Everything You Need To Know About Transit Van Insurance

Just like your van, your goods too are exposed to the risk of damage while on the road. Your business can incur massive losses if the goods being transported aren't financially protected. This is where transit van insurance can come in handy.

What is transit van insurance?

A transit insurance policy protects businesses from financial damages that can happen while transporting goods from one place to another.

The policy generally covers transportation by air, sea, road, or rail.

Types of vans covered by transit van insurance in Ireland

Most vans that carry and transport goods are covered under transit insurance to protect their goods and commodities. The Ford Transit Van is a popular choice among businesses which is why their insurance premiums are sometimes cheaper than other vans in the same category.

Who needs transit van insurance?

Anybody who uses transit vans on public roads is required to have at least a third-party insurance policy according to the law. It is especially recommended for businesses and individuals that often transport goods, these include:

• Manufacturers
• Transporters or aggregators
• Importers and exporters
• Traders
• Custom house agents

Benefits of transit van insurance

Transit van insurance has proved to be worth its price because the goods transported have a value of their own. Their damage can not only invite a financial loss but can also affect business relations. Following are the benefits of transit insurance:

• Transit insurance plans offer standardised coverage. This lets you meet the insurance requirements of the destination country when you are transporting goods internationally.
• Transit insurance provides crucial financial support. In the event of goods getting damaged during transit, it helps to stabilise their finances after a loss.
• With all potential losses covered by the transit insurance policy, businesses can sustain profitability. Even when facing contingencies that damage their goods, they can preserve their solvency and market value.
• The policy's flexibility allows for customisation according to specific business needs. This makes it suitable for businesses of all types.

Types of transit insurance policies for goods

Transit insurance policies are available in many variants. These variants are as follows:

• Single transit policy: This policy covers one single journey and is suitable for businesses that do not transport their goods on a regular basis.
• Customised policy: Businesses can tailor this flexible transit insurance policy to meet their specific coverage needs.
• Open policy: This policy covers multiple trips occurring within a given period which is, usually, one year.
• Overnight vehicles insurance policy: This policy is for when the goods are to be stored overnight in a vehicle because it covers the goods.
• Goods in transit (carrier's) cover: This policy covers damages during transportation by another carrier service.
• Goods in transit (own vehicle) cover: If your vehicle is used for transporting goods, this cover would insure the goods against potential risks.
• Multiple vehicles cover: The policy covers more than one vehicle under a single plan.

What is covered under transit insurance?

Individual transit van insurance varies from person to person. There are different levels of covers available for your business van - based on your usage.

Generally, transit insurance will cover common perils that might cause damage to the goods being transported, such as:

• Perils: Earthquakes, explosions, fire, lightning or any type of natural or man-made calamities.
• Accidents: Mishaps like overturning of the vehicle, collisions that cause damage to the goods, derailment, or sinking are covered.
• Mishandling of goods: Risks faced while loading and unloading or packing and unpacking goods. Accidental damages to goods.
• Others: Malicious damages, impact damage, theft, etc.

What level of transit insurance is the cheapest?

As with other van insurances, these are the three levels of coverage for transit van insurance:

• Third-party transit van insurance
• Third-party, fire and theft cover
• Fully-comprehensive insurance

Third-party transit van insurance is usually the cheapest policy as it also provides a basic level of coverage.

What documents do I need to make a claim?

You will have to submit the following documents if you want to claim your transit insurance policy.

• Original invoice of the goods
• Survey report
• Bill of Lading
• The claim form, filled and signed
• Shipping details
• Other documents required by the company

Planning to get transit van insurance?

Besides the legal requirement of insurance, it is proven to be a boon for businesses because it minimises unforeseen financial damage on the road. That's why, when it comes to insurance, you should cover both the van and the contents being transported.

With Paddy Compare, compare various transit insurance quotes across Ireland. Select the one best suited for you after comparing insurance terms and costs from reliable brokers. Simply follow these steps: