motor trader/short term insurance for 19 yr old

[christofmccracke]

Hi im looking to dabble in the motor trade should be buying a 1.0 vw lupo
insurance cheapest i can get 3rd party fire n theft is 479 for a year so will be over 50 quid for a month is their any way i can get insurance cheaper ? or a motortrader policy

Cheers
Chris

[750turbo]

christofmccracke said:

Hi im looking to dabble in the motor trade should be buying a 1.0 vw lupo
insurance cheapest i can get 3rd party fire n theft is 479 for a year so will be over 50 quid for a month is their any way i can get insurance cheaper ? or a motortrader policy

Cheers
Chris

This will not end up well OP, sorry.

[bazking69]

Have you any idea how much a trade policy would set you back as an 19 year old 'trader'...

[AndrewW-G]

Speak to tradex to get a rough idea, I'm sure they'll have a chuckle at your reaction to the price.

Something tells me that at 19, with no no-claims to apply against it, irrespective of the level of cover, it's going to be well into 4 figures, possibly 5

[christofmccracke]

if i wanted cheap insurance i would go on my mums works policy i currently have 1 yrs nearl 2 ncb

looks like ill just have to take the £50 for one month insurance on the lupo then

[AndrewW-G]

christofmccracke said:

blah blah blah i currently have 1 yrs nearl 2 ncb

Doesnt matter, trade insurance no claims is seperate to personal, so as I said, you have no no claims . . . . . .

Oh and any private insurance specificaly exludes motor trade use if you want to "dabble" you have to pay up like everyone else, or you wont be covered

Edited by AndrewW-G on Thursday 20th May 15:54

[Incorrigible]

Well, I'm over 40, have full NCB, and my trade policy is about £4k, I would imagine I'm a better risk than a 19 year old

I think if you want to dabble in the motor trade you'll need either a st load of money behind you, wait till you're at least 25, or try and get a job at a garage

What are you trying to dabble at exactly ?

From memory you can buy and sell a certain amount of car a year before being classed as a "trader" doing this as a private individual is probably your best bet

[Rawwr]

christofmccracke said:

if i wanted cheap insurance i would go on my mums works policy

[V8mate]

christofmccracke said:

if i wanted cheap insurance i would go on my mums works policy i currently have 1 yrs nearl 2 ncb

looks like ill just have to take the £50 for one month insurance on the lupo then

But, but, but...

You do realise that motor traders sell their cars, right?

Quite quickly if they're any good.

So you're going to change your private policy every couple of weeks?

£75 admin fee each time you change?

And no giving test drives on a private policy either. Or even taking potential customers out for a drive, as that will be commercial use.

[V8mate]

Incorrigible said:

Well, I'm over 40, ...

From memory you can buy and sell a certain amount of car a year before being classed as a "trader" doing this as a private individual is probably your best bet

Your memory shouldn't be that bad at your age

Running a business is running a business. It's a pretty black and white affair as far as HMRC are concerned.

[christofmccracke]

V8mate said:

christofmccracke said:

if i wanted cheap insurance i would go on my mums works policy i currently have 1 yrs nearl 2 ncb

looks like ill just have to take the £50 for one month insurance on the lupo then

But, but, but...

You do realise that motor traders sell their cars, right?

Quite quickly if they're any good.

So you're going to change your private policy every couple of weeks?

£75 admin fee each time you change?

And no giving test drives on a private policy either. Or even taking potential customers out for a drive, as that will be commercial use.

ur kidding me you sell the car i thought u just bought it n money fell out of it.

[Curry Burns]

Spout stupid rumblings and get stupid responses...

[Incorrigible]

V8mate said:

Incorrigible said:

Well, I'm over 40, ...

From memory you can buy and sell a certain amount of car a year before being classed as a "trader" doing this as a private individual is probably your best bet

Your memory shouldn't be that bad at your age

Running a business is running a business. It's a pretty black and white affair as far as HMRC are concerned.

Quite possibly, but there's a big difference between selling 4 a week and buying a crash repair, doing it up over a month or so, then putting 1,000 miles on it then flogging it on. A strategy that kept me in beer through my university days

I thought there was a upper limit on private income, £8k a year comes to mind, before the tax man needs notifying. As I said, I'm unsure, speak to an accountant

OP what are you thinking of doing ?

[Lucie W]

V8mate said:

christofmccracke said:

if i wanted cheap insurance i would go on my mums works policy i currently have 1 yrs nearl 2 ncb

looks like ill just have to take the £50 for one month insurance on the lupo then

£75 admin fee each time you change?

£75, gosh. My insurers charge £30 each time, it's even been free on a few occasions.

OP, your 'over £50' is very cheap for age 19, for any car. Good luck getting a trader's policy, you're going to need to make a fair amount of profit on the cars you sell to break even, I reckon.

[carmadgaz]

christofmccracke said:

Hi im looking to dabble in the motor trade should be buying a 1.0 vw lupo
insurance cheapest i can get 3rd party fire n theft is 479 for a year so will be over 50 quid for a month is their any way i can get insurance cheaper ? or a motortrader policy

Cheers
Chris

How does £479 work out at >£50 a month? Mine is nearly £700 a year and is only £53 a month. from what I know (admittedly not a lot) and have heard about trader policies they are expensive and can be quite restrictive.

Really don't complain about the cheapest at £479, that is ridiculously cheap if its your policy! I just had a renewal price of £900!!