Before you buy any type of insurance, you must first do your research and learn something about the policy you’re about to acquire. We know that decision-making becomes difficult for the customers because they do not understand the terms used in the policies. So to be able to assist you a little, here are some of the jargons and phrases being used in the motor trade insurance industry.

Road Risk Cover - This is the most basic level of cover that most traders need to run their business. It allows you to drive vehicles on the public highway for social and motor trade purposes. This cover can be comprehensive, third party fire and theft, or third party only.

Combined Policy - It covers what the Road Risk policy does but in this plan, you can mix and match it with additional covers.

Demonstration Cover - There are two types of cover for this – accompanied and not. This ad-on to your policy allows a potential purchaser of your vehicle to test drive it. With accompanied, you will have to sit next to the driver but with unaccompanied, you can loan the customer the vehicle for a period of time.

Additional Business Use - This beneficial addition allows you to carry out your motor trade business while having a secondary occupation.

These are just some of the terms being used in motor trade insurance. We hope that in this article, we have somehow helped you in making a knowledgeable decision.