A number of Fleet insurers are able to offer reduced coverage for vehicles that have to be laid-up by businesses during the current Covid-19 Crisis.
This reduction in cover enables the insurer to issue a credit against the premium already paid, a credit that can be used by the policyholder to ease cash-flow or fund other vital debts that a business continues to face. It’s called Laid Up/Fire & Theft (LUFT) coverage. In short, the cover reduces from Comprehensive to LUFT, perils insured are then limited to Fire and Theft only. This can be useful for those customers that have secure premises where groups of vehicles can be stored. It’s not for everyone!
The advice from our broker is that you speak to your broker as soon as possible to see what options are available.
Proof of the Statutory Off Road Notification (SORNS) for each vehicle to be laid up will be required by insurers
And then the following in general will need to be answered:
Further guidelines :
Guidelines on Separation
SORNed Vehicles are also to be removed from the Motor Insurance Database (MID)
Our understanding is that these are being looked at on a case by case basis and there is no ‘one size fits all scenario’.
Should you need assistance from Pay as you Track during this difficult time please contact us.