What To Know About Van Insurance
Insuring your automobile is one of those things that you just can’t afford to ignore. It is not only mandatory by law to do so but it can also save you from a great deal of trouble when disaster strikes.
While some people usually view it as a waste of money, those who have been involved in accidents or such mishaps can attest to its great value.
That being said, there are plenty of insurances that one can choose from depending on various factors such as the type of vehicle, its use, and your preferences to mention but a few. For more details, you can visit Quote Devil van insurance.
What is van insurance?
Most people think that vehicle insurance is generalized and that it cuts across all types of automobiles. This is not the case.
There is a wide variety of insurance covers to cater to the diverse needs of the industry. Van insurance is one such protection that applies specifically to vans. It is more comprehensive than car insurance and can protect you against a wide variety of incidents.
As such, it is divided into different categories based on the policies and coverage. As a van owner it is necessary that you acquire the specific one as the usual car cover won’t apply to the vehicle.
What are the categories available?
It can be classified into two main categories, namely; private and public. The former is of relevance where the vehicle is being used for personal activities such as family trips or carrying your personal gear to the workplace.
The latter is appropriate for those used for public purposes. This includes commercial activities such as delivery of goods or carrying passengers.
The two categories are then further divided based on the intended purpose and other policies. This results in various covers such as:
- Carriage of personal goods
As the name suggests, it caters to those vessels used for carrying personal goods. For example, if you are a freelance technician then you’ll probably need to use your vehicle to carry your own tools and work equipment to the workplace.
If that is the case then this is the cover for you. However, it is important to note that it doesn’t protect the materials that you carry. If any of the equipment gets lost or damaged then you will be responsible for the replacements.
Alternatively, you can also go for goods in transit policy to protect your merchandise during transportation.
- Carriage of goods for hire
This is almost similar to the first one except that it extends to the contents carried too. It is meant for those who are in the delivery line of business.
The driver transports several goods to different destinations for the customers. If the merchandise gets stolen or damaged then the insurance firm provides the appropriate compensation.
- Haulage
It caters to long distance transportation of single goods that are usually heavy and require specialized transportation methods. This includes heavy machinery, industrial equipment, mural paintings and such items. It is inclusive of the goods.
What is the extent of the covers?
To suit the diverse needs of drivers and owners there is a variety of covers that one can choose from. This includes:
- 3rd party only
In the event of an accident it only attends to the third-party involved, hence the name. For instance, if you accidentally damage someone’s fence while driving or bump into them and spoil their bumper then they will be compensated for it.
It is important to note that only the third-party is compensated for the damages that you have done to them.
If you are injured or your vehicle damaged in the accident you will be responsible for your own hospital bills and repairs.
- 3rd party, fire and theft
This is abbreviated as TPFT. It is similar to the first one but only applies when there is fire or theft involved.
The fire can be a result of a variety of cases such as lightning, self-ignition or explosives. You should review the terms and conditions to be sure of the cases that are liable for compensation.
For example, damages caused by fire due to your own neglect or those that are started intentionally are usually not liable for compensation. See more here https://www.moneyexpert.com/car-insurance/third-party-fire-and-theft-insurance/.
- Comprehensive
This takes care of damages both on the part of the third-party and the offender. It is also inclusive of all the situations mentioned above like fire, theft, bodily injuries, and damage to property. For this reason, it is recommended and favored by most people.
There are other additional covers and policies that are specialized for particular purposes. These are:
- Fleet van insurance
This is popular among business owners. It allows you to use a single insurance firm for all your vehicles hence saving you the hassle of having to deal with several different companies.
It makes your work easier since you can insure them all on the same date thus keeping track of the validity. It can be very stressful if you forget that the cover of one of your vehicles has already expired only for you to realize it when it is too late and you are faced with huge debts and penalties.
With fleet insurance you get to have uniformity in terms of policy and renewal dates.
It is also convenient because it is inclusive of the drivers thus any driver can drive any of the vans without breaking the terms of the agreement.
Apart from that, it is much cheaper than insuring the vans one at a time with different firms.
- Modified van insurance
Regular insurance covers normally state that any modification done to the vehicle is considered a breach of the agreement and renders it void. Thus this one is of great value to those who intend to modify their automobile.
Be sure to inform the firm of all the alterations done that count as modifications. Some companies will dictate the types of modifications that are permitted.
All these regulations arise from the view that modified vehicles are at a higher risk of either malfunctioning and causing an accident or even attracting thieves due to their appeal.
Van modifications normally involve simple changes such as upgrading the entertainment system, removing certain parts to create more room, and replacing body kits.
What is the cost?
The prices charged might vary depending on the type of cover and the policies. For example, a comprehensive one will definitely cost more than a third-party only. Generally, the cost of insuring a van is more than that of a car.
This is because vans are larger in size both in terms of the body and components such as the engine. In the event of an accident they are likely to experience or cause serious damages that are expensive to repair or compensate.
They are also mostly used for commercial purposes like transportation of merchandise that are usually worth a lot of money. If the goods get spoilt or stolen during transit then the company ends up incurring a great loss.
As the owner of the vehicle, it is recommended that you put the effectiveness of the cover before the cost. Getting a cheap one just because of its affordability can turn out to be devastating in the long-run.
Tips for getting the best deal
While it is true that the best insurance covers go at higher prices than the standard ones, you can still get yourself a good deal without having to spend lots of money. Here are some tips to help you do so.
- Buy an affordable vehicle
Affordability can vary from one buyer to another depending on their financial status. When buying you should go for an automobile that you can purchase and maintain without experiencing financial strain. It is important to note that the more expensive the van is, the higher the premiums.
- Spend wisely
It is better to get a single comprehensive cover than several specific ones to offer a wide range of protection. The former is much simpler and cheaper. At times you might also get a cover not knowing that it is already included in one of your previous ones. Thus it is advisable that you thoroughly go through the ones that you have before acquiring another one.
- Pay annually
Paying yearly instead of monthly is not only cheaper but it also helps you plan your finances accordingly and avoid late payments.
- Reduce the risk
The price charged is greatly dependent on the risk hence you can reduce it by enhancing security measures. Installing an automated locking system is one such way to do so. Some companies also offer reduced prices if the user cuts down on the usage time. Click here to read how van insurance work.
Conclusion
You should make your choice based on its suitability to your particular line of work or purposes. Take time to thoroughly analyze the available options before you settle for any. Make a well-informed decision.