You can drive your own vehicle under a trade policy, but you are only eligible for a policy if you sell vehicles for profit.
What is a traders car insurance policy?
Motor trade insurance, or traders insurance, is used by a wide range of businesses. Usually, it benefits those involved in repairing or selling vehicles. It covers your employees when they’re driving or working on your customers’ vehicles, as well as those owned by the business itself.
Can you drive an uninsured car on a traders policy?
It is possible to drive an uninsured car on a motor trader’s insurance policy, however that car would then be considered insured.
Do you need trade insurance for trade plates?
Trade plates allow you to circumvent an otherwise lengthy process of registering and taxing every single vehicle which is in your temporary possession. It is important to note that you need trade plate insurance before you can legally drive a car with trade plates on public roads.
Can I drive a car on traders insurance? – Related Questions
How many cars can you sell before being classed as a trader?
There are no hard and fast rules on how many cars you need to sell to be a trader. Some insurance policies will need you to sell a vehicle every 1-2 months to be classed as a trader and be eligible for insurance. Every individual insurance company varies.
Can a motor trader drive a car without tax?
If you’re a motor trader or vehicle tester, trade licence plates allow you to carry out your business without registering and taxing every vehicle temporarily in your possession. Brand new or second-hand vehicles already registered to you must be taxed and cannot be used under this provision.
What insurance does a trade plate driver need?
You can only get trade plates from the DVLA (Driver and Vehicle Licensing Agency). To apply, you’ll need to be a registered company and give the DVLA your Companies House registration number. You’ll also need proof of public liability insurance and your motortrade certificate.
What are the rules for using trade plates?
What are the rules? Trade plates must be used only for the particular business purposes for which they were issued. It is an offence to use more than one vehicle under a trade licence at any one time, and to keep a vehicle on a road when not in use except in certain emergency situations.
Can anyone use trade plates?
According to the DVLA, you’re eligible for trade plates if you are any of the following: Dealers, manufacturers, and repairers of vehicles (including collection and delivery agents) Manufacturers of trailers. Valets and accessory fitters.
Can you insure trade plates?
You can often cover trade plates as part of your motor trade policy. Remember to register your trade plates on the motor insurance database (MID).
Do trade plates cover mot?
You can only use trade plates on vehicles that: are safe to drive (‘roadworthy’) are insured. have a valid MOT, or are exempt from needing an MOT.
How long are trade plates valid for?
All trade licences expire on either 30 June or 31 December. You cannot get a licence for less than 6 months or more than 12 months at a time (from the month you apply). This means, when you apply for your first licence, it will last for between 6 and 12 months, depending on when you apply.
How many trade plates can I have?
A dealer can have as many trade plates as they can show a need for, as long as the conditions are met.
How do I become a registered car trader?
How to become a motor trader
- GET TO KNOW THE MOTOR TRADE INDUSTRY.
- UNDERSTAND THE LEGAL REQUIREMENTS.
- APPLY FOR TRADE PLATES.
- BUY A CAR TO SELL.
- FIGURE OUT YOUR PRICING.
- MARKET YOUR MOTOR TRADE BUSINESS.
- HAVE QUESTIONS?
Can I tow on trade plates?
Persons may be carried on a vehicle, or on a trailer being towed by it, displaying trade plates when they are being carried in connection with a purpose for which the trade licence has been issued.
Can I drive a Sorn car on trade plates?
SORN cars on trade plates do not require road tax and the insurance would be covered by your motor trade insurance policy. However, it is still illegal to drive a SORN vehicle unless you are driving it to or from a pre-booked MOT testing centre.
Can a motor trader tax a car without V5?
No, you can’t tax a car without a log book as you need the 11-digit reference number. If you’re a new keeper of the car and you don’t have a V5C in your name yet, then you can use your green new keeper slip and tax the car using the 12-digit reference number.
Can I tax a vehicle as a trader?
A trader *CAN* tax a car using their covernote, it’s not the right way to do it, but it can be done by filling in the green slip (V5C/2) with their details & then just fill out the main V5 in your name & post that off to the DVLA for the new owner details.
Are trade plates exempt from ULEZ?
Most motor trade vehicles, including those used on trade plates, will not be exempt. There are other more specialist exemptions including coastguard vehicles, European Economic Area member state vehicles that have been registered, and breakdown vehicles.
How can I make my car ULEZ free?
Can I make my car ULEZ compliant? There are ways that you can make your car compliant. For example, there is emission reduction technologies that you can employ, such as selective catalytic reduction, or you can replace your engine with one that meets the ULEZ standard.