How much does courier van insurance cost? 2024

Written by Benedict Harrison

Published on

Find out how much courier van insurance costs, the options that are available and how to get started with your quote.

When you’re looking to start using your van for courier or delivery work, you’ll need to make sure you have the correct insurance cover in place. Your standard Social, Domestic & Pleasure cover won’t protect you or your van for your work as a courier driver.

Instead, you need to have Hire & Reward insurance in place to cover your work. But before you start looking for work as a courier driver, it’s a good idea to have an idea of how much courier van insurance is going to cost you.

In this post, we’ll look at how much you can expect to pay for courier van insurance, the different options that are available and how you can get started with Zego.

How Much Does Courier Insurance Cost?

The on average courier van insurance costs range from £800 to several thousand pounds annually, varying significantly based on factors such as the type of vehicle, the driver's history, mileage, delivery areas, where the van is parked overnight, and the types of goods being transported.

Younger or less experienced drivers, or those with a history of violations, are likely to incur higher premiums. Comprehensive coverage will cost more than the basic third-party options.

How Can I Get Cheaper Courier Insurance?

There are several ways to reduce your insurance costs:

  • Compare quotes from multiple providers
  • Opt for a higher voluntary excess
  • Pay annually instead of monthly
  • Install telematics to monitor driver performance
  • Operate in lower risk areas away from cities
  • Choose a safer, popular van model
  • Select an older, lower value vehicle

What Factors Affect Courier Insurance Costs?

Main factors that influence your insurance rates include:

  • Your age and driving experience
  • Claims history and driving violations
  • Type of vehicle used
  • Delivery radius and locations
  • Overnight parking area
  • Policy coverage extent

Why Do I Need Special Courier Insurance?

You can't rely on your standard personal or van insurance policy to cover delivery work. By law, you need specific courier van insurance designed for multi-drop deliveries. This covers you for business use picking up and transporting parcels, packages, food, and more between destinations.

Without proper courier insurance, you are fully liable for any damages or injuries caused in an accident. You also risk financial penalties and legal consequences for driving uninsured. Specialised policies protect you and your business.

Types of Courier Insurance

There are three main types of coverage to consider:

Courier Van Insurance

Is required to cover your delivery work, this is specifically for multi-drop deliveries. Get quotes for TPO, TPFT, or comprehensive protection.

Goods in Transit Insurance

Covers items you transport against theft, loss, or damage. This protects your customers' goods and your business. It's recommended but not legally mandatory.

Public Liability Insurance

Provides coverage if you cause injury or property damage to others while working. Protects you from liability claims. Also advised but not compulsory.

What else can I add to my policy?

Our optional extras include things like Goods in Transit insurance and No Claims Discount (NCD) protection if you’re looking to increase the amount of protection you get from your policy. Our NCD protection is charged at a rate of 7% of your overall premium.

How can I get a quote with Zego?

Simply head to our courier van insurance page and enter a few details about you and your van. We'll give you a personalised price right away. Our policies are available at different levels of cover too, so you can get as much protection as you need when you’re out on the road.