Compare car dealer insurance quotes now

Road risk insurance is the most basic car dealer insurance and is suitable for part-time traders or those who operate from home. It’s for smaller ventures that don’t have the responsibility of managing large numbers of vehicles, with many staff members or customers. Road risk insurance allows you and your employees to drive vehicles associated with your business. This could include customer cars, vehicles being bought or sold or test-driven. There are various levels of cover to choose from. 

• Third party only (TPO) 

• Third party, fire, and theft (TPFT) 

• Comprehensive cover 

This offers much broader protection to established traders or those with big business premises. Policies can vary between insurers, but combined car dealership insurance typically covers the main areas of risk associated with car trading. 

• Road risk insurance – Covers vehicles while being driven by employees or customers. 

• Business premises insurance – Typically covers buildings, tools, and machinery. 

• Stock cover – This can include vehicles, car parts, or other items kept for sale. 

• Liability cover – Typically includes public liability, employer’s liability, and product liability cover.  

• Business interruption – Covers loss of income if the business is forced to close due to an insured event like flooding or fire damage. 

• Money – Offers protection for cash kept on site. 

• Keys – Cover for lost keys. 

• Demonstration cover – Some policies may require you to take out additional protection to allow customers to test-drive your vehicles. 

• Goods in transit – This insures vehicles or stock being transported. 

• Engineering inspection – Additional cover for lights, compressors, or other machinery not included in your core policy. 

• Directors’ and officers’ liability – Additional protection for business management against legal claims. 

• The type of business you have – as a sole trader, limited company, or partnership.  

• The nature of your business activities – car dealer, mechanic, vehicle transporter 

• Your trading location 

• Your total years in business and business experience 

• The types and number of vehicles you stock 

• The total estimated value of stock 

• Demonstration or test-driving offered 

• Security features of the premises and the vehicles 

• Name, age, and occupation of employees and business partners who will be driving the vehicles 

• Type of driving licence 

• Driving history 

• Years of driving experience 

• Level of cover needed – road risk or combined

• Employer’s liability – to cover staff liabilities

• Demonstration cover – to cover customers while test-driving your vehicles

• Optional add-ons – like business interruption, money, or goods in transit cover

• Details of previous trade insurance policies 

• No-claims bonus details 

• Previous claims, refusals, cancellations, or special terms imposed by the insurer