11 hacks to lower the insurance premium on your business van
Just as with domestic car insurance, there are things you can do to persuade an insurer to charge you less.
Here are our top 11 hacks (the big one, of course, is to compare van insurance deals and switch to save).
Let is know if you have more….
Nothing left overnight
Clear out your van overnight of all valuables.
If you can stick a sign on your van saying “No valuables left in here overnight” … and mean it, you’ll get your premium down.
Pay attention to where you leave your van overnight.
Is there somewhere you lock it away, like a garage or a locked compound or yard?
Whatever else you do, try and get it off the road, insurers will love it!
Also consider an immobiliser, steering wheel lock, even a tracker.
Power of advertising
Sticking the name of your business all over your van can be a big turn off to potential thieves.
Insurers will appreciate this.
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Get the right model
If you’re in the market for a new van, do your homework on all aspects, including running costs, and that means insurance should be a big factor.
The size of engine, the model, and purchase price will all have a big impact.
The rule is, smaller the van, the lower the insurance.
Not going the extra mile
Try and accurately forecast the kind of mileage you’re likely to cover over the year to get a premium that accurately reflects your usage.
Remember that quoting too low a mileage might lower your premium, but void your insurance if you’re found to be significantly out in the event of a claim.
Join the club
If you’re part of a professional outfit or a trade organisation, ensure the insurer knows this - it shows you to be a serious business person and insurers reckon that might make you a lower risk.
As with cars, it’s best to be boring and not to modify your van.
That means no changes to bodywork, alloy wheels and so on.
These can all add to your premium as insurers look at modifications as indicating higher risk.
Well, not really, but do consider what you realistically think it would worth claiming for, and set your excess at more than this.
Remember, claiming will always raise your premium at renewal time.
And if you raise your excess – the amount you pay on any claim – it will lower your premium.
Check up on what paying you annual premium upfront could save you – or not.
If it’s a decent saving, and it won’t hurt cashflow, it’s best to do it.
If the saving is actually minimal, opt for monthly payments to help cashflow.
You could, potentially, waste a lot of money buy misdescribing what you use your van for, where you travel to and what your trade is.
These all have an effect on your premium.
Ensure that your trade is accurately described, rather than choosing one that almost describes what you do and which might result in a higher premium.
Besides, getting all this right will save you big time in the event of a claim – get it wrong and you could jeopardise your claim all together.
Don’t tell porkies
You might have seen the recent court case that ruled that giving wrong info in an insurance policy should not affect a claim if the wrong info wasn’t directly relevant.
That might be so, but telling any kind of porkie to shave a few pounds off your premium is a very high risk strategy.
If you have a claim turned down as a result, you’re going to have a fight on your hands that 99% of small business owners can ill afford in time and money. Best to play it straight and sleep easy at night.