Best Insurance for Your Van in 2022

Best Insurance for Your Van in 2022

What Is Van Insurance?

Van insurance is a type of automotive insurance applied exclusively to van owners/renters.

It is one of the many requirements for businesses that rely on the continuous use of vans:

  • Plumbers
  • Electricians
  • Caterers
  • Florists
  • Movers
  • Mobile restaurants

Such businesses are required by law to retain an active van insurance policy.

Failure to do so will leave van users liable to legal repercussions, including license suspension and having their vehicle impounded.

In this article, you'll learn more about the different types of van insurance, what it covers and the things you should look out for before signing up. The top van insurance companies in the US and UK are also listed.

Top US Van Insurance

1. AAA Auto Club Group

Auto Club Group is an AAA (American Automobile Association) membership-based service that offers insurance premium discounts. It is one of the largest AAA branches, with over 60 million members across the US and Canada.

Auto Club Group provides plenty of discounts and benefits for AAA members, as well as unique coverage options. The company also provides exclusive forgiveness benefits to its members.

There are numerous discounts to insurance premiums that members are entitled to, as well as membership perks:

  • AAA Member Discount – Discount based on the length of your AAA membership
  • Pay-in-Full Discount – Discount on full payment within seven days of receiving your policy
  • Multiple-Product Discount – Discount when bought as a bundle with other insurances (for example – home or life insurance)
  • Enhanced Total Loss Replacement – A newer (by at least one year) vehicle will be provided in the event of the total loss of your initial vehicle
  • Small-Claim Forgiveness – If you claim under $750, your premiums will not rise after your claim.
  • Claim Forgiveness Loyalty – Your premiums will not go up after a claim if you have not had an incident in the last five years.

Visit AAA Auto Club Group

2. AAA Northern California, Nevada & Utah

AAA Nothern California, Nevada & Utah (AAA NCNU) is another of AAA’s largest motor clubs, providing insurances across the Northern California area.

AAA NCNU provides several exclusive benefits for its members. Like other motor groups, you must be a member to receive these benefits.

Depending on your level of membership, you will be able to enjoy benefits such as:

  • Free towing
  • Fuel delivery
  • Reimbursement of locksmith fees

Along with the standard business and private vehicle coverage, AAA NCNU offers a comprehensive set of perks, including its 24/7 roadside assistance.

Visit AAA Northern California, Nevada & Utah

3. USAA Auto Insurance

USAA Auto Insurance is an award-winning auto insurance company that provides convenient and simple ways to set up insurance plans.

The company is most popular with US military members, as current and former members and their families are included in its list of exclusive discounts.

One of the provider’s main features is the USAA mobile app that offers 24/7 service.

With the app, you can do any of the following:

  • Quickly provide proof of insurance
  • Add vehicles and drivers to your insurance plan
  • Change your coverage
  • Pay your insurance bills
  • Request roadside assistance
  • Manage your claims

USAA’s discounts include (but are not limited to):

  • Military on-base discount — Military personal can receive a discount based on their vehicle use while on base.
  • Automatic payments discount — Setting up automatic payments can save 3% on your insurance premiums.
  • No fees for monthly payments plan — Receive a discount based on limited vehicle use per year.

Visit USAA Auto Insurance

Top UK Van Insurance

4. 1st Central Insurance

1st Central Insurance provides a comprehensive and useful insurance option for newer and experienced drivers.

The provider has received overwhelmingly positive reviews from its users due to its competitive price, unique membership perks and 24/7 effective customer service.

1st Central provides a unique list of benefits:

  • In the event of irreparable damage or loss, new drivers will receive a replacement vehicle if they are within 12 months of owning the original vehicle.
  • You can opt for 24-hour breakdown assistance as an addition to your coverage.
  • Five-year warranty on all repairs
  • Up to £1,500 coverage for lost keys

Visit 1st Central Insurance

5. One Call Insurance

One Call Insurance provides standard auto insurance coverages at exceptionally competitive prices. The company promises the lowest prices compared to over 100 insurance providers in the UK.

As an insurance broker, One Call works with several insurers to provide its members with the best premiums for their coverage options.

All members are provided with free breakdown coverage.

Costumers with the Basic plan will receive free roadside assistance twice a year. Every subsequent breakdown service will cost £20.

One Call Insurance’s unique discounts include a telematics discount — a discount provided to new van drivers with black box technology.

Visit One Call Insurance

6. Swinton Insurance

Swinton Insurance is an insurance retailer that's over 60 years old. This company provides comprehensive auto insurance coverages with 24-hour customer support.

Swinton Insurance provides some of the UK’s most reliable van breakdown coverage, with over 3,000 roadside operators around the country and an average response time of 50 minutes.

You will also receive reliable legal coverage with up to £100,000 available towards your legal expenses. In addition, you can contact the 24-hour helpline to make your claim and receive immediate service.

Visit Swinton Insurance

7. Co-op Insurance

While a part of a franchise known chiefly for its retail services, Co-op Insurance provides comprehensive auto insurance with high-value coverage.

The coverage and benefits from this insurer include:

  • Replacements of locks for up to £500
  • Guaranteed repair when using an approved repairer
  • Coverage for personal belongings for up to £250
  • Courtesy van for up to 14 days during repairs
  • 24-hour recovery service in the event of an accident
  • £250 towards misfuelling incidents

For business/commercial van users, Co-op Insurance will also cover your tools for up to £10,000, making it a highly desired insurer for independent businesses and freelancers.

Visit Co-op Insurance

8. Hastings Direct

Hastings Direct is one of the UK’s leading insurance brokers, providing various services across the nation.

Along with the standard auto insurance features such as breakdown covers and no-claims discounts, you are also provided with policy premiums from over 40 insurance brokers to compare.

As one of the UK’s most trusted insurers, Hastings provides reliable customer support as well as unique features of its own:

  • Unlimited coverage for windscreen and glass
  • Protection of your no claims discount
  • Personal items coverage of up to £250
  • Van entertainment system coverage of up to £750

The multi-award-winning insurer is excellent for reliable and comprehensive auto insurance services.

Visit Hastings Direct

9. Carole Nash

Carole Nash provides comprehensive covers for private vans and camper vans.

Membership with this insurer will include:

  • Up to 45 days of coverage when traveling to European countries outside of the UK
  • Legal coverage of up to £100,000 for accidents that were not your fault

Carole Nash provides advanced coverage for campe rvans, backed with 30 years of experience, awards and overwhelmingly positive reviews.

Camper Van Policy Benefits

  • UK and EU breakdown recovery
  • Legal coverage for up to £100,000
  • Owners club discounts
  • Limited mileage discounts
  • Coverages of fixtures and discounts
  • Up to 90 days of coverage when traveling to European countries outside of the UK

Visit Carole Nash

10. Saga

Saga provides the nation’s best coverage for motorhomes and caravans. However, this option is perfect for personal use, and it serves customers over 50 years of age.

Motorhomes are insured for use in both the UK and Europe. So, there is no time limit on how long you can be insured while you’re out of the country.

Customers can purchase the standard Saga plan or Saga Plus. With Saga Plus, your premiums will remain the same after three years, and will not rise after most claims.

Saga provides standard van insurance. However, you will also receive advanced legal and medical covers as well as roadside assistance and recovery.

All of these features are included in one of two membership plans.

Visit Saga

Best Insurance for Your Van
Best Insurance for Your Van

Which Risks Does Van Insurance Cover?

Various insurance policies cover different risks and needs. Therefore, the efficacy of the policies will generally depend on the needs of the van user.

Van insurance is primarily required for covering risks that van users are subject to. Coverage of these risks will depend on the level of insurance you purchase but will generally include the following:

  • Fire
  • Accidental damage
  • Vandalism
  • Theft
  • Road collisions
  • Glass breakage
  • Property damage
  • Bodily harm
  • Lost keys
  • Incorrect fuel use

Some insurance policies will even offer the opportunity to cover the usage of the van while abroad.

In the case of these risks, the insurance policies will provide numerous methods of coverage (depending on the level of insurance):

  • Repair costs
  • Replacement of equipment
  • Supplementation of medical bills
  • Provision of a replacement van until repairs are made to the initial van
  • Uninsured or underinsured motorist’s policy (coverage for third-party motorists who are unable to cover the cost of damages)

Costs Differ Depending on Use

Van insurance works in a similar way to car insurance. However, van insurance is a lot more expensive.

The van insurance price will differ depending on your use: commercial/business or private/personal purposes.

The insurance cost will be higher for commercial/business use due to a much higher risk assessment.

Vans for commercial/business purposes are considered more valuable, as they often contain larger quantities of valuable goods susceptible to damage or destruction.

Insurance companies will provide separate insurance policies for commercial/business use and private/personal use.

Regarding rentals, insurance policies will only provide limited coverage to protect themselves from unnecessary liabilities.

What Are the Available Levels of Coverage?

  • Third-party only (TPO)
  • Third-party fire and theft (TPFT)
  • Comprehensive cover

Third-Party Only

The TPO insurance policy is the weakest level, as it does not cover the costs of damage done to your vehicle in any event.

It covers:

  • Damage costs of the third party in the event of a collision

Third-Party Fire and Theft

TPFT policy is similar to the TPO insurance policy but covers slightly more:

  • Damage to your vehicle in the event of a collision
  • Damage costs of the third party in the event of a collision
  • Damage or loss of your van from combustion (by fire, lightning, explosion, etc.)
  • Damage or loss of your van from theft or attempted theft

It is important to note that the TPFT insurance policies do not cover accidental damage to your vehicle.

Comprehensive Cover

The comprehensive cover is the strongest level insurance policy and generally works out to be the cheapest option.

It is essentially a combination of the TPFT and the TPO insurance policies with extra coverage:

  • Damage to your vehicle in the event of a collision
  • Damage costs of the third party in the event of a collision
  • Damage or loss of your van from combustion (by fire, lightning, explosion, etc.)
  • Damage or loss of your van from theft or attempted theft
  • Accidental damage to your van
  • Medical expenses

What Are the Types of Coverage?

Different van insurances will provide various coverage based on the nature of your van use.

Some insurance policies will provide a list of coverage tailored to private/personal use, while others focus on business/commercial use (for example, numerous employees).

Here is a list of the standard van insurance coverage:

  • Standard business/private van insurance – This covers the cost of damages caused to your and third parties' vehicles and properties
  • Public liability – This will cover the cost of legal repercussions due to the injuries or death of third parties while using your van.
  • Employee liability – This will cover the cost of legal repercussions due to the injury of employees while using the van during business hours.
  • Goods-in-transit coverage – Compensation will be provided in the case of loss or damage to any items in transport.
  • Windscreen coverage – This covers the cost of windscreen repair or replacement.
  • Roadside assistance – You will be provided roadside assistance in the event of a breakdown.
  • Overseas use – This will cover the costs of any incidents that may occur while driving in other countries.
  • Unlimited mileage allowance – When renting a van, you have to typically pay for every 10 miles travelled. Unlimited mileage allowance allows you to pay the same amount for 10 miles travelled while traveling indefinitely at no extra cost.
  • Courtesy Van Coverage – A replacement van will be provided while your initial van is being repaired.

What Types of Van Insurance Are Available?

Van insurance is similar to car insurance, especially since driving a van without van insurance is illegal.

However, insurance policies will take different risks into consideration.

For example, insurance companies understand that van drivers are typically a lot more reliant on their vehicles, using them more frequently and for a variety of purposes, exposing them to more risks.

In the event of loss or damage, car insurance will cover the loss of a car but not the loss or damage of any work-related materials inside the car.

Conversely, van insurance policies provide the option to ensure any work-related items in the vehicles will be covered in the event of loss or damage.

Courier Van Insurance

Courier van insurance (also known as 'Carriage of Goods for Hire or Reward') is specific to vans used for business/commercial purposes.

It is a legal requirement to have this insurance when transporting goods that do not belong to you.

This insurance type covers the vans used to transport goods and materials multiple times within a local area.

The average cost of this kind of insurance is around £1,080 when choosing the comprehensive cover level policy.

This will not cover vans used for home-moving purposes or vans transporting fragile items.

Coverage

Depending on the level of insurance you purchase, the coverage will include the following:

  • Standard business van insurance
  • Public liability
  • Employee liability
  • Goods-in-transit coverage
  • Courtesy van coverage
  • Windscreen coverage

Courier van insurance typically requires you to speak with the insurer to choose from a package of coverage instead of receiving a list of predetermined coverage.

Haulage Van Insurance

Haulage van insurance is similar to courier van insurance.

However, instead of covering vans transporting goods multiple times in a local area, haulage insurance covers vans delivering goods to one or two destinations over a long distance.

It is the more expensive option, with the average price being £1,244 when choosing the comprehensive cover level policy.

The insurance price will also increase based on the distance generally travelled while using the van.

Coverage

Since this has very little difference to the courier insurance, there are only slight differences in the coverage provided:

  • Public liability
  • Employee liability
  • Goods-in-transit coverage
  • Courtesy van coverage
  • Unlimited mileage allowance
  • Roadside assistance

Carriage of Own Goods Insurance

Carriage of own goods insurance is the most popular for business-related van users.

This insurance type is typically directed to van users who carry their own tools, products or personal items to and from work.

Finished items or products to be delivered will not be covered by this insurance policy and will require a courier or similar policy.

The average cost of the carriage of own goods insurance is £983 when choosing the comprehensive cover level policy.

Items in the van will only be insured when you declare them as work-related to your insurer.

You must also tell your insurer if any of these items are dangerous in any way (toxic waste, chemicals, fuels, etc.) so that they may conduct an accurate risk assessment.

Certain factors will affect the price of the insurance policies:

  • The size of your van – Insurance companies will see larger vans as a bigger risk, being more prone to accidents and attracting more thieves.
  • Cargo value – The higher value your cargo is, the more of a liability it will become to the insurers.
  • Road time – As you spend more time on the road, you will have a higher chance of having an accident.
  • Driving history – An insurer will make a risk assessment based on your driving history; if you've had only a few incidents, the insurance price will be lower.

Coverage

  • Overseas use
  • Public liability
  • Courtesy van coverage
  • Windscreen coverage
  • Roadside assistance

Social, Domestic and Pleasure Only Insurance

Social, domestic and pleasure only (SDP) insurance is a kind of private insurance used for exclusively non-business/commercial purposes.

Van users can be covered while embarking on the following activities:

  • Holiday journeys
  • Social gatherings and events
  • Charity events
  • Shopping trips
  • Journeys including a large group of people

Along with the standard van coverage, some companies will cover items carried in the van. (This does not account for items left in the van overnight.)

There is also a Social, Domestic, Pleasure and Commuting van insurance option for longer commutes.

Short-Term Van Insurance

Short-term van insurance is a type of insurance that offers van drivers the option to purchase insurance for only one to 28 days.

This provides an option for van users to not pay more than they intend to use the insurance for.

Reasons for buying short-term insurance include:

  • Moving homes
  • Delivering items on special occasions
  • Test-driving a new van

Coverage

Short-term insurance will include the standard van coverage with a few limitations.

Things that will be covered:

  • Accidental damage to the vehicle
  • Vandalism
  • Loss or damage from theft, attempted theft or fire

Things that will not be covered:

  • Damage to goods or equipment carried
  • Damages from towing other vehicles
  • Loss or damage while under a driver not named in the insurance policy
  • Overseas usage

Companies specializing in short-term van insurance like Tempcover will provide an immediate quote by simply stating your van registry number and the length of time you wish to be insured.

Telematics Van Insurance

Telematics van insurance (also known as black box insurance) is a newer method of insurance where data provided by your driving activity dictates your premiums.

An insurance company will provide you with a black box device that will need to be installed in your van. The device will then sync with a mobile app or pre-installed technology in your van.

The results of your driving activity will directly determine the cost of your insurance. If your driving behaviour is deemed to be good, the insurance cost will work out to be cheaper than other insurance policies'.

The data recorded will include:

  • Consistently staying within the speed limit
  • Breaking safely
  • Overall mileage
  • Route locations

Using the black box technology creates a lot of benefits for various types of drivers:

  • New van drivers without a 'no-claims' bonus can use this to receive cheaper loans.
  • Young drivers will not be judged solely on their current driving ability.
  • Companies with large fleets can use black box technology to plan their delivery routes and be immediately notified of on-road collisions.

What to Look For in Van Insurance

Since there are so many different types of van insurance, you must choose policies with coverage that suit the nature of your van use.

Carefully determine what kind of coverage you will receive with business/commercial or private insurance, and decide whether it is best to purchase available add-ons.

Here are some other tips:

Find the Coverage for the Most Reasonable Price

It’s important to find the best price for your desired coverage. Use websites that specialize in comparing insurance quotes to assess the coverage and prices that suit you best.

More Is More

While purchasing an insurance policy with less coverage may be cheaper, consider what might happen in emergency situations.

Being unable to claim insurance from damage or loss that you were not anticipating will end up being much more expensive.

Use a Comparison Website

You can use these sites to compare insurance coverage and prices from different insurance companies:

Frequently Asked Questions

There are a variety of ways to reduce the cost of your van insurance:

  • Remain eligible for a no-claims bonus
  • Install security devices in your van
  • Pay upfront, as insurers generally provide lump-sum discounts
  • Enroll in a defensive driving course. Insurers will give discounts to customers who have completed a defensive driving course.

Yes. Most insurers will allow you to insure multiple vehicles under one policy, typically as an add-on feature.

Yes. Most insurers will cover your van for a limited time while overseas.

Yes. Most insurers will allow you to add additional drivers to your insurance policy, while some will even provide situational discounts (for example, drivers under 20).

A large number of things affect the cost of your van insurance, including (but not limited to):

  • Overseas travel
  • Driving experience
  • Goods in transit
  • Nature of van use
  • Van age
  • Van model and make
  • Driver age

Final Thoughts

Landing the right insurance policy requires you to consider the purpose of your van use, as well as the kind of coverages that work best for you.

To find the right deals, use comparison websites to compare policies and choose the best deals for the coverage that you need.

It is vital to know what van insurer can provide the best services to you for your particular use, whether it is for business, social or pleasure.

Be diligent. Research, compare and read the reviews.


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