The problem with Insurance is that it only becomes real when you suffer a claim or loss, or as we like to call it the “moment of truth”.
This is all well and good, but ideally, you want to understand where risk might exist BEFORE a claim occurs.
For many of our car valeting clients, the simplest way to visualise your exposures is to look at the most common claims scenarios.
As such, we have listed below our top five motor trade insurance claims specific to the car valeting sector.
#1 Motor Trade Road Risks – Own Vehicle
The most apparent and common loss for a car valeter is an accident involving your own van or business vehicle.
The key is ensuring that your policy also extends to cover any fitted equipment (for example a water tank or power jet) which become damaged in an accident.
Another area of consideration is sign-writing; it can be relatively expensive to apply signage to your vehicle, and you want to make sure that reinstatement is covered following an incident.
#2 Motor Trade Road Risks – Customers Vehicles
Similarly, if you (or one of your employees) is driving a customer's vehicle and is involved in an accident, cover under a Road Risks Insurance policy would provide you with indemnity.
Cover works similarly to your own vehicle, with options for Comprehensive, Third Party Fire & Theft or Third Party Only cover.
The critical element when considering cover for customer vehicles is to ensure that you have a sufficient indemnity level under your trade policy.
This is the maximum amount that your policy will pay in the event of a loss.
Your specific requirement will depend on the extent of road risks required, but if you are working on higher-value vehicles, it is worth reviewing your indemnity level to ensure this is sufficient for your needs.
#3 Public Liability Insurance
Public Liability provides you with legal indemnity against claims resulting from injury or damage to property, from either customers or members of the public, concerning the actions of you (or your employees) in the course of your work.
When you work with water, a business always presents a slightly higher risk.
Slip and trip incidents are the most common public liability accidents for a car valeting business, whereby members of the public trip over cables or slip on water on a drive or pathway.
To reduce risk, we would suggest you try to carry out the valeting off-road and away from public footpaths or access areas.
#4 Products Liability Insurance
If you supply any type of product to your customers, then you could be at risk of a products liability claim.
Products Liability provides protection against claims for injury or damage to property as a result of a product you have supplied.
Some car valeters will sell cleaning materials or wax and should a vehicle become damaged as a result of the customer use of the product you could find yourself on the receiving end of a potential claim.
Even if you do not sell products, you should take care in giving away any samples as you could still find yourself liable should injury or damage occur.
#5 Theft or Damage to Business Equipment
When you operate a mobile valeting business, your primary tool of trade is your pressure washing equipment.
Sadly, such equipment is also targeted by thieves and theft of equipment is all too common.
Make sure your policy adequately covers all your equipment and that your sum insured is adequate.
Also, ensure that you are aware of any exclusions in terms of overnight theft restrictions which may apply.
FREE Business Insurance Review
Insync is a Trade Insurance specialist, we can Compare Motor Trade Insurance from over 5 of the UK’s leading insurers to provide you with tailored cover that is specific to your needs at a price that won’t break the bank!
Our team of Insurance Guru’s can also provide a free business insurance review at a time that suits YOUR diary.
You can book a slot via our website, or alternatively call 0330 1240730, we would love to hear from you.