Courier Insurance: The Complete Overview

You must have some insurance, such as courier insurance, by law. It protects the driver when they are delivering items to clients at drop-off locations. Depending on the kind of insurance and the needs of the insurer, it offers different levels of coverage. Additionally, it’s for covering a single car or a team of delivery vans.

Types of Courier Insurance

The following three basic types of courier insurance are available:

Third-Party Only

The bare minimum of coverage that is required by law is Third-Party Only. Damage to third-party property or injuries to third parties is only covered under third-party coverage. This is the least expensive form of coverage but bear in mind that it does not cover the driver in case of injury or pay for car damage.

Third-Party Fire & Theft


Third-Party Fire & Theft is a medium level of coverage that offers robbery and fire protection. However, this kind of insurance does not cover damage to your car after an incident.


Comprehensive includes everything mentioned previously and more. Additionally, it offers a defence against any scenario that your courier service could face. This is the most costly kind of coverage, but it is worthwhile since it protects against all potential problems.

Optional Add-Ons

How about optional add-ons? Are they essential? This depends on how your courier firm is set up. To satisfy your unique company demands, optional add-ons may be a necessary addition at an upfront premium to the payment.

To satisfy your unique company demands, optional add-ons may be a necessary addition at an upfront premium to the payment. Extras that are optional include:

Transport of products


This is a wise option for companies that ship pricey items.

Legal expenditures

Legal help insurance covers expenditures incurred as a result of an accident involving uninsured cars or if you are charged with a crime after an incident at work.

Breakdown coverage

This may include towing, retrieval, protection for the EU, and more. By doing this, you may get assistance whenever you need it. To achieve delivery deadlines, you may travel again sooner.



If you are found to be at fault for an incident, this supplementary option will protect you and your staff. This covers both public liability and an employer’s responsibility.

Extra Protection

It will safeguard you from the cost of your insurance excess and cover the cost of your excess if you are found to be at fault in an incident or 50/50 dispute.

Trailer Protection

This guard against the loss and damage to a trailer that is hitched to your car.

Benefits of Courier Insurance


Providing insurance coverage for your courier business is an important step in protecting you, your employees, and your customers. Courier insurance can help cover the costs of medical bills and other damages if the unexpected were to happen. It also helps provide peace of mind by reducing the financial risk you take on as a business owner while you concentrate on growing your business.

Insurance helps ensure that any legal expenses related to workplace accidents or customer property damage are taken care of quickly and directly, with minimal disruption to workflow. This can benefit both businesses that contract couriers and couriers themselves, as having proof of licensed coverage in place helps create trust between clients and couriers.

Courier insurance can also help protect businesses from claims made against them for libel, slander, or fraud; help cover any unpaid deliveries due to customer negligence; and mitigate the losses due to lost or stolen items. Additionally, many policies offer additional protection against theft from non-contractor associates such as subcontractors and suppliers, whether they’re within or outside of the workplace.

Regardless of the size of your business or fleet, having suitable insurance coverage in place is essential in protecting yourself financially against unexpected issues that may arise unexpectedly.

How to Reduce Courier Insurance Costs


There are many methods to get courier insurance plans at a discount. These consist of the following:

  • Increasing your voluntary excess is a good idea, but ensure it is reasonable and is not more than your company can manage.
  • Fleet coverage: When electing to be insured under one insurer, these plans save you money by providing coverage for all the company cars.
  • Driving carefully, safely, and according to the law may significantly reduce your premium.
  • No Claims Discount (NCD): Accumulating a complete NCD and practising safe driving may help lower the price of courier insurance.

Covered Courier Van Types

Although this may vary according to the insurer and their particular policies, the following are the most typical cars covered by courier insurance:

Car-Derived Van

Van vehicle might be useful or dual-purpose, like a car. These are often used to convey tiny packages.

44 Van


This gives you additional capacity for different sorts of cars while still offering the size of a van. This applies to 44 vans, which often have higher ridge heights. This vehicle is ideal for delivering to remote locations.

Box Van

A vehicle with a cube-shaped loading compartment for more space. Larger package couriers often use this vehicle while making deliveries.

City Van

They resemble a van created from a vehicle and are often employed by delivery and trade firms due to their tiny size, which is ideal for navigating metropolitan areas.

Electric Van


A plug-in charger is a feature of an electric van. Normally, they are utilised for navigating congested city roadways.

Luton Van

Box vans and Luton vans both have an expanded loading area. A separate cab compartment is also included in this vehicle.

Panel Van

The panel van is one of the most common courier vehicles in the UK. They have body forms that may have low, medium, or high roof designs and are utilised in many different trades.


This kind of vehicle has a temperature-controlled loading area. These are often used to transport perishables, including groceries that need refrigeration.



Having courier insurance is usually a smart idea. It protects you and your business from unforeseeable circumstances that can disadvantage you. If you need protection from future incidents, mishaps, or problems, consult an insurance broker for courier insurance. The insurance will help you sort it out with no hard transactions, so consider getting it in case of future occurrences.