Is light goods fleet insurance right for my business?
Light goods fleet insurance policies are typically designed to cover fleets of vehicles which are used in industries such as Allied Trades. These commonly include businesses working in construction, plumbing, and electrical engineering and other similar industries. In such trades, light goods vehicles often play an integral role, allowing workers to transport a huge variety of equipment such as scaffolding, tools, and building materials.
Commercial vehicles such as vans that have a gross vehicle weight of under 7.5 tonnes are typically classed as light goods vehicles and can as such be covered by our light goods fleet insurance policies. This class of vehicle is quite broad, and you may find that you have a surprisingly high number of these versatile vehicles in your fleet. Common vehicles in this class include:
- Box Vans
- Luton Vans
- Flat Beds
- Tippers
- Drop sides
- Pick-ups
- Crew Cabs
- Fridge Trucks
Though this policy type is designed specifically to cover light goods fleet insurance; not every vehicle in your fleet needs to fall into this vehicle class to be covered, as long as the majority do. Your insurance company may also include company cars and agricultural vehicles on the fleet policy, but all the vehicles must be owned by the company or must be under a long term lease agreement with the business.
Once your business needs have been discussed with us, you insurance company will then allow the vehicles to be used in connection with the business as well as for social, domestic, and pleasure purposes under the cover of your light goods fleet insurance policy
What do I need to know about light goods fleet insurance?
There are several regulations and other factors that can affect your light goods fleet insurance policy. As standard, the majority of fleet insurance providers can extend specialist cover on a light goods fleet to include vehicles between 3.5 tonnes and 7.5 tonnes, even if they are classified as heavy goods vehicles by the DVLA.
While your fleet insurance policy may cover these vehicles, there are extra regulations and licensing issues that it is important to understand, as they may affect the way your fleet operates should you choose to include them under your light goods fleet insurance policy. For example, the below is a list of regulations that may affect your policy, should you choose to include vehicles of over 3.5 tonnes gross vehicle weight under the light goods fleet insurance policy:
- A vehicle over 3.5 tonnes may require driving licence Category C.
- A vehicle over 3.5 tonnes may require a Vehicle Operators Licence.
- Light goods fleets must abide by domestic driving limit regulations.
Light goods fleet insurance policies which include vehicles between 3.5 tonne and 7.5 tonne in gross vehicle weight can cause some headaches where driver licensing is concerned. The driving licence category associated with these vehicles is Category C which permits drivers in the England to drive vehicles between 3,500kg and 7,500kg Maximum Authorised Mass (MAM); there a several different variations of the Category C and depending when the driver passed their test, the allowances of the Category may also have changed.
If the driver passed their test prior to the 1st January 1997, their standard driving licence will likely already permit them to drive vehicles up to 7.5 tonne; for those who passed their test after that date, they will need to undergo staging to add the higher category entitlements required to their licence, especially if they will be also towing trailers.
A further consideration for light goods fleet insurance policies is whether the drivers require a Vehicle Operator’s Licence. Generally speaking a Vehicle Operator’s Licence is required if the business uses goods vehicles that exceed a gross plated weight of 3.5 tonne, or an unladen weight of over 1.5 tonne. Depending on the work being undertaken and whether or not you operate outside of the UK, your drivers may require a Standard National Licence, a Standard International Licence, or a Restricted Licence. It is recommended that you consult the DVLA or Gov.uk for further information on this if you are unsure.
Light goods fleets also fall under the UK’s domestic driving limit regulations, most notably in relation to permitted driving hours and tachographs. The maximum amount of driving allowed in a single working day is 10 hours, which applies to driving both on and off public roads, unless the off-road driving relates to an occupation such as quarrying or building work. If the purpose of your light goods fleet involves a lot of driving, it is important to ensure you do not breach regulations in respect of record keeping.
Does the abbreviation LGV stand for light goods vehicle?
There is often confusion regarding the abbreviation of LGV as it actually stands for Large Goods Vehicle rather than Light Goods Vehicle. Before 1992 LGV was indeed regarded as Light Goods Vehicle which covered commercial vehicles that had a Gross Vehicle Weight of less than 3,500kg while those over this were referred to as HGV Heavy Goods Vehicle. With the introduction of the European Licence Categories, LGV and HGV have been made the same.
If you wish to discuss light goods fleet insurance options, or have any questions regarding whether or not you qualify for a light goods fleet insurance policy, give Connect Insurance a call and we will be happy to assist. If you would like a quotation for your light goods fleet insurance, or any other type of Fleet policy, get in touch, or complete our simple four question form and we will give you a call to discuss.