The recent VW emissions scandal has made it very apparent that car dealers are at risk if they do not have suitable insurance that can offer cover in the case of an unexpected legal dispute. News reports suggest that many motor traders have seen a dramatic decline in sales, and many are concerned about lawsuits against them for selling vehicles with false sales information.
A London law firm has stated that VW falsifying emissions data “is not only a breach of contract but a flagrant breach of EU emissions regulations”. There will be lawsuits, and car dealers are worried that many customers will be in contact with them first.
Legal disputes are a risk for those who work in the motor trade, especially car dealers, this has been made very clear through recent events. Decent motor trade insurance means that legal costs will be covered if you are affected by such a scandal.
Insurance has evolved a large amount over the past decade, there is a variety of insurance deals at a variety of costs depending on your own individual circumstances. As with all forms of insurance, there is a choice of comparison sites that can help you find the right insurance plan for you and your specific individual needs.
Motor trade insurance is also now available for those who are under 25 from various companies. Those of a younger age have had difficulty finding a good insurance plan in the past.
The main benefit offered by motor trade insurance is peace of mind. Recent events have proved that everything can change overnight on occasion, and to know that you are covered if such an event is to occur can be a source of great relief.
Most motor trade insurance companies will offer you immediate cover and flexible payment options, as well as a round the clock claims helpline so you never have to feel alone in times of difficulty.
The importance of knowing you are covered cannot be stressed enough. The comfort offered by knowing you are insured in case of legal disputes or any other issues can put your mind at rest and mean you can do a better job as you will be free of worry.
What does insurance cover?
Motor trade insurance can offer a range of cover. Insurance will cover your personal car, but also those of customers that you are likely to need to drive from time to time. Road risk insurance usually comes in three forms, third party, third party fire and theft, and comprehensive.
Employer’s liability, public liability and product liability are also offered, which in turn cover you if an employee is unlucky enough to be injured, if a product or vehicle you sell is faulty, and if a customer is injured within your premises.
Motor trade insurance can cover you for every possible eventuality, so that if you are involved in a legal dispute that is brought against you either by an employee or a customer, your insurance will cover you for your legal costs.
As the current situation with VW has shown, you can never be sure that something isn’t going to happen that can change everything for those that work in the motor trade, and it is important for you to be ahead of the curve and covered if something like this affects you and your business.
To ensure that you are not punished for the mistakes of others, it is vital that you invest in quality motor trade insurance as soon as possible.
Featured images:
- License: Royalty Free or iStock source: https://pixabay.com/en/vw-volkswagen-sport-stamp-logo-963805/
Gemma Sheldrick is Head of Strategy at DNA Insurance, who provide car and van insurance for all across the UK.
