Written by Michael Foote, Insurance Expert
How Vehicle Storage Affects Your Motor Trade Premium
Where and how you store your vehicles can have a big impact on your insurance premium and in some cases, even affect whether you can get cover at all. Insurers don’t just look at what you trade or how often, they care just as much about where the risk sits overnight.
This guide explains what factors insurers look for when assessing your storage setup, and what it means for your cover.
Why storage matters
Vehicles are one of the most targeted assets in the motor trade. Theft, vandalism, fire, and accidental damage can all occur during storage, particularly overnight, when premises may be unattended.
Because of this, insurers often base part of your premium on:
- The type of storage (open yard, unit, home driveway)
- Security measures in place (CCTV, gates, lighting)
- Whether vehicles are locked and immobilised
- Who has access to the premises
Even if you only keep a handful of vehicles on site, the perceived risk can drive up your premium if your setup is deemed insecure.
Working from home? You’re not exempt
Many smaller traders operate from their residential property, either as part-time sellers, valeters, or mechanics. But insurers will still want to know:
- Where vehicles are kept (driveway, garage, street)
- Whether the area is private and enclosed
- If customers ever visit the property
Some insurers are cautious about this arrangement, especially if you share the space with personal vehicles or other residents. We’ve broken down how this works on our page about motor trade insurance from home premises.
Shared sites and multiple users
If you’re using a shared site, for example, a trader’s yard or commercial estate, make sure you can document:
- How many other businesses use the space
- Who is responsible for perimeter security
- Whether access is controlled or unrestricted
Insurers may request proof that your vehicles are separated, monitored, or clearly logged as your responsibility.
How to lower your risk rating
- Install CCTV with visible signage
- Use steering locks and immobilisers on all vehicles
- Ensure perimeter gates are locked after hours
- Use lockable bollards or barriers if working from a driveway
Even small changes can make a measurable difference to how insurers assess your risk.
Be honest when declaring your setup
Tempting as it may be to declare a more secure setup than you actually have, doing so can void your cover, especially if a claim occurs and the storage conditions don’t match your application.
If your storage is limited, speak with a broker about what’s acceptable. Some insurers are flexible if you’re transparent and taking reasonable steps to protect vehicles.
