There are some occupations that are deemed higher risk in the motor trade industry. Motor trade insurance companies will generally still look to insure such trades but will probably load a higher premium due to their nature. Below are a few examples of such occupations:
Vehicle salvage and car breaking
This type of work is where the insured would look to purchase vehicles that have previously been declared a total loss or written off. They would then repair the vehicles and sell them on for a profit. Car breaking is where the insured would dismantle a vehicle and sell the parts to garages or scrap yards.
Vehicle repossession occurs when an owner of a vehicle falls behind on repayments for a loan they have taken out and the sales person or company reclaims the car. The idea behind repossession is the vehicle has been bought on a hire purchase or loan agreement and the person who has bought the vehicle can no longer afford to pay for it. In legal terms the goods you have bought (the vehicle) is no longer yours until the full payment has been made.
Collection and delivery of vehicles
This occupation is where the motor trader would receive a payment from the customer to go and collect or deliver a vehicle as part of their day to day job. It is similar to a courier who would receive a payment to go and deliver or collect a parcel.
Someone who works in the breakdown recovery industry would offer their services to a customer who has broken down and needs assistance. In the first instance the breakdown recovery agent would try and fix the vehicle at the side of the road but if this was not possible, tow the broken down vehicle to a garage for repair.
Whenever you are looking for a motor trade insurance quote always remember to give accurate information. In the event of a claim, if the information on your policy documentation is incorrect this could lead to your insurance policy being invalid.