Motor Trade Insurance Explained – Under the bonnet of Engineering Inspection and Insurance
Our “under the bonnet” series looks at some of the hot topics our clients query when we review their Traders Insurance. In this edition, we explore the world of Engineering Insurance!
What is Engineering Insurance and/or Inspection?
In a nutshell, this is an extension to your standard Motor Trade Insurance policy providing cover for your specialist lifting or pressurised equipment.
Under HSE LOLER regulations (Lifting Operations and Lifting Equipment Regulations 1998), all lifting equipment will require regular maintenance and statutory inspection.
Similarly, The Pressure Systems Safety Regulations 2000 Act makes similar demands on steam or pressure based equipment and appliances.
A trade policy can be extended to make provision for the insurer's representatives (Specialist engineers) to undertake the required inspections to keep you on the right side of the law.
As well as inspection, the policy extension will also cover the insurance risk, including breakdown, explosion and damage to the equipment itself.
The explosion of pressurised equipment can cause considerable damage throughout a workshop and insurance protection can provide genuine peace of mind.
Another key benefit is the provision to cover the hire of replacement equipment to keep your business moving in the event of a loss.
All motor trade insurance companies will have slightly different wordings and policy interpretations, so you must seek the advice of an insurance broker to ensure you get the right protection for your business.
What type of equipment requires inspection or specialist engineering insurance?
Typically or a garage, bodyshop, vehicle recovery agent or car valeting business items could include:
- Lorry Loading Cranes / Transporters
- Vehicle Lifts (Post & Scissor) / Underlifts
- Vehicle Jacks / Floor Cranes
- Compressors/Air Receivers
- Spectacle Lift
- Fork Lift Trucks
- Spray Booths
- Local Exhaust Ventilation
- Portable Appliances / Electrical Installation
- Steam/Pressure Cleaners
Doesn't the manufacturer or supplier provide inspection?
Correct, equipment suppliers will often offer engineering inspection contracts.
However, you may find that your trade insurance provider can offer a much cheaper alternative, it could be well worth comparing prices.
You don’t have to tackle Health & Safety on your own!
Whether you run a repair garage or a bodyshop, you may have started to wonder how you fit in any customers after wading through the continuous stream of Health & Safety bulletins!
The key is developing a robust H&S policy which is continuously reviewed and tested, with the support of your insurer and/or risk management consultant.
Getting expert help and advice will not only give you peace of mind but will also free up valuable time to spend on growing and developing your business.
FREE Health & Safety Management Tool
Insync Insurance provides access to an online Health & Safety Management Tool for all trade clients.
The system provides downloadable Risk Assessment templates, up-to-date legislation support and advice as well as access to a fully qualified H&S Consultant.
The system usually retails for £250+VAT but is made available completely FREE of charge to all Insync clients to help you manage risk and your business more effectively.
Free Insurance Review
Insync's team of business insurance gurus will Compare Motor Trade Insurance from 5+ specialist trade insurers providing policies from part-time road risks to full vehicle dealerships.
Book a free review via our website or call 0330 1240730 for more information, we would love to hear from you!