Keeping your van and other commercial vehicles on the road could be critical for your income. If you’re unfortunate enough to be involved in an accident, you want to be assured that your work’s van is covered for accident and damage protection.

It’s important to note that every type of commercial vehicle insurance carries an excess. This is the amount that is payable by you to cover the costs to repair or replace your commercial van in the event of an accident, fire, or theft.

The purpose of excess is to prevent people from attempting fraudulent claims. It also helps to keep monthly premiums to a minimum.

However, if you are not able to pay the excess, your insurance company will refuse, or delay compensation for repairs. This will inevitably keep your van off the road - and you out of work for longer than you would like.

Does Commercial Vehicle Excess Insurance Reimburse My Garage For Accident Damage?

When you submit a commercial vehicle insurance policy claim, the company typically refers you to a registered garage. Repair costs are paid to the garage once the repair has been completed.

You will be responsible for paying for the garage out of your own pocket. If the cost of repairs is above the excess stated in your insurance policy, you will be reimbursed for the cost by your insurer.

However, take care to note that you may not be reimbursed for the full amount you paid over the excess if the vehicle is returned to you in better condition than before.

For example, the mechanic may carry out some work on the engine or replace an old exhaust. If the repairs were not due to the accident, the insurer is not responsible to recompense you for the cost of “additional repairs”.

Most commercial vehicle insurance excludes costs for wear and tear such as replacing tyres and tubes or other mechanical breakdowns. These costs will be incurred by your business in addition to the excess.

What Forms Of Transport Are Classed As Commercial Vehicles?

Not all vehicles are classed as commercial vehicles - regardless of whether you use the car for work or not. A commercial vehicle is classified as a van or a truck that is designed for the specific purpose of transporting goods.

The following list falls into the category of commercial vehicles:

• Panel van
• Double-cab-in-van
• Pick-up truck
• Dropside van
• Tipper van
• Chassis cab

Do You Need Commercial Vehicle Excess Insurance?

You don’t need commercial vehicle excess insurance, but it could save you a significant amount of money - especially if you are insuring a business fleet.

If you’re still undecided whether van insurance cover is right for you, why not get in touch and speak with one of our advisors.

We can talk you through what the van insurance policies cover, how much it will cost and how much you could potentially save if your commercial vehicle excess insurance leaves you out of pocket.