Best Business Car Insurance Providers

Explore the best business car insurance providers in the UK.

Updated: May 18, 2024
Matt Crabtree

Written By

Matt Crabtree

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If you use a car for work-related purposes, you'll need the peace of mind that your vehicle is protected, especially if you're involved in any incidents on the road. 

Your personal insurance policy might not cover your work vehicle, so you may wonder which options you have. If you're unsure which type to select, business car insurance is ideal, and many providers are available.

Since you'll need to compare several providers and factors, it's worth researching to find the best options. But to make this easier, we have used multiple business vehicle insurance providers to help you explore their features.

Read on to learn more about the best UK business car insurance providers available.

ProviderScoreDetails
1. Aviva★★★★★Click Here
2. Zurich★★★★★Click Here
3. Tradex★★★★★Click Here
4. Allianz★★★★Click Here
5. Dayinsure★★★★Click Here
6. Churchill★★★★Click Here

What Is Business Car Insurance? Overview

If you've researched this type of insurance, you'll know that it's a type of cover for your work vehicles, providing protection that your personal insurance cover will not typically include and giving you the protection you need in the event of risk, an incident or even theft.

Simply put, it is a cover or policy that applies to vehicles such as company vans, trucks, delivery motorcycles, taxis and more. 

Its main purpose is to mitigate the chances that your company experiences financial losses, and there are a few different types of business vehicle insurance policies you can apply for, including liability and collision comprehensive cover.

How Does Business Car Insurance Work?

After giving the provider details about your business and vehicles, you'll get a quote with details related to the coverage options and conditions of your premium when the insurance provider reviews the risk. 

You'll then be able to purchase the policy, pay for the premium online, receive related documents, review the documents, and start making regular payments to the insurance provider — which may be each month, quarter or year.

If you're unfortunately involved in an incident or accident, you'll be able to make a claim. You'll have to contact the insurance company and submit information related to the incident. You'll also need to provide repair estimates and documentation.

With the claim submitted, you'll need to wait for the assessment. Upon approval, you'll get compensation from the insurance provider.

3 Types of Business Vehicle Insurance

A few main types of business vehicle insurance are available.

These are the ones you might need to consider if you're looking for cover:

👉 Class one business insurance for vehicles: This insurance cover is ideal if you drive to several workplaces or work sites to meet clients. For instance, you might be a care worker who travels to various locations.

👉 Class two business insurance for vehicles: This insurance cover is ideal if you drive to several workplaces to meet clients and need a named driver on the policy.

👉 Class three business insurance for vehicles: This insurance cover is ideal if you build up several miles in your vehicle when completing company work. For instance, you might be a salesperson who travels regularly.

Pros and Cons of Business Car Insurance

Do you need to know if business car insurance is worth it?

Acknowledge the pros and cons listed below when making your decision.

Pros

Lower business expenses: With the expenses covered by your insurance, you face fewer business expenses. Getting coverage for damages is ideal, so you'll not have to settle the costs from your own pocket.

It is a legal requirement: Choosing business car insurance in the UK isn't just ideal. It's a legal requirement for many companies. If your business uses a vehicle for work-related purposes, you'll need this car insurance policy to comply with regulations.

Liability coverage available: In the event your company vehicle causes an injury to someone, you may be covered with your policy's liability protection.

Cons

High cost for several vehicles: If you're insuring several vehicles, you may face a high cost. This high cost can also apply if you have several drivers on the policy.

Exclusions: There are some exclusions in some cases. For example, some driver permissions may be limited, and only some drivers may be eligible.

High premiums with more claims: If you make multiple claims, your premium may increase. If you also have had multiple accidents in the past, your premium may be high.

Best Business Car Insurance Providers: Reviews

After using the best business car insurance providers, we reviewed our findings.

Here are the features and advantages of these top vehicle insurance providers for business purposes.

1. Aviva

We used Aviva's business vehicle insurance as a sole trader, registered our vehicle in our own name, and received many advantages. We could retain our no-claims discount when involved in an incident with an uninsured driver. We could get a refund on our excess in this situation.

Aviva gave us replacement car and van options when we had comprehensive coverage. Additional benefits, such as a repair guarantee, a maximum of £500 tool cover, a cover for passengers, and an easy claims process, were also available.

The repair guarantee would have allowed us to receive a quality guarantee on any repairs we might have needed. Aviva uses approved repairers, which gave us peace of mind that the repairs would be handled expertly. We noticed that wear and tear wasn't covered, but we were pleased with the repair guarantee.

Aviva's £500 tool cover meant that the policy would have covered us even if someone had stolen tools in our vehicle. Aviva would not have covered us if someone hadn't committed forceable entry into the vehicle.

With the passenger cover, we were pleased to have coverage when dropping a colleague to the office in a separate vehicle we used in our company car. 

2. Zurich

With Zurich, we were covered for our small fleet of business vehicles. We only insured two vehicles but would also have been eligible for cover for up to 20 vehicles with this insurance provider.

We would have received cover if our business car inflicted damage on a third party. The maximum cover we would have received was £50m.

Since Zurich covered any drivers, we were pleased that all our colleagues could receive insurance from this provider. Zurich also did not make us pay an additional excess for young drivers, which worked in our favour.

In addition to solicitors fees and representation costs, Zurich would have covered us for legal services if we had been involved in an incident. We also liked that Zurich would have compensated us if our vehicle had sustained damage. 

Even though this provider’s indemnity wouldn’t have exceeded our vehicle’s market value, it did include accessories, which is why we included this policy provider on our list.

3. Tradex

Tradex offered us plenty of perks with our business vehicle insurance. We could receive fleet insurance coverage for several types of vehicles and named driver policies.

While we only insured our company car, we could have received cover for vans, and many additional extras and policy features were available. For example, Tradex informed us they could offer insurance for several employees who drove our vehicle.

Some of the covers we received from Tradex include theft and damage that fires might have inflicted damage on the vehicle. The policy also covered us for injury claims made against our business. 

We were pleased that Tradex covered our business against unnecessary loss if an incident happened, such as accidental damage, and that this insurer guaranteed that our vehicle was legal on the roads.

4. Allianz

Allianz offered us business car insurance coverage from their range of cover levels. While they offer protection for SORN, third-party fire and theft, and third-party only and comprehensive coverage, we chose the comprehensive cover.

This provider informed us that they could offer fleet insurance to cover them all under the same policy if we had multiple vehicles.

The cover we received gave us several benefits. For example, the policy would have covered us if we had been the victim of theft or attempted theft. If our vehicle had sustained damage from an untraceable or uninsured driver, we would also have been covered as their business car insurance covers these incidents.

We liked that a lifetime guarantee came with this provider, covering us if we needed repair work on our vehicle. We also liked that free windscreen repairs were available, breakdown options with discounts, and approved repairers were offered as benefits with this business vehicle insurance.

We would have also been covered for incidents on the road if we had damaged another vehicle and received cover for accidental damage

5. Dayinsure

Dayinsure provides temporary business car insurance, which we used to cover our vehicle for work purposes. The duration of this insurance could last from one hour to a maximum of 30 days.

We used the cover for 30 days on our current car but noticed it would also be available for a vehicle we didn't usually drive.

This insurance provider just required us to provide our driving licence number, registration number and personal details when completing the form. Dayinsure provided us with a business car insurance quote, and we paid for the policy with our credit card.

The business car insurance policy provided coverage for borrowing a car used for work, travelling to conferences outside of our typical work location, sharing work vehicles, transporting equipment in larger vehicles, and more. 

We noticed that Dayinsure would not cover us if we had used the car for vehicle use, taxi usage or door-to-door sales. However, Dayinsure makes our list because the coverage is low-cost, fast, covered us against negative equity and was easy to set up.

6. Churchill

When we used Churchill, we found that we would be covered by their van insurance when driving to multiple places for work purposes, and if we carried goods or equipment to several locations, the policy would have covered us.

We found that several benefits came with this business vehicle insurance policy. For example, our business vehicles were covered for window and windscreen damage.

We had the option of receiving a new vehicle replacement if we had been involved in an incident on the road. This cover was possible since our van was less than a year old, and we were the only registered owner.

Churchill provides two classes of insurance and comprehensive plans. It offers comprehensive coverage for third-party fire and theft. With the comprehensive cover, we would have been covered if someone had stolen our van; if fire had damaged the vehicle, or if someone had damaged it. 

To take out a policy, we informed this insurance provider of the van registration number and the year we had set up our business. The insurance providers offered us a quote and paid for the cover to receive this provider's benefits.

Best Business Car Insurance: The Verdict

Business vehicle insurance is ideal if you use a company vehicle. It makes sense to look at as many providers as possible to find the one offering the best deal and price. 

If you haven't started looking, use our list as your starting point. Several options are top providers, but another insurance provider might suit you best.

Compare business car insurance to find the perfect price. Protect your car and others while saving your company money with the best insurance policy and drive with peace of mind.

Related Guides:

FAQs

Does Business Car Insurance Cost More?

Do Sole Traders Need Business Car Insurance?

What Is Temporary Business Car Insurance?

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