With an ongoing Royal Mail dispute plus the usual last minute online shopping splurge, it’s tempting to look at doing some freelance delivery work right now. But are you insured on your normal car policy? No, fact is most car insurance policies DO NOT cover you to do any work using the vehicle, only drive to and from a work location – and that’s if you ticked Commuting at the Quote stage. Social Domestic doesn’t cover you for any freelance gigs. You need a thing called Goods in Transit insurance as a minimum – if you’re stopped by the Police they can seize your car for having no valid insurance.
Here’s more info from Quotezone.
Thousands of UK motorists are expected to take part-time driving jobs as side hustles this month to help earn some much-needed extra cash for Christmas, but experts from Quotezone.co.uk have warned drivers that they could be at risk. Many drivers may assume that because they have private car insurance or they have informed their insurer that they are now using the car for business purposes, they will be covered – but they won’t be.
Courier insurance takes into account the additional miles likely to be travelled, the elevated risks associated with the vehicle being driven in heavily built-up areas – plus cover for vehicles that perform multiple pick-ups and drop-offs within a specific area. It also has the option to add goods-in-transit insurance to ensure all goods carried, such as parcels, are protected.
Not having the correct insurance can void your insurance policy, meaning delivery drivers would actually be driving without insurance and could face a hefty fine, penalty points and be left unprotected should they need to make a claim.
RISING DEMAND GENERALLY
The cost-of-living crisis has also increased enthusiasm amongst many car owners to turn to their vehicles to make some much-needed extra money – with 81% of demand for courier insurance in 2022 using cars. The number of drivers taking out bespoke courier insurance is up 44% this year on last, according to the latest Quotezone.co.uk figures – with a noticeable increase from April to May, when the cost-of-living crisis officially began.
Founder of Quotezone.co.uk, Greg Wilson, said: “There could be thousands of delivery drivers working across the UK without realising their insurance is not valid. With the cost-of-living soaring, millions of people are taking a hard look at their finances and seeking additional ways to earn a little extra cash.
“If you have a driving licence and access to a vehicle, signing up for work as a courier or delivery driver is a flexible and relatively straightforward way of fitting in extra work around busy lives – adding additional income in the build-up to Christmas. But what many drivers might not know is that their private car insurance policy won’t cover them while they’re operating as a courier, even if they add ‘business use’ to that policy.”
New delivery drivers should also take care not to leave the car ‘idling’ while dropping off, leaving the engine running can lead to fines as well as damage to the environment, air quality and the health of those nearby.