Private hire vehicle insurance is an essential purchase for anyone in the industry, but it can often be difficult to know just what you should be looking for. It’s vital that you get the right kind of cover unless you want to risk losing out financially later down the line, so just what should you include in a policy of this nature?
• A base level of cover. This is essential to ensure you’re staying within the law, and as with all other kinds of insurance you’ll normally be able to choose between third party, third party fire and theft and fully comp. But, whilst the legal minimum is third party you’d be wise to go for something more extensive—being a taxi driver you’re statistically more likely to make a claim, so if you want to protect your finances it makes sense to be completely prepared.
• Breakdown cover. You wouldn’t want to be stranded on the side of the road, particularly if you’ve got passengers involved, and if you’ve got recognised breakdown assistance in place you needn’t worry. It can also be a much cheaper alternative to paying for assistance on the go—any pickups could cost a fortune, so again it makes sense to be prepared.
• Public liability. Public liability cover is vital whenever you’re dealing with members of the public, because if they were to be injured or their property became damaged as a result of your business you’d be held liable and could be subject to some hefty claims. The right level of insurance can avoid that though, covering any costs and keeping your finances in check.
• Replacement vehicle. If your vehicle is off the road for any reason you’re not earning money, and that can put a serious dent in your income. You wouldn’t want to lose out unnecessarily so including replacement vehicle cover in your policy is always recommended, thereby ensuring you can continue to work no matter what happens.
• Legal expenses. It isn’t always the initial cost of the claim you need to worry about, but the legal fees instead. These costs can soon add up and can put the bill far out of all proportion, but if you include legal expenses cover you won’t have to foot the (often extortionate) bill that could ensue.
There are plenty of other things you could include depending on your circumstances, so always discuss the options with your insurer. Ultimately you need to make sure you’re getting a high level of cover at a price you can afford, and don’t even think about skimping out in an attempt to save some cash. Your vehicle is your livelihood so it’s important to be prepared, and if you make sure to include all the above features you can be confident that everything is under control.