Motor trade policy, demonstration cover HELP

motormad13

Hey guys,
been reading and visiting boards.ie for about 5 years, always found what i was looking for so never signed up...

This is my first post so be gentle !

I have a motor trade policy with demonstration cover so people can test drive MY cars that i have for sale!
Now.. my question is this,
My neighbor is selling his car and wants to know if prospective buyers would be insured to test drive HIS car with me in the passenger seat... I honestly don't know!
Thanks for your help

delly

The only people who can give you a 100% answer is your insurance company, but I would be 99% sure that your policy would not cover such a test drive unless the car was signed over to your dealership. People test drive cars every day without knowing someone who has a trade policy, seems like your neighbour is just assuming you would be an easier alternative.

Atlantic Dawn

I would think no chance they would be covered under your policy as his sales have zero to do with your business cover.

Most buyers people will be covered 3rd party to drive other cars if they are taking something for a test drive they don't currently own.

motormad13

delly wrote: »

The only people who can give you a 100% answer is your insurance company, but I would be 99% sure that your policy would not cover such a test drive unless the car was signed over to your dealership. People test drive cars every day without knowing someone who has a trade policy, seems like your neighbour is just assuming you would be an easier alternative.

hes just afraid to let somebody without insurance drive the car, understandable because i wouldnt let somebody out in one of my cars without insurance, i'm sure he will get over it though! :rolleyes:

motormad13

Atlantic Dawn wrote: »

I would think no chance they would be covered under your policy as his sales have zero to do with your business cover.

Most buyers people will be covered 3rd party to drive other cars if they are taking something for a test drive they don't currently own.

well it kind of does as im getting a very small cut for selling it for him, its just not my car...

coylemj

Most policies cover other people aged between 25 and 70 to drive your car if they have a full licence. All he has to do is ask to see their driving licence and then he knows he's covered.

Of if the person doing the test drive already has a car and a full licence, they will usually be covered to drive other cars with the owner's consent.

He should be able to give test drives under one of those options. No way will your cover extend to his car.

The main risk as I see it is if the test driver wraps the car around a lamp post, then your friend is in trouble.

mathepac

Not this again, again, again ......

coylemj wrote: »

Most policies cover other people aged between 25 and 70 to drive your car if they have a full licence. All he has to do is ask to see their driving licence and then he knows he's covered. ....

Incorrect. A minority of policies where the policy-holder pays for an "open drive extension" have this facility.

It covers drivers, other than those specifically named on the policy, aged between 25 and 70 to drive my car(s) on my insurance(s).

coylemj wrote: »

Of if the person doing the test drive already has a car and a full licence, they will usually be covered to drive other cars with the owner's consent...

provided of course the prospective purchasers have "driving other cars extensions" on their own insurance policies.

coylemj

mathepac wrote: »

Not this again, again, again ......
Incorrect. A minority of policies where the policy-holder pays for an "open drive extension" have this facility.

I have this on my (Axa) policy, I never asked for it and it is not listed as a chargeable item on my current renewal so forgive me for making the wild and reckless assumption that everyone with a full licence has this facility on their policy.

MugMugs

coylemj wrote: »

I have this on my (Axa) policy, I never asked for it and it is not listed as a chargeable item on my current renewal so forgive me for making the wild and reckless assumption that everyone with a full licence has this facility on their policy.

I imagine the OP has a traders policy and not a private motor policy.

OP, call your insurer.

Drummerboy08

Most trade policies cover vehicles that you own, and are in control of, regardless of it being in the course of a business or not.

I'd imagine there would be no problem, but as said check with your insurance provider first.

mickdw

coylemj wrote: »

I have this on my (Axa) policy, I never asked for it and it is not listed as a chargeable item on my current renewal so forgive me for making the wild and reckless assumption that everyone with a full licence has this facility on their policy.

It is a wild and reckless assumption to be fair. Sone insurers add this, sone dont. Even axa in my case only added it after 3 years with them.

You simply cannot assume anyone with a full licence has this extension.

AltAccount

motormad13 wrote: »

well it kind of does as im getting a very small cut for selling it for him, its just not my car...

Sounds like you're the salesperson, getting a commission for selling a car - i.e. you'll be driving this car (or accompanying someone) in the course of doing your business.
I'd be surprised if that wasn't covered, if framed like that, but as the others have said the only people who can answer 100% is your insurance company.

Del2005

motormad13 wrote: »

well it kind of does as im getting a very small cut for selling it for him, its just not my car...

If he's using your insurance and the person driving crashes your trade policy will go up. Is it worth the risk for a small cut?

motormad13

Del2005 wrote: »

If he's using your insurance and the person driving crashes your trade policy will go up. Is it worth the risk for a small cut?

well the thing is, i have to deal with that risk every time I'm selling my own cars anyway, i wont let them drive recklessly and i wouldn't let them drive at all if i doubted their basic abilities so its not really for if the buyer crashes, its more just to keep my neighbor happy, he is a retired Garda so its just for legality really

dh0011

if he is your neighbour why not get him to sign the car over to your business - by the sounds of things you will be selling it for him anyway and that way everything should be grand.

motormad13

dh0011 wrote: »

if he is your neighbour why not get him to sign the car over to your business - by the sounds of things you will be selling it for him anyway and that way everything should be grand.

that was my idea at first but the car is allready advertised and there are people (possible timewasters) coming Tuesday evening, so it wont be transfered on time, and he wants to keep it as just 1 owner on the car

dh0011

ah balls - thats a pity.
only things i could suggest is that your friend adds open driving to his policy or you get the potential buyer to transfer their insurance to the car they are driving (this can be done over the phone) or you let them drive it on a third party extension [bit of a problem if they crash]

sorry to see you stuck in this sort of a position

motormad13

dh0011 wrote: »

ah balls - thats a pity.
only things i could suggest is that your friend adds open driving to his policy or you get the potential buyer to transfer their insurance to the car they are driving (this can be done over the phone) or you let them drive it on a third party extension [bit of a problem if they crash]

sorry to see you stuck in this sort of a position

ah itl be fine :rolleyes: thanks for all yer help anyway guys im sure we'll figure something out :cool: