Motor Trade Manufacturing Insurance

Who Is This Page For?

This page is for businesses involved in manufacturing, assembling, adapting or converting vehicles and motor-related products. It is different from general motor trade insurance, which is usually focused on garages, dealers, repairers and road risks.

• Vehicle, trailer, caravan, commercial body or specialist vehicle manufacturers.
• Businesses manufacturing or fitting motor components, accessories, conversions or equipment.
• Fabricators, bodybuilders and engineering firms supplying the motor trade.
• Manufacturers that road test, move, store or deliver vehicles as part of production.

What Can Motor Trade Manufacturing Insurance Cover?

Cover normally starts with the production site, plant, machinery, stock and liability exposures, then adds the motor-specific details that make the risk different from a standard factory policy.

• Buildings, contents, plant, machinery, tools, jigs, moulds, stock and work in progress.
• Public liability, employers' liability and product liability for supplied vehicles, components or conversions.
• Business interruption where fire, machinery loss, supplier failure or a production incident stops output.
• Goods in transit, demonstration, testing, movement or road-risk extensions where needed.
• Contract works, installation or customer vehicle exposure if manufacturing and fitting overlap.

Key Risks Insurers Usually Review

Insurers will usually want to separate simple motor trade activity from true manufacturing exposure. That means understanding production methods, quality controls, road testing, storage values and the severity of supplied-product failure.

• Hot works, welding, fabrication, paint, battery, fuel, hydraulic or electrical installation processes.
• Finished vehicle values, customer vehicles, demonstrators, stock vehicles and parts inventory.
• Defective components, conversion failure, poor workmanship or recall-related claims.
• Road testing, collection and delivery, unregistered vehicles and employee driving controls.
• Dependency on specialist tooling, skilled labour, OEM contracts or long-lead components.

How This Links To Automotive Manufacturing

Where the business manufactures components only, the automotive manufacturing insurance page may be the better starting point. Where the business has garage, dealer or repairer exposure, the broader motor trade insurance page may also be relevant.