered.
Public Liability
You can get this coverage as part of your goods policy for an additional charge. Public liability insurance covers you for any accidents that you or your goods cause while at work. If the accident is your fault, you could be responsible for the cost.
Employer’s Liability
Employer’s liability insurance was once a requirement. However, for most subcontractors it is not. If an insurance company tries to sell you this coverage, just say no. Your goal is to get the lowest courier insurance possible while the insurer wants to sell as much as possible.
Working abroad
Insurance policies typically only cover you in the UK. Some exclude Ireland. Make sure to get extra coverage if you travel abroad.
Purchase Insurance
You shouldn’t let price blind you when searching for the best courier insurance. You should aim to find the best courier insurance possible while still getting the coverage you need to cover yourself for any unexpected circumstances that may arise at work.
Make sure to shop around for insurance and speak to other couriers about the quality of a policy.
