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A Guide To UK Courier Fleet Insurance 

By Eamonn Turley
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Eamonn Turley Insurance Expert

Eamonn Turley has a wealth of experience within different insurance sectors. Through hard work and over time, he has gained expertise in digital marketing and user interface design. Elements that are crucial to any successful online business. The key aim is to develop websites that are intuitive, fast to load and provide insurance quotes tailored to your needs.


Expertise: Digital Marketing, Insurance, Home Insurance, Vehicle Insurance, UI Design
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July 2023

Courier Fleet Insurance is designed to help lower the cost of coverage for a business that has multiple delivery drivers working for them using company vehicles. This type of financial protection also helps organise the cover, so filing claims and paying premiums should work out easier than having to manage multiple policies. The vehicles may be cars or vans, or a mix of both. A huge demand exists for courier fleet van insurance, propelled by ever increasing trend in online shopping. Courier fleet insurance provides additional cover not included in standard fleet insurance, the additional cover, is for the hire and reward element.

The key question is what exactly is courier fleet insurance? This is a type of fleet insurance policy that is designed  to insure a fleet of courier vehicles (as opposed to a company car policy, for example)

Which is Best Courier Fleet Insurance OR Insuring Each Vehicle Individually?

In most cases, a fleet policy will be more affordable than insuring the vehicles on separate polices. The break even point is normally 3 or more vehicles. Fleet cover should be less expensive for bike courier insurance, van courier insurance or car courier insurance.  Always compare both options, but taking out a fleet courier policy to cover all vehicles may be more cost effective for your business.

What is Courier Fleet Insurance?

There are two parts to what is courier fleet insurance. 

  • Courier insurance entails that the business the vehicles are used in is the delivery of third parties items for profit. By law, that requires a hire for reward policy. The exact type of hire for reward cover is decided by what is being delivered.
  • Fleet insurance is used to cover multiple vehicles owned by a business. For many fleet owners, all or most of the vehicles are the same type, which simplifies the process of deciding what type of cover to place on the fleet. All the policies will be placed under one large umbrella policy.

How Much Does Courier Business Fleet Insurance Cost?

The cost will be dependant upon a number of factors, some impacting cost substantially more than others.

The level of cover required will have the most impact on cost. Similar to car insurance, you can choose from third party, third party with fire and theft to the top tier cover referred to as comprehensive cover. In addition to providing cover for a third party vehicle and property, comprehensive covers damage to your own fleet    

The number of vehicles in the fleet also plays an important role in arriving at a final premium. A large fleet equating to a higher premium, as the risk to the underwriter is increased. Naturally, the insurance category or categories that your courier van fleet falls into will also be a significant determining factor.

How To Save On Courier Fleet Insurance?

Saving money with courier fleet insurance is possible by lowering the risk that you pose to the insurance company. Use vehicles in the lower insurance categories, which will cost less to insure. If possible, avoid an any driver policy and if possible opt for named drivers. A named driver policy should be cheaper than an any driver fleet insurance policy.

  • Increase the excess, the amount that you are liable for in any claim. Some companies offer a bonus to employees who do not make a claim, which can help reduce claims and subsequently the cost of a renewing a policy.
  • Security, reduce the risk of theft by providing safe overnight parking and add preventive measures. For example, use tracking devices and other industry approves safety gadgets. 
  • The driving history of your workforce is important, so when hiring, avoid drivers with a bad driving history. It is also important to provide ongoing training to your drivers and reinforce safe driving.
  • Road Safety : Get your drivers to perform regular road safety checks and keep your fleet well maintained 

Did you know?  A courier fleet policy can start with just 2 vehicles, more can be added as your business grows, normally additional vans or cars will be added at a discount.

What Is A Commercial Hire For Reward Policy?

This type of policy is a business vehicle insurance. It has the same levels of cover as non-commercial policies, but makes it possible to be paid to operate the vehicle and make a profit at it. The levels of cover include Third Party Only, Third Party Fire and Theft, and Comprehensive.

The types of commercial hire for reward depends on what is being delivered. There are separate policies for food deliveries along with parcels. The reason for the different types is related to the risks involved.

The type of policy is further broken down by the type of vehicle being used. There is car courier insurance along with one for trucks, vans, motorcycles and scooters. Each one has a level of risk associated with it, so the costs are dependent on the type of vehicles being covered.

Courier Fleet Insurance Additional Options

It is possible to extend your fleet policy with additional cover, as listed below. Some may be already included, but you will need to check the policy conditions. 

  • Courtesy car or van :  provided if one of your fleet is in for extensive repairs.
  • Legal expenses :  This will cover any legal fees if you need to claim for damage, or if you are taken to court.  
  • Uninsured Motorist protection (UM) :  This cover is designed to protect you against financial losses stemming from an accident in which the other driver is not insured.
  • Goods in Transit :  A courier fleet policy does not cover the goods being transported, for this you need a separate GIT policy

Get Multiple Quotes For Courier Fleet Insurance

We have partnered with Quote Zone, who can provide you with a range of courier fleet insurance quotes from a panel of UK specialist Insurance brokers. To get started, select the Blue quote button After providing some information about your business and the level of cover you want, you’ll then have access to your quotes.  

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