Taxi Insurance – A Brief Overview

Taxi Insurance – A Brief Overview

What is taxi insurance?

Taxi insurance is a safety cover for taxis. The frequency of road accidents has risen like never before. In that dangerous scenario, cab drivers and the cab are both at risky since all their working time is spent traversing the high traffic ridden roads. In case of accidents, taxi insurance provides different types of covers like road damage, car damage, alternative party damage, passenger injury cover and legal cover. Taxi owners can choose covers they feel they are most likely to utilize. Taxi insurance is really a back-up for taxis and their drivers.

What is the need of auto insurance?

The answer to the question is the same as for the question regarding necessity of insurance for a private car. In the event of taxis, the chance is more pronounced because taxis are more exposed to the risk of accident and damage on the highway. Further, passengers can’t be held responsible to cover damage if they are in the taxi when the accident occurs. The entire monetary burden falls on the shoulders of the taxi owner. Taxi insurance provides cover in times of accidents. It offers monetary relief to taxi owners by covering for various damages. Lawsuits cause major expenditure if the other party mixed up in accident files it against the cab company. Since lawsuits devote some time and money, having an insurance to fall back on can be quite a huge respite in scorching situations.

What are the forms of taxi insurance?

Automobile insurance is of two types – private hire insurance and public hire insurance. Private hire services are services where the taxi transports passengers only if they have booked beforehand. Public hire services are the services where in fact the taxi could be booked in either advance or hailed off on the highway. Insurance is provided for both these kinds of taxis services. Generally, private taxi hire insurance is cheaper than public hire insurance. The insurance coverage needs to be chosen keeping in mind the sort of services that the taxi company mostly provides.

Insurance for the whole taxi fleet

Many taxi companies have more than one vehicle. In order to save costs, insurance can be taken for your taxi fleet rather than a single insurance for every taxi. However, insurance companies have limits while giving fleet insurance like the minimum number of cars. Even though monthly premium for fleet insurance is more than that for a single taxi, it is significantly less than the sum of all of the insurance policies of individual taxis put together. Therefore, they grow to be more cost-effective.

Where to find taxi insurance?

6 seater’s taxi can be found with all major insurance companies. You can also look for auto insurance online. However, before buying a policy, you must consider several factors like your budget, kinds of covers that you will require, the condition of where your service operated and the expertise of one’s drivers. Taxi insurance may be the most important safety feature for a taxi company and as such, its significance shouldn’t be neglected.

Leave a Reply

Your email address will not be published. Required fields are marked *