If you’re a sole trader or distribute goods then a van is an essential tool of your trade and will account for a significant slice of your business running costs. Latest consumer intelligence figures show that rising claim costs are increasing van insurance premiums with average prices rising 14.1 per cent in the past year to an average £1,344.
However, average best buy commercial van insurance premiums for “carriage of own goods” suitable for workers such as builders, plumbers, carpenters and shopkeepers who commute to work are £1,293 compared with £1,557 for “social, domestic and pleasure”. The price difference is said to be because customers using vans for work are more likely to be careful with their vehicle as it’s vital to their livelihood.
Whilst that may make your work van insurance premium slightly lower than that of a non-commercial van driver, it’s still a large expense and one that, with careful consideration, may be reduced.
Here are Businesscomparison.com’s 6 tips to help you reduce your van insurance premium…
Choose your van wisely
The smaller your van, the cheaper your premium. Consider whether you could downsize to a smaller van or a vehicle with a smaller engine as this could save you money. Choosing an older van could also lower your premium although you must always take the running costs into account.
Be security conscious
Security is a major factor to be taken into account when taking out insurance. Keeping your van in a secure place overnight and having security features, such as an alarm, immobiliser, steering wheel lock or tracker fitted can all help to lower your premium.
Consider named drivers
It’s worth taking the time to consider exactly who you need to add to the policy. Adding younger drivers, like an apprentice or an employee with a history of irresponsible driving can push up the cost of your policy.
Compare van insurance
Comparison websites make it simple to shop around for van insurance. Many facilities allow you to narrow your search depending on your specific needs in terms of the numbers of vehicles in your fleet, the number of named drivers and security features. This can help you find the cheapest van insurance.
Consider opting for a greater excess
The price of your insurance policy could be reduced by choosing a higher voluntary excess. It’s worth weighing up the fact that, if you make a claim, you may have to pay that excess before getting your vehicle back.