Minicab insurance supplies complete coverage for taxi business owners that provide private hire taxi services in the United Kingdom. The type of business conducted by private hire taxi service companies differs from that of public hire taxi services and consequently, insurance coverage for these business models has different terms and conditions. Minicabs are governed by a different set of laws in the UK, which makes their liabilities and risks very different from conventional cabs. For example, minicabs are prohibited from freely cruising city streets to find new customers, as conventional cabs can freely do on a regular basis. Instead, minicabs have to operate from a designated location, which is known as the "sitting area", and customers must have their fare booked in advance as well. The following information outlines various aspects of minicab insurance, and how it differs from conventional taxicab insurance in the United Kingdom.
What Minicab Insurance Covers
Since customers are required to book their fare in advance, minicab insurance coverage involves insuring the assets of both the driver/taxi company, and the customer. Minicabs also tend to accumulate more miles on a weekly and monthly basis than a conventional taxicab, so the coverage must be more extensive for this reason as well. If the minicab were to crash while transporting the customer, the minicab insurance would typically cover the cost of the vehicle repairs, and may also cover any medical bills incurred by the driver or passengers. Minicab insurance will usually also cover the cost of taxi fare paid by the customer as well as any liabilities related to the transportation or safety of the customer, driver, or taxicab company. It is a important to note, however, that each plan's coverage details will differ significantly, so it is therefore imperative to thoroughly compare plans before applying.
How to Compare Minicab Insurance Plans
Perhaps the best way to compare minicab insurance plans is to utilize insurance comparison sites online, that provides centralized user-friendly interfaces in which you can request free quotes from several insurance companies simultaneously, without having to visit more than one site. Travel insurance sites would most likely be the most helpful in this regard, as they would provide a wide range of criteria that you could use to search for a minicab insurance plan that is suitable for your business needs.
Keep in mind that general taxi cab insurance will not suffice for a minicab business because conventional taxicabs are limited in their mileage by certain predefined areas that each taxi is confined to, within a city or metropolitan area. It is also important to note that the cheapest minicab insurance plan will most likely be the least ideal for serious business owners. Canceling one insurance plan is much more difficult than comparing several, so it is advisable to thoroughly examine terms and conditions before applying, rather than finding out in retrospect that the plan is not suitable for your taxi service.
Minicab Insurance Requirements
Before you begin comparing minicab insurance plans, it is necessary to ensure that your business, your vehicles, and your employees need the requirements of any prospect plans. The requirements set forth by minicab insurance providers are generally similar to those set forth for any other type of business liability insurance. However, it is still best to familiarize yourself with these requirements beforehand, as they can differ significantly between various insurance providers and plan types. If you find that your business is not eligible for minicab insurance, it may be necessary to inquire about needed changes that may make your company qualify for the best plan possible. When examining insurance plan details, the business owner should look out for the best interest of their employees and their customers, rather than simply trying to save money.