In this guide
How Vehicle Storage Affects Your Motor Trade Premium
Where and how you store your vehicles can have a big impact on your insurance premium and in some cases, even affect whether you can get cover at all. Insurers don’t just look at what you trade or how often, they care just as much about where the risk sits overnight.
This guide explains what factors insurers look for when assessing your storage setup, and what it means for your cover.
Why storage matters
Vehicles are one of the most targeted assets in the motor trade. Theft, vandalism, fire, and accidental damage can all occur during storage, particularly overnight, when premises may be unattended.
Because of this, insurers often base part of your premium on:
- The type of storage (open yard, unit, home driveway)
- Security measures in place (CCTV, gates, lighting)
- Whether vehicles are locked and immobilised
- Who has access to the premises
Even if you only keep a handful of vehicles on site, the perceived risk can drive up your premium if your setup is deemed insecure.
Working from home? You’re not exempt
Many smaller traders operate from their residential property, either as part-time sellers, valeters, or mechanics. But insurers will still want to know:
- Where vehicles are kept (driveway, garage, street)
- Whether the area is private and enclosed
- If customers ever visit the property
Some insurers are cautious about this arrangement, especially if you share the space with personal vehicles or other residents. We've broken down how this works on our page about motor trade insurance from home premises.
Shared sites and multiple users
If you're using a shared site, for example, a trader’s yard or commercial estate, make sure you can document:
- How many other businesses use the space
- Who is responsible for perimeter security
- Whether access is controlled or unrestricted
Insurers may request proof that your vehicles are separated, monitored, or clearly logged as your responsibility.
How to lower your risk rating
- Install CCTV with visible signage
- Use steering locks and immobilisers on all vehicles
- Ensure perimeter gates are locked after hours
- Use lockable bollards or barriers if working from a driveway
Even small changes can make a measurable difference to how insurers assess your risk.
Be honest when declaring your setup
Tempting as it may be to declare a more secure setup than you actually have, doing so can void your cover, especially if a claim occurs and the storage conditions don’t match your application.
If your storage is limited, speak with a broker about what’s acceptable. Some insurers are flexible if you’re transparent and taking reasonable steps to protect vehicles.
Frequently asked questions
Does where I store vehicles affect my motor trade insurance?
Yes. Insurers base part of your premium on the type of storage, security measures such as CCTV, gates and lighting, whether vehicles are locked and immobilised, and who has access. In some cases storage can affect whether you can get cover at all.
Can I get motor trade insurance if I store cars at home?
Insurers will want to know whether vehicles are kept on a driveway, in a garage or on the street, whether the area is private and enclosed, and whether customers visit. Some are cautious if you share the space with personal vehicles or other residents.
How can I lower my motor trade storage risk rating?
Install CCTV with visible signage, use steering locks and immobilisers on all vehicles, lock perimeter gates after hours and fit lockable bollards or barriers if working from a driveway.
What happens if I overstate my storage security to an insurer?
Declaring a more secure setup than you actually have can void your cover, especially if a claim occurs and the storage conditions do not match your application. If your storage is limited, be transparent with a broker about what is acceptable.
What do insurers ask about shared trader yards?
How many other businesses use the space, who is responsible for perimeter security and whether access is controlled. They may ask for proof that your vehicles are separated, monitored or clearly logged as your responsibility.
Michael Foote, Insurance & Finance Expert
Michael Foote is the founder of Quote Goat and has over 20 years experience working in finance & insurance. Since launching Quote Goat he has appeared on TV as well as many of the largest online publications including Forbes, The Telegraph and The Metro. Prior to Quote Goat, he worked in finance in the city.
