When you’re choosing the best courier insurance companies, there are several key factors to consider. Similarly, there are various red flags that can indicate that a courier insurance broker is to be avoided. Here’s what to look out for:
Comprehensive coverage options
Look for a courier insurance company that offers policies tailored to the specific needs of courier businesses. Policies include Public Liability insurance, Goods in Transit insurance, Vehicle insurance, and Employer’s Liability insurance. A good courier insurance company should be able to insure new drivers that are new to the courier industry and more experienced couriers alike. It should offer additional options like breakdown cover, personal accident cover, or cover for international deliveries if you operate abroad.
Flexibility
The insurer should allow you to change and adapt your policy, such as adding or removing vehicles, increasing coverage limits, or adapting to new services. At BCD, that’s our job. We work closely with insurers on your behalf, which gives us expertise on how to tailor your policy as your business develops and changes.
Policy exclusions
A specialist courier insurance broker like BCD can help you understand what is not covered by the policy. Some policies may exclude certain types of goods such as perishable items or hazardous materials. Other polices may restrict you from operating in certain areas or undertaking airside deliveries.
Tailored policies
Choose a company that can tailor policies based on your specific business needs, whether you’re a small independent courier or a large fleet operator. Make sure the insurer can scale with your business, adjusting coverage as you expand or change your operations.
A good courier insurance broker will let you know of any discounts or packages, especially if you have multiple vehicles or need to bundle several types of cover. Some insurers offer discounts for safe driving records or if you install security features like GPS tracking. Getting help from a specialist courier insurance broker means you can benefit from great courier van insurance.
Claims process
Should you need to make a claim, the insurance broker you choose should offer claims support. Reading customer reviews can provide insights into its reliability. At BCD our high quality claims service is easy, accessible and user-friendly and we ensure our customers’ claims are handled efficiently with a quick resolution. Our claims system is designed to meet our clients’ needs (in this case, couriers) and for non-fault claims, have the right vehicle available to get the driver working and earning again.
Specialists in courier insurance
Get help from insurance brokers who specialise in courier insurance and have substantial experience in the courier insurance sector. They are more likely to understand the unique risks and needs of your business and provide you with the correct level of cover.
Look for companies with strong reputations. Read customer reviews and ratings to establish satisfaction levels.
Customer support and services
Opt for a company like us that offers excellent customer support and a prompt, helpful service, especially in emergencies. We have a team of knowledgeable, friendly customer service advisors who are happy to help. Our business is built around a high quality of service and we want to provide our customers with 100% satisfaction.
We also provide an easy switch from your current insurer to BCD, ensuring that potential penalties, policy overlaps and gaps in coverage are avoided.
What to avoid
Avoiding these bad practices will help you choose a courier insurance provider that is reputable, reliable, and aligned with your business needs. When evaluating courier insurance companies, it’s crucial to be aware of certain bad practices that can negatively impact your experience and coverage. Here are some practices to watch out for when choosing a courier insurance broker:
Hidden Fees and Charges
Some insurers may advertise low premiums but hide additional fees in the fine print. This can include administrative fees, cancellation fees, or charges for services that should be included, like claims handling.
Be wary of companies that impose high excess without clearly communicating this upfront. High excesses can leave you paying significant out-of-pocket costs in the event of a claim.
Insufficient coverage
Some insurers may offer policies with coverage limits that are too low for your needs, leaving you underinsured. For example, if the value of goods you transport exceeds the policy limit, you could face significant financial losses in case of damage or theft.
Bad practice insurance brokers often include numerous exclusions in their policies, and lack transparency, making it difficult to understand what you’re actually covered for. Exclusions on commonly transported goods or standard delivery routes can render the policy as inadequate and present problems for you should you need to make a claim.
Poor claims handling
A major red flag is an insurance broker with a reputation for slow or complicated claims processes. Delayed settlements can cause serious cash flow issues and disrupt your business operations. If an insurance broker is not transparent about how claims are handled, evaluated, and processed, it can lead to disputes and hassle if you make a claim.
Lack of customer support
Companies that are difficult to contact, slow to respond, or offer limited customer support are problematic. If issues arise, you may struggle to get assistance, leading to frustration and delays.
Aggressive Sales Tactics
Be cautious of insurance brokers that use high-pressure sales tactics to get you to sign up quickly. They may not give you enough time to review the policy details thoroughly or compare with other offers.
Some insurance may provide misleading information about what their policies cover or how much they cost. Always ask for detailed, written information before agreeing to a policy. Choose a broker that clearly explains your options and gives you time to review your policy.
Inflexible policies
Bad practice insurers may offer rigid policies with little to no options to adjust your cover. If your courier business changes, you might find it difficult to tailor your policy to fit your needs, without significant penalties or costs.
Companies that make it hard to cancel a policy or charge high cancellation fees are problematic. You should be able to exit a policy without unnecessary hassle if it no longer meets your needs.
Negative reviews and poor reputation
Negative reviews, complaints, or poor ratings from customers can indicate systemic issues with the company. Look for consistent themes in the complaints, such as poor claims handling or unhelpful customer service.
Researching the insurance broker you’re thinking of going through is good practice. See if the broker has faced regulatory actions or a high volume of complaints with industry regulators or consumer protection agencies.
Poor documentation and policy clarity
Insurance brokers that use complicated, jargon-heavy, or vague language in their policies or when they are discussing your insurance, may be trying to hide important details. Ensure that the policy is clear, and you fully understand what is covered and what isn’t. If an insurer is reluctant to provide full documentation of the policy before purchase, this could be a warning sign that they are an unreputable broker. Always request comprehensive policy documents and terms and conditions in writing.
Why choose BCD?
We’re partnered with City Sprint and Courier Exchange to insure their drivers and with 20,000 clients and over 10 years’ experience, we provide a first-class courier insurance service, offering a wide range of products at competitive prices and flexible payment terms.
Our business centres on protecting your business with the most effective level of financial protection. If you would like to discuss courier insurance for your Van, Car or Fleet, get in touch today.
Call: 0344 776 5301