Corporate Car Insurance

Business Cars

A vehicle categorised as a business car is one registered in the name of a company, partnership, practice or sole trader and used in connection with that enterprise.

Insurers cover both smaller businesses with just a handful of cars - the number varying from insurer to insurer - and offer fleet cover for companies with greater numbers of vehicles on the road.

Types of Business Car Insurance

All levels of business car insurance are available - Third Party, Third Party Fire and Theft and Fully Comprehensive cover - and policies are often tailored to meet the unique requirements of individual businesses.

With online car insurance, UK vehicle breakdown protection is often included as well as the normal level of insurance cover for when travelling abroad in EU states and other countries. It is always advisable to check with the insurer the precise level of protection before travelling abroad. Insurers may also offer other benefits for your business, such as costs for changing the locks of your vehicles if the keys are stolen.

To help with the budgets and cash flow, car insurance is often available with interest-free monthly payments and premiums can also be fixed over a number of years, with a voluntary excess available to further reduce annual premium costs.

Business Car Insurance and No Claims Discount

As with other car insurance, a no claims discount is accumulated and a discount earned on a private car insurance policy cancelled within a certain time limit, say the last two years, may also be transferred to a business car. Protected no claims is also an option.

There may be limits on the value of the cars insured and restrictions on mileage - for example, in some cases the vehicle may not exceed 150,000 miles a year - and the vehicle does may not have to be used solely for business purposes. Cover can include social, domestic and pleasure use as well.

Reductions in premiums are offered for low numbers of named drivers insured for each vehicle, and these do not necessarily have to be employed by the company. However, there may be stipulations regarding named drivers.

In addition to named drivers being required to hold a current full driving licence, cover may be subject to age restrictions, such as a stipulation that all drivers must be 25 or over and not older than 75. There may also be a condition set that none of the named drivers have criminal convictions other than motoring offences, have been refused insurance or have had terms imposed upon them.

Business Not Insured with Corporate Car Insurance

There are also certain types of business which insurers do not cover under the ordinary terms of business car use and among these are:

• Private and public hire or taxi service
• Vehicle hire, including self-drive
• Driving instructors and driving schools
• Fast food delivery
• Catalogue distribution
• Courier services
• Catalogue distribution
• Mobile shop
• Vehicle delivery

If you're looking for corporate car insurance online, using a car insurance comparison site like thecomparisons.com could save you a bunch of time and money.