Unacceptable 'Motor Traders'

• Those regarding their motor trade activities as a 'hobby'.

• Person regularly changing their own personal vehicles

• Those who carry out repairs for family and friends but receive no payment

• People trying to hide high performance vehicles under a  motor trade policy

• Employees of another motor trade business who are required to arrange their own policy

• People seeking to use motor trade insurance to cover other business or social activities

Motor traders by definition are required to keep formal business records and the company may request copies as proof of trading.

Underwriters will review such details as trading title, business address, amount and purchase details of stock, limit of indemnity compared to vehicles purchased and previous insurance history when compared with  business commencement. They prefer to deal with these enquiries before going on cover rather than when a claim is made.

The company define a motor trader as:-

"A self-employed person or persons actively operating a formal business , on a full or part time basis, for profit either selling vehicles or providing a service relating to the repair or maintenance of motor vehicles"

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