Private hire insurance is a must if you drive a minicab or Uber taxi. It will ensure that you’re protected for the main risks that come with the job, including collisions and liability claims.
Below are the types of cover you can get with a private hire insurance policy as well as some ways to keep costs down.
Types of private hire insurance
- Third party - Third party insurance will provide enough cover to drive your taxi legally. It will provide cover for any third parties involved in a collision where you’re found to be responsible. If you want to add an extra layer of protection to a third party policy then you can get third party, fire and theft cover.
- Comprehensive – A comprehensive private hire policy will provide full protection for all types of collisions, even those that you are a responsible for. Comprehensive cover costs more than third party insurance but does give you a lot more protection.
- Liability claims – Liability claims are a significant risk when driving a taxi. This is why it’s necessary to have public liability insurance in place. If you operate a private hire taxi firm then you’ll also need to employer’s liability insurance. You’re also able to get legal expenses included as part of a private hire policy.
- Breakdown assistance - Another very useful type of cover you can get is breakdown assistance. It’s worth finding out how much it costs to add to your policy even if you already have breakdown cover from another company since you might be able to save money.
Ways to save money on private hire insurance
- Pay for the policy upfront - One very reliable way you can cut down on the cost of private hire insurance is to pay for the policy upfront as opposed to monthly. This will mean you’ll pay significantly more to begin with of course but the cost of the actual policy will be significantly lower with the majority of providers.
- Have somewhere secure to park your car – A big factor that affects the cost of private hire insurance is where you park your taxi when you’re not using it. The ideal scenario would be to have a garage to park it in but failing this a driveway is also a good option. If you park your car on the street then you can expect to pay more since the risk of theft and vandalism increases significantly.
- Shop around - A very obvious step to take to save money on private hire cover is to get quotes from as many insurance providers as possible so you can compare them and chose the best one.