What Affects The Cost Of Taxi Insurance?

14 Feb 2018

What Affects The Cost Of Taxi Insurance?

Motor Insurance cover for private and public hire vehicles is more expensive than personal car insurance, due to taxi drivers covering more miles than other motorists, often in city and built up conditions.  Many of these taxi journeys are in vehicles that carry a larger number of passengers. As a direct result of these passenger numbers, taxis are usually larger than conventional cars, meaning that they result in a higher car insurance group, producing a higher premium.

In these days of economic challenges, many cab operators and taxi drivers encounter financial difficulties whilst trying to run a successful business. Taxi insurance is probably the largest expense a driver has to deal with, and just like any other motorist, you surely want to obtain the best available quotation for the lowest possible price. Although this seems like an impossible challenge, there are quite a few factors you can check out to help reduce your insurance premiums.

  • Choose a vehicle from a lower insurance Group – high performance cars tend to be in the highest group. Cars in groups 1-20 are usually a safe bet!
  • Drive safely to avoid convictions – points on your licence will increase your premium
  • Build up a premium of no claims discount – Drivers who remain claim free get a reduction of 20% - 30% after their first year, with the possibility of up to 75% for five years of claim free driving
  • Policy only cover - this is one of the most economic insurance policies available with basic cover only
  • Named driver – the taxi driver will buy cover only for them, no other drivers allowed on this policy therefore keeping the costs lower
  • Keep your vehicle secure – vehicles that are garaged overnight and are fitted with recognised alarm systems will normally offer a reduction in your quotation

The mission of Insure My Taxi 4 Less is to help our customers to look after the essentials, by providing the correct insurance cover at the right price. Our easy-to-use online forms enable you to compare multiple insurance options, helping you to find more appropriate cover and at a lower price, than if you renew with your present insurance provider.

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