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Last updated: 28 October 2021
All drivers need to be insured, but if you are a van driver who carries goods for delivery you will need to make sure your van is properly insured. Courier van insurance is for drivers who make multiple drop-offs locally. This is not the same as haulage insurance. It’s important to choose the right cover for your vehicle use. Our guide will take you through what courier van insurance is, and whether you need it.
What is courier van insurance?
Both courier and hauliers van insurance cover your vehicle for making deliveries. Which one you need will depend upon the type of deliveries you are making.
- Hauliers insurance is for longer journeys with fewer drop offs.
- Courier insurance is for multiple deliveries within a smaller area.
Make sure you choose the right insurance for your vehicle and work, or you risk not being covered when making a claim.
If you are using your van to make deliveries locally then courier van insurance will cover you in case your van is lost, damaged, stolen, or if you cause damage to a third party. Sometimes it will cover the cost of goods you are transporting in case anything happens to them during transit. However, this depends on the level of cover you choose.
How does courier van insurance work?
Courier van insurance is usually made up of multiple policies. Standard van insurance policies cover the vehicle alone. Courier van insurance can either be bought separately, or added to your standard insurance. It will typically cover goods in transit, but not always.
Make sure you check the wording of your agreement before you buy courier insurance.
To make sure your van is properly covered for making business trips you will need to tell your insurer that you plan to use your van for carrying goods. You may also have to tell them what kind of goods you will be delivering as this could affect your cover.
You might also want to consider adding liability insurance to your policy. Public liability insurance and employers liability insurance will ensure you are covered against claims that could be made against you in your job.
What does courier van insurance cover?
Courier van insurance covers you for driving your van when delivering goods for business purposes. It may also cover the goods you’re delivering while they’re in transit. Some policies may even cover the goods if they’re locked in your van overnight.
The level of cover your courier van insurance offers will depend on the type of business van insurance you choose:
- Third party only cover is the minimum level you will need to drive your van. It covers the cost of damage to another person’s vehicle or property, but you and your own vehicle will not be covered.
- Third party, fire and theft cover adds to third party only by also covering damage caused by fire, theft or attempted theft.
- Fully comprehensive cover is the highest level of cover available and covers accidental damage to your van whether caused by you or another driver. It will also cover everything under third party only, and third party, fire and theft.
Will I need separate cover for goods in transit?
As a courier you will need to cover the goods you are transporting. Some courier van insurance covers this as standard, but other policies do not so you will need to check the wording carefully.
If your courier van insurance does not cover goods in transit then a goods in transit policy can usually be added. This covers the value of goods and cargo you are carrying in case of theft, damage or loss in transit. If you leave goods and cargo in your van overnight then check that this cover is included too.
You will usually find there are exclusions on transporting extremely valuable goods such as jewellery or fine art. Make sure you check your policy if you are transporting high-value items.
Do I need courier van insurance?
If you are driving for a living and regularly transporting goods for customers then courier van insurance is essential.
It’s vital you get the right coverage for your vehicle use. If you only insure your van for social trips but actually use it for business trips, your insurance will be invalid. If you are caught doing this then you will be considered to be driving uninsured.
To make sure you are properly insured for your vehicle use it is important to read your insurance documents carefully, and to be totally honest with your insurer. You can compare van insurance with usave to make sure you take out the right policy for your needs and for the best price.