Self-Drive Hire Insurance

The key issue that you need to think about before going down this path, is whether your balance sheet is strong enough to cope with the business paying what may typically be something between the first £10,000 and the first £100,000 of every incident. Ask an experienced self-drive hire insurance broker for their advice.

Thoroughly checking the customer’s driving licence is a vital first step. However, make sure you also validate the licence using the DVLA’s licence validation service, obtain further proof of identity in an insurance-approved format and always take a photograph of the hirer – and never accept cash.

Not always an easy issue to manage. A good start though is to make sure your hire terms include an appropriate clause making it clear that the hirer must not use a mobile phone (even if hands-free) whilst driving – and draw this clause to your customer’s attention. If you are unsure about your legal position, ask a lawyer specialising in transport-related matters for advice.

Have you thought about introducing a telematics-backed hirer incentive scheme that rewards the safest and most fuel-efficient hirer? Talk to  us about how an incentive scheme might best be introduced. Your terms of hire may need to disclose the fact that driving style and behaviour will be monitored. We recommend you take advice on this point from an appropriate lawyer.

Most self-drive hire insurance policies are worded in such a way that the excess will be applied to the loss or damage relating to each vehicle involved in the same event. If you have, say, a £500 excess and twelve vehicles were damaged, the total excess is likely to be £6,000.

Exclusions include hire must met the acceptable criteria and have a valid hire agreement. See your policy documents for full details.

If you would prefer to spread the cost of your self-drive hire insurance policy, you have the option of setting up a Direct Debit to pay your premium in equal monthly instalments (subject to acceptance) through our preferred provider.

To find out more about direct debit payments, select Direct Debit and to understand more about how our finance providers work with Towergate, please read our Regulatory Information.