Keeping a motor trades business running smoothly is a tall order. Consistent concerns about details, employees, and deadlines, along with all of the other pressures, is enough to keep you busy from dawn to dusk. The last thing you need to concern yourself with is if you have the right cover to protect everything you have you have worked so hard to put together.
Why Do I Need Motor Trade Insurance Cover if I Have Insurance?
The right insurance cover for your trade-specific business is all about the proper fit. For example, you may have a brand-new high-quality set of tyres. However, tyres that fit on a sports car will not be useful for your Ute. Even if they are the best of the best, they do not meet your needs. Tradie insurance works in a similar fashion. The insurance your brother-in-law has for his electrician business does not have the same features as a policy made with motor trades in mind.
Additionally, as someone with a business involved with motor trades, you and your company have a significant number of risks as a part of your everyday business activities. You need cover that will protect you against all manner of losses.
What Are Risks Specific to the Motor Trades Industry?
Several risks are typically a part of businesses in the motor trades industry that other tradies do not generally experience. These risks include but are not limited to:
- Additional expenses that come with working on and storing exotic cars as well as historical vehicles. The risk also includes the cost of keeping an inventory of parts needed to keep these types of vehicles on the road.
- Costs that are required for you to have all of the necessary gear needed for you to do your job. Numerous essential pieces of equipment are quite pricey. For this reason, you will want the correct cover.
- Heavy equipment has hefty prices for repair and maintenance. You can benefit from specialty cover for heavy equipment whether you own it or repair it.
- Managing the requirements under the Ozone Protection and Synthetic Greenhouse Gas Regulation 1995
- Storing customer vehicles or your fleet at your business’ facility
- Test-driving customers’ vehicles
What Kinds of Businesses Can Benefit From Learning More About Motor Trades Insurance Cover?
Generally speaking, if your business involves interacting with cars, trucks, and motorised equipment, considering motor trades cover is a smart idea. Here is a list of some of the businesses motor trades insurance can protect:
- Audio installation
- Auto detailing- including mobile
- Auto electricians
- Auto parts wholesalers
- Automotive heating and cooling specialists
- Brake specialists
- Caravan sales and repair shops
- Dealerships for new and used vehicles
- Diesel repairs
- Engine repair and reconditioning
- Exhaust system specialists
- General automotive mechanics
- Rustproofing specialist
- Smash repairers
- Transmission specialists
- Tyre sales and servicing
- Vehicle computer system specialists
- Windshield and glass repair and replacement workers
What Kinds of Cover Should I Consider?
It is almost impossible to over-emphasize the importance of speaking with a professional who can help you put together a policy for your motor trade business that ticks all of the boxes for necessary cover.
The following is a general list of insurance cover that may benefit your company.
- Customer Vehicle Cover – A policy that will pay in the event of an accident, regardless of the driver
- Business Vehicle Cover – Similar to customer vehicle cover, the wording on a business policy can reflect the intent to cover third-party damages if the auto is on loan to a customer
- General Property and Transit Insurance – Covers your tools and equipment when they are not on your premises
- Professional Indemnity Insurance Cover – Even though you strive to give your customers spot on care and advice, occasionally you may miss a detail, or a client feels your suggestion was not helpful or made their situation worse. A professional indemnity policy will protect you
- Tax Audit – Should your company become a part of an audit, this cover will pay for your accountant fees
- Worker’s Compensation – All of Australia’s states and territories require those businesses with employees to carry a worker’s compensation policy. The policy helps cover expenses if an injury on the job occurs.
- Public and Product Liability – If your customer experiences a loss or the workmanship is sub-par, a public liability policy will help rectify the situation. Should a product be below par, have a faulty design, or another kind of defect, product liability can help with the cost of replacement or repair.
You have put your heart and soul into building a successful motor trades business. Be sure you put as much into guarding your company against potential losses. Contact Tradies365 to help you make sure you have all that you need.
*Please note* The contents of this blog post are for informational use. This material is not legally binding insurance advice and should not take the place of a consultation with an insurance professional.