Hire & Reward Insurance

It’s not always possible to drive a smaller vehicle, because sometimes your work will require a van or truck. However, these bring greater hazards in the eyes of insurers, which tells them you have an increased likelihood of being involved in a road traffic accident.

Those assumptions mean that larger, heavier vehicles are more expensive to insure. If it suits your work to drive a smaller vehicle, it might also be more cost-effective.

Investing in a new van could save you money as they are considered more fuel-efficient and are generally cheaper to run.

Your annual mileage tells your policyholder how much time you tend to spend on the roads, and this helps them determine the likelihood that your vehicle will be involved in an accident. From an insurance perspective, the more time on the road, the greater the risk.

Other factors come into play too, like the type of roads you will be driving (whether these are congested), the time of day you will be driving and overall driving conditions.

Under-25s may struggle to secure hire and reward affordable insurance policies, whereas over-40s have the best chances of finding the most competitive deals.

Having multiple parties covered by one insurance policy might cause it to increase in price, but you can often encourage cheaper deals if the main delivery driver is experienced.

Drivers who have built up a no-claims bonus usually benefit from cheaper insurance quotes, and most insurers will take into account whether you have made claims in the past few years.

Telematic or “black box” technology is a tracking device insurers have installed in your delivery vehicles. It collects your driver’s driving history and is used to determine the price of your hire and reward insurance premiums. Essentially, the safer the driver, the cheaper your insurance policy will be.