Trade insurance?
Discussion
My sisters car recently failed the M.O.T due to rust (and being a Daewoo) so being a welder I offered to help out. Took about an hour to cut, weld, grind, fill and paint. Re-M.O.T the next day and drove the car back to hers. Where I was stopped by the Police enroute. No problem at all. Bloke driving a car registered to a woman and an observant Police officer. I explained the situation and the officer told me I needed a trade policy (even though I have third party cover to drive any vehicle). Because it was my sisters car and I hadn't charged anything for the repair work technically and as far as I could say legally I was not making money out of it so therefore I was not in the motor trade. I'm normally doing odd jobs on friends and families cars and bikes. Yesterday I fitted a new set of pads and discs to a Saphire Cosworth for a Pizza and few beers.
Taking the officers advice I phoned around for a trade quote.
£1350 fully comp' for anything with a value of up to £5,000
Not bad but I have to turn over a minimum of £15,000 a year? That's a lot of pizza and beer.
Is there a "trade" type of policy that covers people who work on cars as a hobby?
"No that's the minimum".
So I can drive any vehicle on my current policy provided I haven't done any work on it or start charging people so I can turn over £15,000? I'll have to get someone else to check my tyre pressures and top my fluids up I guess.
Is there such a thing as a "hobby" mechanics policy?
Taking the officers advice I phoned around for a trade quote.
£1350 fully comp' for anything with a value of up to £5,000
Not bad but I have to turn over a minimum of £15,000 a year? That's a lot of pizza and beer.
Is there a "trade" type of policy that covers people who work on cars as a hobby?
"No that's the minimum".
So I can drive any vehicle on my current policy provided I haven't done any work on it or start charging people so I can turn over £15,000? I'll have to get someone else to check my tyre pressures and top my fluids up I guess.
Is there such a thing as a "hobby" mechanics policy?
Edited by Liquid Knight on Sunday 6th February 08:01
That's BS! i have a part time trader policy so they do exsist probably that particular company dont do em and the dolt on the phome is ignorant to anyone elses policys, all i need prove is F all on mine but they like some car sales every year which i supply (using ebay cars) 
i use tradewise, or unicom, one is the company one is the broker if that helps.
£778 TPFT and me missus is on it for free.
i use tradewise, or unicom, one is the company one is the broker if that helps.
£778 TPFT and me missus is on it for free.
Edited by NHK244V on Sunday 6th February 08:59
If you use companies such as tradewise, upon you making a claim they will want to see concrete evidence you are a motor trader....bank account, paperwork relating to the purchase, bank statements showing where you have wrote out cheques etc etc.
This is to stop non trade people having trade poilicies.
POORCARDEALER said:
If you use companies such as tradewise, upon you making a claim they will want to see concrete evidence you are a motor trader....bank account, paperwork relating to the purchase, bank statements showing where you have wrote out cheques etc etc.
This is to stop non trade people having trade poilicies.
I'd second that. I use Unciom/Tradewise and had a smash about 18 months ago (rear ended in a car which I'd owned for all of....12 minutes). As part of the claim procedure you need to provide evidence of trading in accordance with your policy.This is to stop non trade people having trade poilicies.
Incidentally, they were very good, and although they only pay trade price (it was a Cat B write off) I'd bought on CAP and they use Glass's which on this particular car was £1k difference in my favour.
Liquid Knight said:
My sisters car recently failed the M.O.T due to rust (and being a Daewoo) so being a welder I offered to help out. Took about an hour to cut, weld, grind, fill and paint. Re-M.O.T the next day and drove the car back to hers. Where I was stopped by the Police enroute. No problem at all. Bloke driving a car registered to a woman and an observant Police officer. I explained the situation and the officer told me I needed a trade policy (even though I have third party cover to drive any vehicle). Because it was my sisters car and I hadn't charged anything for the repair work technically and as far as I could say legally I was not making money out of it so therefore I was not in the motor trade. I'm normally doing odd jobs on friends and families cars and bikes. Yesterday I fitted a new set of pads and discs to a Saphire Cosworth for a Pizza and few beers.
Taking the officers advice I phoned around for a trade quote.
£1350 fully comp' for anything with a value of up to £5,000
Not bad but I have to turn over a minimum of £15,000 a year? That's a lot of pizza and beer.
Is there a "trade" type of policy that covers people who work on cars as a hobby?
"No that's the minimum".
So I can drive any vehicle on my current policy provided I haven't done any work on it or start charging people so I can turn over £15,000? I'll have to get someone else to check my tyre pressures and top my fluids up I guess.
Is there such a thing as a "hobby" mechanics policy?
Liquid Knight said:Taking the officers advice I phoned around for a trade quote.
£1350 fully comp' for anything with a value of up to £5,000
Not bad but I have to turn over a minimum of £15,000 a year? That's a lot of pizza and beer.
Is there a "trade" type of policy that covers people who work on cars as a hobby?
"No that's the minimum".
So I can drive any vehicle on my current policy provided I haven't done any work on it or start charging people so I can turn over £15,000? I'll have to get someone else to check my tyre pressures and top my fluids up I guess.
Is there such a thing as a "hobby" mechanics policy?
Edited by Liquid Knight on Sunday 6th February 08:01
Post office insurance quote for my little Fiat.
£2189.24
Meerkats?
£788
Dear Post Office Insurance, I have been a valued customer for three years now but to save myself a whole months wages I am no longer able to afford your extortionate ploicy prices and have taken my business elswhere.
Yours Me
Does your new insurer know that you also do part-time motor trade work?
Sounds like an over-zealous plod, disappointed cos thought his anpr had given him an easy nick, so resorts to trying to make you look a C to make himself feel good/important/erect etc.
I'd ring your insurance and ask them to clarify, and perhaps send a letter. (Then if you like forward it on to plods super and ask that they learn their job a bit better before trying to be clever)
I'd ring your insurance and ask them to clarify, and perhaps send a letter. (Then if you like forward it on to plods super and ask that they learn their job a bit better before trying to be clever)
Mike Rob said:
Re post above I would be careful with this one.
What specifically, the letter or using it to wind the plod up? That latter was a bit tongue in cheek, the former perhaps not a bad idea to carry, given the OP's been "warned" once thus may want to take steps to protect himself/help the officers get their job right if pulled again?hairyben said:
What specifically, the letter or using it to wind the plod up? That latter was a bit tongue in cheek, the former perhaps not a bad idea to carry, given the OP's been "warned" once thus may want to take steps to protect himself/help the officers get their job right if pulled again?
I don't understand why he would need anything else providing his policy has doc cover and the terms of that are fulfilled.He isn't making money from this and he was hardly driving it for trade purposes. The term trade straight away implies a profit motive- which simply does not exist.
OP, the copper was a twunt, I'd just carry on as you have been. Lets be honest, some beers etc are going to be had in the course of normal friendship anyway.
Mike said:
Rob Does your new insurer know that you also do part-time motor trade work?
Haven't been able to swap yet because the Post Office want £488.96 to cancel their policy even though they promised a price match when I renewed. Lying 
fun bags sideways monkey thieving wipes! As for the officer who pulled me over in my sisters car; hat's off. If it wasn't me but a car thief I'm glad he had his Weetabix that morning and took his time to check.
H_Kan said:
I don't understand why he would need anything else providing his policy has doc cover and the terms of that are fulfilled.
He isn't making money from this and he was hardly driving it for trade purposes. The term trade straight away implies a profit motive- which simply does not exist.
OP, the copper was a twunt, I'd just carry on as you have been. Lets be honest, some beers etc are going to be had in the course of normal friendship anyway.
I'd agree, he gave too much info- "I'm driving this and I'm insured too" is quite enough, but he's given the plod some bait, and given the plod seems a bit of a tHe isn't making money from this and he was hardly driving it for trade purposes. The term trade straight away implies a profit motive- which simply does not exist.
OP, the copper was a twunt, I'd just carry on as you have been. Lets be honest, some beers etc are going to be had in the course of normal friendship anyway.
t who's made an issue of this and these could point to him being a vindictive asshole it might not be a bad idea to have on you if the same plod pulls him again.Liquid Knight said:
Haven't been able to swap yet because the Post Office want £488.96 to cancel their policy even though they promised a price match when I renewed. Lying fun bags sideways monkey thieving wipes!
As for the officer who pulled me over in my sisters car; hat's off. If it wasn't me but a car thief I'm glad he had his Weetabix that morning and took his time to check.
Gosh, you don't give up. Read the policy documents/conditions next time-it is your fault you are in this position.As has already been stated in the other thread. To answer your question, no, you can't have a trade policy if you are not trading. The clue is in the name. fun bags sideways monkey thieving wipes! As for the officer who pulled me over in my sisters car; hat's off. If it wasn't me but a car thief I'm glad he had his Weetabix that morning and took his time to check.
HTH
Trade is not a question of whether it be a business or just a money making sideline. Trade simply covers someone who for a number of reasons finds themselves buying and selling a number of vehicles on a year by year basis. Indeed if you as a private person sell six vehicles or more through advertising etc and the tax man became aware of such activity such a person could possibly be investigated. If there's valid reason a person bought and sold several vehicles - no problem. If however the reasoning behind buying and selling appears to be a profit making exercise, the tax man will consider such a person as trading. If said persons had a full time job not associated to motor trade it would not make any difference.
There's no clear definition as to who and what trade is. Trade is simply the associated goings on surrounding motorised vehicles. If someone were to be repairing vehicles, for free or for pizzas, on a regular basis, I'm pretty confident evidence of such would show trade activity enough to satisfy police and courts for prosecution purposes where insurance cover is not adequately provided for as a trader. It might be different if the vehicles repaired were in a persons long term ownership, as in a hobby, but then such a person would have suitable cover for all their vehicles unless they were stupid. That's the first point.
The second point is trade policies are not strictly issued just to those specifically in one form or another of the motor trade. As an example of this, just recently a friend of mine was offered a trade policy by Tradewise because they'd struck up a conversation whilst making monthly payments on their card for a friends trade policy. The telephone conversation went something along the lines of the insurance person asking my friend if they were in the trade. My friend explained not, working instead full time for the local authority, but went on to say they hobby on a few vehicles being an enthusiast and were forever updating their policies to cover vehicles bought and sold as part of their hobby. At this point my friend was offered a trade policy and quotes were given along with details of cover to suit my friends specific purposes to how they use their vehicles for non motor trade purposes. My friend is currently considering trade cover on the basis offered.
To conclude; trade does not mean specifically in the motor trade, and trade cover is given to non traders.
Hope this helps.
There's no clear definition as to who and what trade is. Trade is simply the associated goings on surrounding motorised vehicles. If someone were to be repairing vehicles, for free or for pizzas, on a regular basis, I'm pretty confident evidence of such would show trade activity enough to satisfy police and courts for prosecution purposes where insurance cover is not adequately provided for as a trader. It might be different if the vehicles repaired were in a persons long term ownership, as in a hobby, but then such a person would have suitable cover for all their vehicles unless they were stupid. That's the first point.
The second point is trade policies are not strictly issued just to those specifically in one form or another of the motor trade. As an example of this, just recently a friend of mine was offered a trade policy by Tradewise because they'd struck up a conversation whilst making monthly payments on their card for a friends trade policy. The telephone conversation went something along the lines of the insurance person asking my friend if they were in the trade. My friend explained not, working instead full time for the local authority, but went on to say they hobby on a few vehicles being an enthusiast and were forever updating their policies to cover vehicles bought and sold as part of their hobby. At this point my friend was offered a trade policy and quotes were given along with details of cover to suit my friends specific purposes to how they use their vehicles for non motor trade purposes. My friend is currently considering trade cover on the basis offered.
To conclude; trade does not mean specifically in the motor trade, and trade cover is given to non traders.
Hope this helps.
Slade Alive said:
Trade is not a question of whether it be a business or just a money making sideline. Trade simply covers someone who for a number of reasons finds themselves buying and selling a number of vehicles on a year by year basis. Indeed if you as a private person sell six vehicles or more through advertising etc and the tax man became aware of such activity such a person could possibly be investigated. If there's valid reason a person bought and sold several vehicles - no problem. If however the reasoning behind buying and selling appears to be a profit making exercise, the tax man will consider such a person as trading. If said persons had a full time job not associated to motor trade it would not make any difference.
There's no clear definition as to who and what trade is. Trade is simply the associated goings on surrounding motorised vehicles. If someone were to be repairing vehicles, for free or for pizzas, on a regular basis, I'm pretty confident evidence of such would show trade activity enough to satisfy police and courts for prosecution purposes where insurance cover is not adequately provided for as a trader. It might be different if the vehicles repaired were in a persons long term ownership, as in a hobby, but then such a person would have suitable cover for all their vehicles unless they were stupid. That's the first point.
The second point is trade policies are not strictly issued just to those specifically in one form or another of the motor trade. As an example of this, just recently a friend of mine was offered a trade policy by Tradewise because they'd struck up a conversation whilst making monthly payments on their card for a friends trade policy. The telephone conversation went something along the lines of the insurance person asking my friend if they were in the trade. My friend explained not, working instead full time for the local authority, but went on to say they hobby on a few vehicles being an enthusiast and were forever updating their policies to cover vehicles bought and sold as part of their hobby. At this point my friend was offered a trade policy and quotes were given along with details of cover to suit my friends specific purposes to how they use their vehicles for non motor trade purposes. My friend is currently considering trade cover on the basis offered.
To conclude; trade does not mean specifically in the motor trade, and trade cover is given to non traders.
Hope this helps.
Lets put it this way....if you are not 100% up front about your trade involvment you will not get paid out in a claim....many private individuals got trade policies to cover several cars, it was cheaper than individual policies, I wouldnt reccomend this....We foolidhly went with a smaller company who's policies were underwritten in Gibralter, we had a theft claim....the paperwork they required to process the claim would mean that anyone who wasnt a legitimate VAT registered trader would not have been paid out.There's no clear definition as to who and what trade is. Trade is simply the associated goings on surrounding motorised vehicles. If someone were to be repairing vehicles, for free or for pizzas, on a regular basis, I'm pretty confident evidence of such would show trade activity enough to satisfy police and courts for prosecution purposes where insurance cover is not adequately provided for as a trader. It might be different if the vehicles repaired were in a persons long term ownership, as in a hobby, but then such a person would have suitable cover for all their vehicles unless they were stupid. That's the first point.
The second point is trade policies are not strictly issued just to those specifically in one form or another of the motor trade. As an example of this, just recently a friend of mine was offered a trade policy by Tradewise because they'd struck up a conversation whilst making monthly payments on their card for a friends trade policy. The telephone conversation went something along the lines of the insurance person asking my friend if they were in the trade. My friend explained not, working instead full time for the local authority, but went on to say they hobby on a few vehicles being an enthusiast and were forever updating their policies to cover vehicles bought and sold as part of their hobby. At this point my friend was offered a trade policy and quotes were given along with details of cover to suit my friends specific purposes to how they use their vehicles for non motor trade purposes. My friend is currently considering trade cover on the basis offered.
To conclude; trade does not mean specifically in the motor trade, and trade cover is given to non traders.
Hope this helps.
I have a part time trade policy, this allows social cover plus trade, i have only renewed today had to go to a different broker who covered me comp with a limit of £10000 for only £590.00, broker website is
www.tamworthtradeinsurance.co.uk
www.tamworthtradeinsurance.co.uk
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