How to Get Motor Trade Insurance with Motoring Convictions

If you have motoring convictions, securing motor trade insurance can be more challenging—but not impossible.

Insurers view convicted drivers as higher-risk, which can lead to increased premiums or even outright refusals. However, by taking the right steps, you can improve your chances of getting accepted for a policy and potentially reduce costs.

Traders insurance is essential for businesses that buy, sell, repair, or transport vehicles. However, having previous motoring convictions can make insurers hesitant to offer coverage. The level of difficulty depends on factors such as:

• The type of conviction – Minor offences (e.g., speeding) may have less impact than serious convictions (e.g., drink driving or driving without insurance).
• The number of convictions – A single, low-risk offence may not be a major issue, but multiple convictions suggest a pattern of risky behaviour.
• The time elapsed since the conviction – Convictions are often considered less significant after a certain period (usually five years).
• The nature of your business – If your business involves high-performance or luxury vehicles, the risk to insurers may be higher.

Some insurers may decline your application outright, while others may agree to cover you but charge a significantly higher premium.

Standard insurers may refuse to cover individuals with convictions, but specialist brokers work with providers who offer policies specifically for higher-risk drivers. These brokers can find policies that fit your situation and may offer better terms than general insurers.

Never attempt to hide previous convictions. Insurers have access to databases that track driving records, and failing to disclose convictions could invalidate your policy. Full transparency can also help brokers find the best available coverage.

If your conviction was for a serious offence such as drink-driving, some insurers may look more favourably on applicants who have completed a rehabilitation or advanced driving course. These courses demonstrate a commitment to safer driving and may reduce perceived risk.

If you have a history of running a motor trade business successfully, this can work in your favour. Showing proof of a clean business record, responsible vehicle handling, and proper security measures can reassure insurers.

Under the Rehabilitation of Offenders Act, many motoring convictions become “spent” after a certain number of years. Once a conviction is spent, insurers are no longer allowed to factor it into their decision-making. If your conviction is close to being spent, you may find it easier to secure insurance at a better rate.

Even if you find an insurer willing to cover you, premiums can be expensive. Here are some ways to reduce the cost of your motor trade insurance:

By agreeing to pay a higher excess in the event of a claim, you can lower your monthly or annual premiums. However, ensure the excess is affordable in case you need to make a claim.

If your policy covers multiple drivers, limiting it to those with clean driving records can reduce your premium. Insurers assess the overall risk of all named drivers, so excluding high-risk individuals (even yourself in some cases) can help.

Insurers may offer discounts for businesses that take extra security precautions. Installing CCTV, alarm systems, secure locks, and GPS tracking devices can reduce risk and lower premiums.

If your motor trade business does not require extensive driving, a limited mileage policy can reduce costs. Insurers charge less for policies with lower annual mileage as they assume a lower risk of accidents.

Paying for your policy in one lump sum is often cheaper than spreading the cost over monthly instalments, which usually include interest.

Different insurers have different policies regarding convicted motor traders. Comparing motor trader insurance brokers, especially through specialist brokers, can help you find the most competitive rates.

If possible, maintain a no-claims record on any previous or personal policies. A history of responsible driving without claims can significantly lower your insurance costs over time.

While obtaining motor trade insurance with motoring convictions can be challenging, it is not impossible. By working with specialist brokers, demonstrating responsible business practices, and implementing cost-reducing strategies, you can improve your chances of securing an affordable policy.

If you’re struggling to find coverage, don’t get discouraged, keep searching, be honest about your record, and take proactive steps to show insurers that you are a responsible and low-risk driver.