Everything you need to know about courier insurance and becoming a self-employed courier driver
DOES MY BUSINESS NEED COURIER INSURANCE?
If your business involves transporting other people’s goods for hire and reward then it’s a necessity that you’re covered by courier insurance. Remember, if you’re transporting your own goods for delivery then you will not be covered by courier insurance, you’ll need a van insurance policy instead.
It’s a legal requirement that all information you provide to your insurer or broker is correct, this will ensure an accurate courier insurance quote. Failing to do this can put you at risk of your policy becoming void or being cancelled.
GETTING THE RIGHT COVER
When taking out your courier insurance it’s important to think about your needs and the level of cover that you require:
– Third Party Only– this type of insurance will pay money to a person who suffers loss or damage where you are legally liable.
– Third Party, Fire and Theft – will pay money to a third party who suffers loss or damage where you are legally liable. This type of insurance also pays money if your car is stolen or damaged by attempted theft or fire.
– Comprehensive – this type of insurance covers you for third party, fire and theft, and will also cover your vehicle should it be lost or damaged in an accident.
WILL I NEED GOODS IN TRANSIT (FREIGHT LIABILITY) INSURANCE?
As a courier business, you’ll be expected to transport your client’s goods safely and efficiently, but we know sometimes things can go wrong. Goods in transit (freight liability) insurance covers the items you’re carrying for any damage or loss whilst in your possession, making it a necessity for couriers.
DO I NEED LIABILITY INSURANCE IF I RUN MY OWN BUSINESS?
Having liability insurance in place for your business can make all the difference. Customers and employees need to know that they are financially covered should something go wrong. Liability insurance necessary for courier businesses includes:
– Employers Liability – In most cases, if you have employees (excluding family members), it’s a legal requirement to have employers’ liability insurance. This will help you to pay compensation if an employee gets injured or becomes ill through the work that you are legally liable for.
– Public Liability – Covers you for any compensation you may have to pay as a result of your legal liabilities, such as death or bodily injury to a third party or damage to third party property.
If you’re a network driver or work on a contractual basis then you may be required to have employers’ and public liability insurance as a minimum requirement to fulfil contractual obligations.
Have any questions? please don’t hesitate to contact one of our team
Simon.horton@ascendbrokingold.co.uk | Office: 01245 449068 | Mobile: 07841 020435
