# Car insurance - 'Business' use v 'Domestic' use



## sadie

Husband and I both have a car, and are named drivers on each other's policies. He sometimes uses one of cars for work as in, driving to work, driving to meetings, driving to events etc. So is this 'business' and not 'domestic, social' etc? So if you can't be insured under 'business' and 'domestic, social' at the same time - do you need to keep one car for 'business' only?? Husband's company has issued a policy document relating to private cars for business use and it says private cars must be insured under 'business' if they are used to carry out company work - does this mean driving to work, or to meet someone relating to work? We are very confused and concerned he or I would not be covered if we are not doing the correct activity indicated on the insurance, at the time of an accident.


----------



## CCOVICH

Driving to and from normal place of work would normally be included under 'domestic' or 'social' use as far as I am aware.

If, during the course of the working day, your husband is on the road visiting clients etc. for a significant amount of time, I would guess that this is not covered as a matter of course.

Your husband should work out how much time he spends on the road (outside of getting to/from normal place of work) and advise his insurer and see whether he is covered under his existing policy.

I'm sure one of the brokers who contribute will be more sure of the above than myself.


----------



## mathepac

If your husband claims mileage from his employer, his employer is probably  insisting that he indemnifies them against any motor accident or motor claim he has while using his car as part of his duties.

This is business use and is in addition to "social, domestic and pleasure use" not instead of. He must inform his insurance company and pay the additional premium (25% - 40% in addition to the basic premium) otherwise he is not insured.

This does not mean you will not be covered, but it does mean he can only use the car with the business cover for work - unless you have business insurance on both  cars.


----------



## sadie

Rang insurance company. We can update both our policies to include 
'Class B: use by insured in connection with his business or profession' 
at no extra cost.


----------



## mathepac

Result!


----------



## leex

Hibernian have been doing this for me for years. Any other company I have tried seem to charge extra for it.



sadie said:


> Rang insurance company. We can update both our policies to include
> 'Class B: use by insured in connection with his business or profession'
> at no extra cost.


----------



## PyritePete

I use my own car for business use, nearly all insurance companies advise you to take Class B  insurance - there are 5 classes of insurance though. I have a Class 1B insurance which covers business use that includes carriage of goods and samples.  My insurance provider said that CLass 1B is sufficient for my needs i.e not on the road 5 days a week etc. and I have the worded policy to prove it.Google class of car insurance & I think the One Direct website breaks it down by Class. IMO the insurance companies kick for touch and get more money out of it ))


----------



## GA001

PyritePete said:


> I use my own car for business use, nearly all insurance companies advise you to take Class B insurance - there are 5 classes of insurance though. I have a Class 1B insurance which covers business use that includes carriage of goods and samples. My insurance provider said that CLass 1B is sufficient for my needs i.e not on the road 5 days a week etc. and I have the worded policy to prove it.Google class of car insurance & I think the One Direct website breaks it down by Class. IMO the insurance companies kick for touch and get more money out of it ))


 
There are not 5 classes of insurance...!


----------



## mathepac

Class 1 - business use, no carriage of goods or samples 
Class 2 - business use, including carriage of goods and samples


----------



## PyritePete

sorry there are 5 types (not classes) of car insurance - Class 1a, 1b, 1c, Class 2 & Class 3
Class 1B does cover carriage of goods and samples, depending on mileage
For Insurance companies as far as they are concerned if you are paid a mileage rate, and as they dont all offer CLass 1B insurance they "upgrade" you to Class 2 = more money.
I can pass on my insurance provider if anyone needs it...


----------



## ailbhe

There are 3 classes of insurance and class one has 3 catagories.
1A is social domestic & pleasure
1B would include using the vehicle occasionally for work
1C is for farmers (outdated and rarely used)
Class 2 would be someone who uses their vehicle occasionally for work, gets paid mileage and does not carry goods or samples.
Class 3 is for people who se their vehicle for work a lot and carry goods and samples (sales people, people who sell door to door etc).


----------

