Taxi Insurance – A Brief Overview

What is taxi insurance?

Taxi insurance is really a safety cover for taxis. The frequency of road accidents has risen like nothing you’ve seen prior. In such a dangerous scenario, cab drivers and the cab are both at risky since almost all their working time is spent traversing the high traffic ridden roads. In the event 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 that they feel they are probably 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 an exclusive 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 cannot be held responsible to pay for damage if they are in the taxi when the accident occurs. airport shuttle falls on the shoulders of the taxi owner. Taxi insurance provides cover in times of accidents. It provides monetary relief to taxi owners by covering for various damages. Lawsuits cause major expenditure if another party involved in the accident files it contrary to the cab company. Since lawsuits take time and money, having an insurance to fall back on could be a huge respite in scorching situations.

What are the forms of taxi insurance?

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

Insurance for the whole taxi fleet

Many taxi companies have more than one vehicle. To conserve costs, insurance can be taken for your taxi fleet rather than a single insurance for each taxi. However, insurance firms have limits while giving fleet insurance just like the minimum amount of cars. Even though monthly premium for fleet insurance is a lot more than that for a single taxi, it is less than the sum of all of the plans of individual taxis come up with. Therefore, they turn out to be more cost-effective.

Where to find taxi insurance?

Taxi insurance can be found with all major insurance companies. You can also look for auto insurance online. However, before investing in a policy, you will need to consider several factors like your allowance, kinds of covers that you’ll require, the condition of the place where your service operated and the expertise of your drivers. Taxi insurance is the most significant safety feature for a taxi company and as such, its significance shouldn’t be neglected.