collector/small-time car trader's insurance...

[vsonix]

Due to the fact my collection is growing to the point where I will soon have too many cars for a multi-car policy (and that the multi-car savings don't seem to carry over year on year) I'm investigating some of the other options. I've been quoted about a grand and a half per year for a buyer/seller policy using my E36 328i coupe as the car that the policy is hung round. This would cover all my E36s, an E46 and any other vehicles I would subsequently acquire. Is there likely to be any saving to be made if the lead car is something in a lower group? I'm starting to like the idea of a Panda 100hp or something like that as an excuse to 'save money'...

[vanordinaire]

I considered a 'trader policy' for my wee collection. My local broker said no, I would only be insured while using a vehicle for 'trading puposes' such as test drives, delivery etc. and If I used a vehicle for a pleasure trip, it wouldn't be insured. He said that a lot of people in the past had used 'trader policies' as a catch all for private collections but that insurance companies were beginning to catch on to this and were quite likely to raise questions in the event of any claim. He advised me not to take out this type of policy. Maybe he was trying to sell me something better (from his point of view) but I've used him for years and tend to trust him.

[POORCARDEALER]

vsonix said:

Due to the fact my collection is growing to the point where I will soon have too many cars for a multi-car policy (and that the multi-car savings don't seem to carry over year on year) I'm investigating some of the other options. I've been quoted about a grand and a half per year for a buyer/seller policy using my E36 328i coupe as the car that the policy is hung round. This would cover all my E36s, an E46 and any other vehicles I would subsequently acquire. Is there likely to be any saving to be made if the lead car is something in a lower group? I'm starting to like the idea of a Panda 100hp or something like that as an excuse to 'save money'...

Insurance companies clamping down on non traders with traders policies, some will want a VAT number, in the event of a claim they will want to see trading records, purchase invoices, sales invoices, bank statements etc etc..the companies that tend to do these policies will not pay out if they suspect you are not a bona fida motor trader and have just taken the policy out to cover your own cars

[vsonix]

Well, it's a chicken and egg thing but if I have an insurance policy already in place then I might chuck a few quid about at some auctions to look for potential bargains to sell on, whereas the hassle of getting a car insured just to keep for a couple of months and/or sell on nearly immediately is what puts me off.

Besides, a trade policy is just one of the options, the quote I got which I was referring to in the OP is a 'collectors policy' and the question was asked 'do you buy and sell cars' not 'are you a professional car trader', which seemed like quite specific wording. As much as anything I'd want to see myself make a few hundred quid a year back from selling a couple of cars in order to offset the increase in premium, and also I'd quite like to dabble in the world of used car sales as an extra revenue stream - I'm a 'fingers in many pies' type chap and like to have a few irons in the fire at any one time that mean I can consider myself self-employed rather than answering to a boss every morning

[Toaster Pilot]

I (as of yesterday) have a policy with Tradex that covers part time motor trade activities as well as SDP&C for anything up to 2500cc/group 28 (restrictions due to my age - 23)

They don't care what permanently owned vehicles I have as long as they meet the criteria. I will be trading a reasonable volume though. Keeping records of trading is vital and I am lead to believe a claim would be in serious doubt without said records.

I gather they're not the best insurer mind - but the only one that will touch me at a just about affordable premium.

[vsonix]

excellent. Mind if I ask roughly how much they quoted you?

[warp9]

Be wary of Tradex. They are the bottom feeders of the motor trade world - pick up everything that nobody else wants, plus they have a reputation for being very slow and use anything to get out of paying a claim. Google some reviews of them.

I'm curious about you saying that you have maxed out the number of vehicles on your multi car policy. The broker I deal with doesn't have a max limit and you can add or remove cars as you wish. Provides cover for bikes, vans, campers etc and will do agreed value if you have a classic. Its Heritage http://www.heritage-quote.co.uk/multi-car-insuranc... and their phone number is 0121 246 8646.

[TooMany2cvs]

I've found that "multi-car" policies always work out more expensive than just individual policies - especially if there's anything a bit odd in the mix (and, let's face it, why wouldn't there be?)

[Toaster Pilot]

vsonix said:

excellent. Mind if I ask roughly how much they quoted you?

Just over two grand unfortunately but I'm 23 with 2 fault claims in the past 5 years!

[warp9]

TooMany2cvs said:

I've found that "multi-car" policies always work out more expensive than just individual policies - especially if there's anything a bit odd in the mix (and, let's face it, why wouldn't there be?)

This isn't always true as not all multi car policies are equal - The big players like Admiral, just discount a certain amount on a standard private car policy for each car you add, up to a maximum (I think 8) which I suspect is the problem the OP has.

However specialist brokers like the one I mentioned (Heritage) deal with specific insurers that actually underwrite each client for the specific risk criteria they believe it represents. In my experience this has always been cheaper than insuring each car.

[vsonix]

I haven't 'maxed out' my multi-car policy yet - however the maximum number of cars allowed is five, and the multi-car discount shrinks exponentially after the first year meaning it is not as cheap as they would have you believe initially. A bit like signing up to a Broadband agreement where the price doubles after the first 'introductory' 12 months.