Does Driving a Smaller Van Affect Insurance?
Caeva O'Callaghan | April 11th, 2022
If you need a van for work, which model you choose will affect how much you pay. But will the size of your vehicle affect your van insurance premium?
Yes, the size of your van will affect how much you pay for your insurance premiums. Under normal circumstances, the lower the carrying capacity of your van the less you’ll pay to insure it.
If you can manage with a smaller van, switching to a more economical model can help to lower how much you pay for van insurance.
In this article, we’ll go over the following questions:
- Does the type of van I drive affect my insurance?
- Why do larger vans cost more to insure than others?
- How can I save money on van insurance?
If you’re in the market for a new van, it’s a good idea to check out what kind of vehicle will be most cost effective to insure before you commit to buy one.
Does the type of van I drive affect my insurance?
Yes. Apart from the age of your van and what it’s designed to do, the size – or carrying capacity – of your van will affect how much you pay for insurance.
If you own a smaller van, or only use it for personal haulage, you can have a personal van insurance policy. But, if you own a larger vehicle and use it primarily for work purposes, or it was designed specifically for commercial use, you will need a commercial insurance policy.
Commercial van insurance policies will also cover you for personal use, but the reverse is not true. If you use your vehicle to transport products or goods to earn money, even if it’s part-time, you won’t be covered for loss or injury under your personal insurance policy.
Engine size does not factor into calculating van insurance. But some of the factors which will affect how much your policy costs are performance and carrying capacity.
Why do larger vans cost more to insure than others?
Larger vans cost more to insure because they are more at risk on the roads, and they can carry more and heavier contents.
How fast your van can go is affected by its size, which in turn affects how much you pay for your monthly premium. Insurance companies normally compare your van’s maximum speed to its weight to determine how fast it is. Faster vans are generally more expensive to insure as, statistically speaking, they are more likely to be involved in a claim.
How much your van can hold, known as its “carrying capacity”, will affect how much you haul with it at any one time. Uneven loads and large carrying capacities are a higher risk on the roads, hence you will likely pay more for a higher CWT.
A crew cab van – also commonly known as a double cab in-van (DCIV) – is a van that features two rows of seats for the driver and passengers. Crew vans sacrifice load space for passenger seating, and as such these can be the most expensive type of van to insure. Some insurance companies automatically decline crew cabs so a smaller available market will mean a higher price to insure.
How can I save money on van insurance?
It’s a good idea to consider what you actually need your van for, and whether you can get along with a smaller model.
Consider adding more security features such as alarms and immobilisers to reduce your premiums and lessen the risk of theft. Install a tracker to help locate your van if it is stolen, and always keep your van parked in a secure location when not in use. Never keep tools or valuable equipment and materials in your van – nothing is more attractive to thieves than a van full of goodies left overnight.
Bear in mind that if you make alterations to your van from the factory standard, no matter if you want to improve your vehicle’s appearance or performance, you may end up with more expensive insurance as modified parts are usually costlier or more difficult to replace.
Finally, consider the named drivers on your premium. Adding an inexperienced or young driver to your van insurance policy could result in an increase in your premium: alternatively, adding a more experienced or older driver could help drive down the price.