Catherine, Co Cork
A Most travel insurers cover the loss or theft of personal items while you’re on holiday, though the cover very much depends on the terms and conditions of your policy.
Some insurers will also cover replacing travel documents up to a certain amount, though you will need to check if your insurer considers a driving licence to be one such item. Even if your insurer does consider a driving licence to be a travel document, you could find that it won’t cover the theft of the licence if it was not kept on you or not secured in a locked safety deposit box at your accommodation.
When it comes to cash, there is generally a limit on the amount of cover for theft and this could be as little as €200. Furthermore, you will generally not be covered for theft of cash if the money was not on you at the time it was stolen. If you are covered, there are steps you must take to secure that cover. This could include reporting the theft to local police within 24 hours of the incident and retaining a copy of the police report.
It’s worthwhile checking with your home insurer if any of the stolen items or cash are covered by them, as home insurance policies often include some cover for personal possessions, cash, and cards outside the home.
‘Is it a good idea to reduce my van insurance to third-party cover to cut back on costs?’
Q I’m trying to cut back on all my spending at the moment. I own a van for work and am thinking of reducing my cover to third-party insurance.
Jan, Co Cork
A By law, third-party insurance is the minimum level of van cover you are required to have. While third-party is cheaper than comprehensive cover, if there’s an accident where you are at fault, third-party would only pay a claim that other people made against you for injury or damage caused to their vehicles or property. Any damage to your own van would not be covered and neither would loss of, or damage to, your van as a result of fire or theft.
However, you may be able to get a discount on your van insurance if you are a van driver who either has a private car or is named on your partner or spouse’s private car policy. This discount could save you more than opting for a lower level of cover, which would, in turn, mean that you could afford better cover. Insuremyvan.ie, for example, offers such a discount.
Comprehensive insurance, the highest cover you can get, usually covers the loss of, or damage to, your own vehicle, as well as any people injured during an accident and any damage you cause to another vehicle. Crucially, comprehensive cover insures where the claim is due to one’s own fault, another driver’s fault, or where the fault for damage can’t be proven. So, while comprehensive insurance usually costs more it will offer you much more peace of mind.
If your budget won’t stretch to comprehensive you could consider third-party, fire and theft cover (TPFT). While TPFT is usually more expensive than third-party cover, you would also be insured for loss of, or damage to, your own car as a result of fire, theft or attempted theft. TPFT doesn’t always cost much more than comprehensive cover though, so it’s always worth getting a quote for both.
‘I’ve become a sole trader and need to buy a van for my business. Do I have to pay for commercial van insurance?’
Q I’ve just set myself up as a sole trader and need to buy a van. Will private insurance suffice or do I need to get commercial van insurance? Will my work impact how much I pay for insurance?
Stephen, Co Wicklow
A If you use your van for business reasons, you must have commercial van insurance.
Your occupation and the type of business could impact the cost of your premiums. Most insurers will ask you your occupation, and the level of risk associated with your job will be reflected in the premium quoted. For example, a person using their van for deliveries everyday usually pays a substantially higher premium than someone who parks up their vehicle on a site all day.
Other factors that will impact the cost include your driving history, the type of van you will be driving, additional drivers included in the policy, where you keep your van overnight, and your business’s operating hours.
I’d suggest getting the advice of a broker. Brokers can typically offer a quote for most occupations and you might find it easier to get a competitive price too.
