Private Hire Taxi Insurance: 4 Unmissable Facts To Help You Lower Your Premiums

private hire taxi insurance

Private Hire Taxi Insurance: 4 Unmissable Facts To Help You Lower Your Premiums

69% of the 242,000 licensed vehicles in England are private hire vehicles. To stay competitive in this busy marketplace you need to keep the cost of your fares down and drive the best deals on your essential business costs, like private hire taxi insurance.

Make every mile count and keep your private hire business moving in the right direction with these unmissable facts that could help you to lower your insurance costs:

1) Different cars cost different amounts to insure

It really pays to do your research before buying a new car. As well as mpg and service costs, check out the insurance group of your preferred vehicle, as a lower insurance group means lower premium prices. There are now 50 insurance groups, with cars assigned into each by the Group Rating Panel.

2) Policy wording counts

Insurance can be taken out as ‘policy only’, ‘named driver’ or ‘any driver’ cover. ‘Policy only’ is the cheapest option and covers you, the vehicle owner, to drive the vehicle. If someone else needs to drive your vehicle you have two other options. ‘Named driver’ is the cheaper of the two, and specifies another person who will be able to drive the vehicle – although it is important that they are not the primary user of the vehicle. The third, and most expensive, option is ‘any driver’ which covers your vehicle to be driven by anyone.

3) Safer drivers spend less on insurance

The easiest way to reduce your insurance premiums in the long run is to avoid claims and convictions. Points on your licence will result in increased premiums. Even if you’ve avoided points on your licence but have been asked to attend a speed awareness course, it could increase your insurance costs. Claims will also affect premiums as substantial discounts up to 75% are awarded as a no-claims bonus. With these large discounts available, that can seriously reduce your outgoings, it may be prudent to consider protecting your no-claims bonus with an additional insurance product.

4) Private hire taxi insurance is higher than domestic car insurance

You may just need to accept that insuring your car as a private hire taxi will cost more than insuring it as a domestic vehicle. That’s because taxi drivers are at a perceived increased risk of an accident as they are often driving in busy conditions and have a higher annual mileage. Never be tempted to let it lapse, even for a minute. You can be fined an unlimited amount, be banned from driving and have the vehicle seized.

Instead, save extra pounds by shopping around for a better deal and getting your insurance tailored to your precise needs so you’re not paying for anything you won’t ever use. At Park Insurance we have a specialist team with 30 years of experience helping private hire taxi drivers to get the best price on their insurance.

We work with some of the UK’s biggest insurance providers to source bespoke cover at low prices. There’s no need to wait until it’s time to renew.

Some savings may be so substantial it will be more than worth your while to switch now.

Call us on 0117 955 6835 or email us for a free, no obligation quote.