What is taxi insurance and why do you need it?
In order to meet the legal requirements of your local licensing authority you will need to make sure that you are adequately covered for you and your passengers.
Some authorities may also stipulate that you have public liability cover. In addition to these legal requirements there are also additional covers you can take out to protect you further. These could include breakdown cover, loss of earnings following an accident or sickness, GAP cover and guaranteed car hire in the event of an accident. We will be able to help you with all of this. Ring our office now on 0330 995 8447 and get a quote.
The different types of policies
Private Hire Insurance
Private hire insurance covers you to carry passengers where the journey has been booked in advance.
Public Hire Insurance
Public hire insurance offers the same as private hire but also covers you to pick passengers up without pre-booking the journey. This is usually a black cab but is not restricted to just these types of vehicle.
Important things to remember when taking out your insurance
You must ensure that the insurance you take out covers you for the correct number of passengers your vehicle is licence to carry.
This is especially relevant when you are insuring an MPV, Minibus or other multi seat vehicle.
Public Liability Insurance
Public liability provides cover for damage or injury sustained whilst your passenger is either getting in or getting out of your vehicle. It would cover you if you accidentally trapped your passengers finger in the door or boot of your vehicle. Thankfully claims under a public liability policy are rare but it is nice to have the cover in place should the worst happen.
Breakdown cover provides roadside assistance and recovery of your vehicle should you be unlucky enough to break down. It can even offer onward travel for your passengers should you be unfortunate enough to breakdown whilst carrying a fare. You wouldn’t want your passenger to miss their holiday flight.
Guaranteed Car Hire
Guaranteed car hire can provide a licenced replacement vehicle in the event of an accident regardless of fault. Most companies will offer this service for non-fault accidents but it is when it is your fault this policy would really be invaluable. We all make mistakes and accidents can happen, however we understand that you will need a like for like fully licenced vehicle to carry on working whilst yours is in for repairs.
GAP Insurance is often the forgotten additional cover but as a self-employed businesses person you need to protect your assets. What would you do if the settlement offer following a total loss claim was not enough to clear your outstanding finance agreement? You would have to continue paying for a vehicle you no longer have in addition to getting a new vehicle to carry on working. GAP insurance can protect you for the financial GAP between settlement and outstanding balance.