Do I Need Cab Car Insurance?
If you are the driver of a cab, or Hackney, taxi, private hire vehicle, you are required to be licensed by the local authority in which you operate. There are different levels of license; some allow cabs to pick up passengers from the street or taxi rank, whereas others need to have a pre-booked journey.
Just like standard car insurance, cab car insurance comes in three different levels of cover, basic cover is either third party only, or third party, fire & theft, whereas advanced or full cover is known as comprehensive insurance.
In addition to have a license to operate a taxi, you also need cab car insurance to protect yourself, your vehicle, your passengers and other road users. A valid certificate of motor insurance is needed for any driver on a public road, but as a taxi driver there are further risks which need to be mitigated against. Failing to insure your vehicle can lead to heavy fines and driving bans so it is absolutely essential on both a moral and legal basis that you invest in suitable cab car insurance.
As would be expected private hire vehicles cover many more miles than the average driver in one year, it is usually at least twice the mileage but can often be much more. Cab drivers are also more likely to be operating as a private hire vehicle in busy parts of the day such as rush hour, further increasing the chance of an accident. This means that cab car insurance is more expensive than standard motor insurance, but it will ensure that you are adequately protected.
Cab car insurance can be purchased from the majority of high street insurance providers, but also specialist expert taxi insurers. A policy from either would be suitable and legal but you might be able to get better advice from a specialist. Whatever you decide to do, ensure that you have a policy that is able to meet your needs.
You might want to consider optional extras such as legal cover, accidental damage and personal accident cover to keep you protected against the additional risks of being a cab driver.