Taxi insurance

Compare quotes from specialist taxi insurers

Compare quotes from specialist taxi insurers

Finding a quote is free and easy

Finding a quote is free and easy

Get your taxi ready for the road

Get your taxi ready for the road

Taxi insurance comparison

Compare insurance policies for your taxi or minicab and make sure you get the cover you need

As a taxi driver, you’ll need a specialised policy that, due to the size of your vehicle and increased mileage, will more than likely cost more than a conventional policy would. Given that your car is your livelihood and not just a mode of transport, you’ll want to make sure you can get the cover you need at a decent price.

We’ll run you through the process of insuring your vehicle and show you how to keep the costs down so that you don’t have to stress about getting cover.

In This Guide:

What is Taxi Insurance?

Taxi insurance, simply put, is a specialised type of commercial car insurance designed specifically for those who use their vehicle to carry passengers for payment. This will cover much more than standard car insurance due to the nature of the job, including increased mileage, passenger safety and any legal requirements.

Why do I need Taxi Insurance?

Taxi insurance is essential because standard personal car insurance doesn't cover the specific risks associated with commercial use. It provides higher liability limits, covers passenger injuries, protects against property damage claims, and fulfils legal requirements, ensuring adequate coverage for the unique risks of operating a taxi.

What kinds of taxi insurance policies are available?

There are three basic types of car insurance policy available for taxi drivers: ‘policy only’, ‘named driver’ and ‘any driver’.

  • ‘Policy only’ cover will be the cheapest, but bear in mind that the cost will go up as more names are added to the policy.
  • ‘Named driver’ insurance is ideal if you just own one taxi and are the only driver of it.
  • An ‘any driver’ policy, as the name suggests, covers anyone to drive your taxi, so long as they are above a set age (usually 25). This kind of cover is, as you would expect, the most expensive.

Please note that these are just the taxi-specific aspects of the cover – you’ll still have all of the options you’d get when insuring a conventional car like third party only; third party, fire and theft; and fully comprehensive. You'll also be able to choose from a number of different add-ons, such as public liability insurance or legal cover.

Other things to consider are whether you’re just insuring a single vehicle, or whether you need to look at fleet insurance.

Taxi insurance is usually also split into private hire insurance and public hire insurance. The kind of policy you can get will depend on whether you’re driving a public hire (like a hackney carriage) or a private hire (like a booking-only minicab) vehicle. As a general rule, public hire taxis are slightly more expensive to insure, but this is not always the case – given that the vehicles themselves tend to be newer, and the drivers older, when compared to private hire cabs, insurers tend to look on them quite favourably.

Why is taxi insurance so expensive?

Taxi drivers, due to the nature of their work, rack up pretty serious mileage, often at unsociable hours and in built-up areas, statistically increasing the risk of accident and therefore the price of insurance.
Often, taxis are quite large, to accommodate a higher number of passengers, and this pushes them up into a higher insurance bracket, further increasing the cost of the premiums on offer. This will be particularly relevant if you drive a minibus or Multi-Person Vehicle (MPV).

You won’t have to pay totally over the odds though to insure your taxi – there are always ways to keep costs down.

So, how much will your taxi insurance cost? The best way to find out is by getting a quote, as premiums can depend on a wide range of factors, such as your driving history and the type of car you'll be driving.

How can I get the cheapest taxi insurance available?

Aside from choosing a smaller vehicle and building up a no claims bonus, the best way to save money on your taxi insurance is to shop around and compare online.
Use a taxi insurance comparison service like ours to find competitive quotes on the market. All you need to do is let us know what kind of policy you’re after and we’ll do the leg work for you, so all you need to do is pick the one you want and start saving right away.

Finding the right taxi or private hire insurance

Whether you're looking to cover multiple private hire taxis or just a single public hire car, the right taxi car insurance policy is out there. Whether you want to learn more about how taxi insurance works, what policy would be best suited to your needs, or get some taxi insurance quotes to have a better idea of costs, we at Money Expert are here to support your journey.

Frequently asked questions

What’s the difference between private hire and public hire taxi insurance?

 Depending on what kind of taxi service you are running, you will need a specific policy to ensure you are adequately covered. Private hire taxi insurance is for those who require customers to pre-book their services e.g. a prearranged airport taxi service. Public hire taxi insurance is any taxi you can flag down on the street and does not require a booking. Public hire taxi insurance is usually more expensive due to the higher risk involved.

Can I cancel my taxi insurance?

Like other insurance policies, taxi insurance can be cancelled. If you are in your cooling-off period, you should be able to cancel without penalty, however, it's always worth looking over your documents to confirm this. The cost of cancellation plus any refunds you may be due will vary between providers so it's important to always check your policy documents.

Does my taxi insurance cover me for personal use?

It is possible to insure your taxi for personal use but will depend on your policy. Some insurance brokers offer this as a standard feature in taxi insurance policies, however, it is not always included so it is worth checking with your broker before you commit. Sometimes you can also add this on as an extra so look out for this option when taking out your policy.

How do I estimate my taxi’s mileage?

To accurately estimate your taxi's mileage for insurance purposes, track your daily mileage over a typical working week, including both work and any personal use if covered by your policy. Multiply this average daily mileage by the number of days you work annually, adjusting for any known seasonal changes or variations in your schedule.

Can other family or friends drive my taxi under my policy?

Whether family or friends can drive your taxi under your policy depends on the type of cover you have. A 'named driver' policy restricts driving to individuals listed on the policy, while an 'any driver' policy is more flexible but typically more expensive. Always check your policy's terms and inform your insurer about any additional drivers to ensure proper coverage and avoid potential issues in case of a claim

Last reviewed: 1 July 2024

Next review: 1 August 2024