Insuring a fleet of vehicles

Plenty of businesses run a few vans or cars that several people drive. Keeping every one of them insured is part of the job of whoever looks after the fleet. This page covers what UK law expects, and the checks and records that sit alongside the policy.

What the law asks

Every vehicle driven on UK roads needs motor insurance. Third party cover is the legal minimum. It pays for damage or injury you cause to other people, vehicles, animals or property. It does not pay to repair your own vehicle.

The vehicle being insured is only half of it. The person driving also has to be insured to drive it, or they can be penalised. The police can seize a vehicle being driven without insurance.

Who is covered to drive

A motor policy covers the uses it permits. The Association of British Insurers (ABI), the insurance industry's trade body, notes that using a vehicle for business without business cover falls outside a policy. Carrying passengers who pay a fare needs its own hire and reward cover.

The ABI also warns against fronting. That is where the person who mainly drives a vehicle is listed only as a named driver, to bring the price down. It is a form of insurance fraud.

The insurance database

The Motor Insurers' Bureau looks after Navigate, the central record of insured vehicles in the UK. Through its askMID service you can check for free whether your own vehicle shows a live policy. A new or renewed policy can take several days to appear. Until it does, the bureau suggests keeping the policy details to hand in case the police stop the vehicle.

Checking drivers' licences

The Driver and Vehicle Licensing Agency (DVLA) runs an online service for checking someone's licence, with their permission. It shows the vehicles they can drive and any penalty points or disqualifications. The driver gives you a check code and the last 8 characters of their licence number. Each code can be used once, within 21 days.

Managing road risk

The Health and Safety Executive (HSE) treats driving for work like any other work activity. Employers must assess the risks, looking at the journey, the driver and the vehicle. The same law applies to grey fleet vehicles, which workers own and drive for the business.

HSE suggests daily vehicle checks, planned maintenance and a clear rule that unsafe vehicles stay off the road. It points out that an MOT only covers basic defects. It has also published research on telematics and other safety technology in work vehicles.

If something goes wrong with the insurer

Complain to the insurer first. A firm generally has 8 weeks to give you its answer in writing. The Financial Ombudsman Service helps consumers and small businesses with complaints. It asks you to contact it within 6 months of the firm's final response. Before buying any policy, the Financial Conduct Authority's Firm Checker shows whether a firm is authorised.