newbie soletrader-van insurance

[potoca]

Hi

I've just started my business as a sole trader and just today bought my van (I am a garden designer). When asked what name to put on the cash receipt for the payment of the car I answered with the name of my company...but now I am wondering whether I did the right thing as I am worried about the price difference that might mean on my van insurance...I have never owned a car before and know that my insurance, no matter what I decide to get, will be expensive and I need to keep the costs of the car down...So my question is..should I call the car seller and ask him to register the car in my name or should I keep it in the name of my business?? Am I right in thinking that my van insurance will be more expensive if I insure it as a sole trader van?? Please help!! Many thanks.
Forgot to mention that I will also be using the car for leisure so I expect it will be a 50-50% usage to start with...maybe changing as my business picks up...

 

[David Griffiths]

As you are a sole trader, you do not have a company as such, just a business name. It makes no difference to insurance what name is on the receipt - it is your vehicle and you must insure it for business and private use.

It's the use that you put it to that matters to insurers, not the name on a receipt. I take it that the registered keeper of the vehicle is you, in your own name?

I have to say that it's not at all clear from your post if you actually have a car, a van or both!

 

[potoca]

David

Sorry about that..I just bought the van today!! feeling a bit overwhelmed with the business already...Yes, I will be the sole keeper of the vehicle. And the car trader I bought the van from didn't ask me in what name he should register and hence my doubts right now...as I wrote before...the name on the purchase receipt is the name of my business..

 

[DeanCo]

If you are a sole trader you could have the receipt in your name or your trading name, which for tax and insurance purposes is irrelevant. Your insurance company should only cover you for business use if your request it.

If you are using your vehicle for business and leisure you really should tell your insurance company anyway. Failure to do this could mean you are not covered in case you need to make a claim and could also mean problems with the law.

 

[JEREMY HAWKE]

As you are the only driver it wont have any effect on the costs if it is registered in your sole tradership

 

[TheGuru2010]

Good Morning, As other posters have stated, it will only effect your insurance (not a massive amount) if you are a limited company & the vehicle is registered to that limited company.

With the vehicle been in your name or company name it wont make any diffrence as you are a sole trader.

A couple of tips to look to reduce your premium
1. Rember to insur as a commercial vehicle & add pleasure use.
2. if you have 0 no claims bonus have a look at taking your ncb from your car & place these on your van (this may be more cost effective).
3. Make sure you have a good shop around, there are lots of companys that will mirror your no claims bonus to your van (Dependant on your personal driving history)
4. Always look to add your spouse/partner onto the policy (this can reduce your premium slightly)
5. If you park your vehicle on the drive but do have a garage etc, always look how cost effective it would be to use your garage instead (We have a insurer who are 50% cheaper than the rest of the market but only quote if your vehicle is garaged), once we tell clients of this they often clean out that garage!
6. Try to get your milage as accurate as you can as this will effect the premium (You would be amazed how many people state 15,000 miles when they acctually do about 6,000)

I think thats about the lots for the time been, good luck with your search & dont forget to make sure you look into your Liability Insurance