As important as getting a proper courier insurance is, not everyone has the luxuries to shell out loads of money for their van insurance.
Buying a vehicle, in itself costs huge sums of money and an expensive insurance would dig a massive hole in the businessman’s pockets.
Hence, it is equally essential to know how and where to find cheap courier insurance.
Mentioned below are some of the ways to ensure that the insurance costs have the minimum impact on your pockets and at the same time, what you get in return is optimum.
1. Type of van: The kind of vehicle that you choose for your business can drastically impact the money that you pay for getting it insured. The make, model, engine size and value of your van will affect the insurance amount. A small vehicle would not only be easier insure in this regard as compared to a large vehicle, but it will also be risk-free as the chances of accidents would be less.
2. Details of the driver: You must always check twice before hiring a driver who would be responsible for delivering your goods. A driver who has been denied insurance in the past would be difficult to insure. Also, the ages of the drivers matter. A relatively young person, say a 25-year-old, would be expensive for your insurance as the risk involved with such a person would be high, in terms of accidents.
3. Van security: Additional security features in your van, such as an immobiliser, an alarm or a tracker can help reduce the insurance costs, as the insurer would be assured of the fact that your van is less likely to be stolen or damaged via an accident. So, it is better to be on the safer side and ensure that these features are pre-installed while buying the vehicle.
4. Location of your services: Cities are high-risk areas, and hence if your business involves transactions within prominent cities, the chances of an accident are more. Consequently, the insurance costs would also be high. People who live in cities would have to shell out more money to buy an insurance than people living in rural areas.
5. No-claims bonus: If there are no claims made by you against the insurer at the end of a year, the no-claims bonus that you get can be adjusted against the premium that you have to pay during the following year. This can also reduce the cost of your courier insurance.