What insurance should couriers have?
As of 2016, it’s estimated that 80% of Britons shop online, and the digital shopping industry is now said to be worth in excess of £52 billion per annum. Of course, this means that there are now an increasing number of couriers on the roads in order to fulfil deliveries up and down the country. It may come as a surprise to learn that some couriers are still in the dark as to what they need in order to be sufficiently covered by a motor trade insurance policy.
Courier insurance – what it covers, and why it is essential for your business
Courier insurance will generally cover three different individual facets. Firstly, standard vehicle insurance is required. This covers everything from repairs in the event of an accident to breakdown cover and replacement vehicle cover to ensure all of those parcels are delivered on time. Depending on the particular policy, vehicle insurance may even cover windscreen/glass damage.
Light haulage insurance vs HGV insurance – what to know
The majority of couriers make a set number of deliveries every day. This is essentially light haulage, and there are dedicated policies to cover this. Light haulage insurance is similar to HGV insurance, with the primary difference between the two being that HGV insurance generally covers hauliers travelling long distances to deliver a single load (or a small number of loads), whereas a courier will have several drop-off points around a locality each day. It’s important to understand which policy best suits your business as it could affect the validity of any claim you have to make.
Insurance for goods in transit
As a courier, it is essential to have Goods in Transit Insurance to cover the contents of your vehicle. As anyone who’s ordered online before can attest to, sometimes fragile products (such as glassware or crockery) can become damaged during delivery, and it’s therefore a good idea to have a policy which covers this. Although it’s not strictly essential, it can prevent headaches when customers complain about a damaged product, particularly when the supplier of the product refuses to accept responsibility.