If you have just got into or are thinking of getting into the taxi business, it is important that you make sure you take out taxi insurance for your vehicle. With this in mind, there are a number of things that people generally want clarification on when taking a policy for their cab. We have given the answers to the most common questions below and hope that they will assist you when looking for the right cover.
What is the difference between taxi and private policies?
The biggest difference is that by taking out taxi cover you are protecting any customers that you take anywhere. This is due to the policy including public liability cover.
What is the difference between private hire and public hire?
A private hire taxi is one that must be pre-booked prior to picking anybody up. It is illegal to hail a private hire cab off the street and doing so can land the driver with large fines and may lead to them having their licence revoked.
Alternatively a public hire taxi is one that does not need a booking and can stop to pick up people off the streets. They are primarily used in city centre areas and are governed and regulated by the local councils.
Can I use my own personal car as a taxi?
It is ultimately the decision of your local authority to say which vehicles can be used for taxi purposes. If your car is only a small, three door variety then it is not the most suitable option for use as a taxi. Generally though, as long as your vehicle is of suitable size and accessibility it should be fine.
Can a private no claims bonus be transferred over?
You will find that a lot of insurance providers will be able to transfer over your no claims bonus from a private policy. You should make sure that you check whether you can get any discounts to your premium with this.