Minicab Insurance

What is minicab insurance?

Minicab insurance is a specialist insurance product for drivers of minicabs, also known as private hire vehicles. A minicab is a form of taxi that offers a booking-in-advance service, which means it cannot pick up a passenger who has not pre-booked, such as someone hailing a cab from the side of the road.

Minicabs have grown in popularity in recent years because of their competitive pricing and the ease of pre-booking compared with hailing a taxi or queuing at a rank. The cover differs from standard car insurance and from a public hire taxi policy. If you drive a black cab or another hackney carriage, see our main taxi insurance page.

Do I legally need minicab insurance?

Yes. Having minicab insurance is a legal requirement and you will be breaking the law without it. Standard car insurance does not cover carrying passengers for hire and reward.

Beyond the legal position, driving is your livelihood and your vehicle is your main tool, so protecting it is essential. The cover is relevant whether you are an individual minicab driver or the owner of a private hire firm with several vehicles.

What levels of minicab insurance cover are available?

As with a standard car, there are three levels of cover: Comprehensive, Third Party Fire and Theft, and Third Party Only.

• Comprehensive: the highest level of cover, protecting against damage to your own vehicle and to third parties, and covering the driver on both sides.
• Third Party, Fire and Theft: covers damage or compensation owed to a third party in an accident, and covers your vehicle if it is stolen or damaged by fire.
• Third Party Only: the most basic level, covering damage or compensation due to a third party, but not damage to your own vehicle or injury to you as the driver.

People often assume Third Party Only will be cheapest because it offers the least cover, but this is not always the case. Discuss all levels of cover with the insurance specialist when you go through your quotes.

What is public liability cover for minicab drivers?

Public liability cover protects you if an unexpected event causes injury to a customer in your cab, or if a customer's property is damaged. It should financially protect you against the legal or compensation claims that may follow.

As a minicab driver you work with the public every day, so this cover matters. Claims can run into millions of pounds, so make sure public liability is part of your decision when comparing quotes.

What else should I consider when choosing a minicab policy?

Two points often affect how well a policy fits: use outside work and mileage limits.

• Use outside of work: if you plan to use your minicab as your main vehicle outside work, your policy will be affected. Make sure you include this when you request quotes.
• Mileage: minicab policies often set a maximum number of miles you can drive. Opting for unlimited mileage cover means your insurer will not charge you extra for going over an agreed limit.

How much does minicab insurance cost?

There is no single price. The cost of a policy depends on several factors, including your age, location, experience, vehicle and more, and costs can vary significantly between insurers, so it pays to shop around.

There are steps you can take to help keep the cost down:

• CCTV: installing CCTV in your vehicle can help lower the cost of your policy.
• No claims bonus: building up and protecting a no claims bonus shows an insurer you are less likely to claim.
• Security devices: an immobiliser or Thatcham-approved security device can help.
• Telematics: black box cover gives your insurer insight into your driving and usage, and safer drivers can be rewarded with lower premiums.

The most reliable way to find out what you would pay is to complete the quote form and discuss your requirements with an insurer.

What information do I need to get a minicab insurance quote?

You will need details about your vehicle, your cover requirements and yourself.

• Minicab details: make and model or registration plate, type of use and approximate vehicle value.
• Cover details: the level of cover you want, no claims bonus details for your minicab and any private no claims bonus, how long you have held your taxi badge and driving licence, your licensing authority, who will be driving, and details of any claims or motoring convictions in the last 5 years.
• Your details: your name, address, date of birth and contact details.

How do I compare minicab insurance quotes?

Complete one short quote form and specialist taxi insurers on a panel will contact you with tailored quotes. There are no live prices online; the insurers discuss your requirements with you and quote accordingly, and you can arrange cover with the insurer you choose.

Because minicab cover is specialist, it is worth taking the opportunity to ask about public liability, mileage limits and personal use when you speak to each insurer. You will only be contacted by insurers that are able to quote for you.