Car Insurance for Couriers

Compare car insurance options for couriers and delivery drivers online today.

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, updated on February 15th, 2024       

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Car Insurance Banner - A delivery driver standing in front of his van checking an order off on his device.

If you provide courier or delivery services, you’ll spend a lot of time on the road – but do you have the car insurance you need? As someone who drives more than the average driver and often with heavier loads, it’s vital to have the right type of cover to give you the necessary protection and peace of mind while at work.

You can compare car insurance policies in minutes online. Simply fill in the online form to get instant offers from leading providers tin one place. Get started with a free, no-obligation quote today.

What type of car insurance do I need for my courier vehicle?

If you’re a courier or delivery person, it’s important to have the right type of car insurance to protect your vehicle as you conduct business. In Australia, this is typically commercial car insurance.

Commercial car insurance is designed for vehicles used predominantly for work, such as courier and food delivery services, and provides coverage tailored to the unique risks associated with commercial vehicle usage. This is in contrast to personal car insurance, which is for personal use and does not cover commercial activities, and business car insurance, which is meant for vehicles used only for limited business-related purposes and often excludes coverage for deliveries.

What does car insurance for couriers cover?

As mentioned, commercial vehicle insurance has different levels of cover. If you take out comprehensive insurance – the top tier of cover – you can be covered for a range of risks and liabilities, which may include:

  • Vehicle damage or loss: can cover the repair or replacement costs if your courier vehicle is damaged in an accident, collision or other covered event.
  • Third-party property damage: can protect you against legal and financial obligations arising from causing damage to someone else's property while carrying out courier services.
  • Vehicle hire: can provide a short-term replacement vehicle if your car is stolen or damaged and cannot be driven.
  • Personal property: can cover the loss or damage of personal property, up to a set amount outlined in your policy.
  • Tools of trade: can cover damage to or loss of tools, equipment and materials used for work up to a set amount.

It’s important to note that all coverage is subject to the terms and conditions of your policy and insurer. Additionally, if you’re looking to cover the goods you are transporting, you may need to consider additional goods-in-transit insurance.

What types of vehicles are covered under courier car insurance?

This depends on your insurance provider, but commercial car insurance typically covers most business-use vehicles under a certain capacity (usually below 5 or 10 tonnes). These can include:

  • Sedans
  • Station wagons
  • Utes
  • Four-wheel drives
  • Vans
  • Goods-carrying vehicles
  • Car trailers

How much does car insurance for couriers cost?

The cost of car insurance for couriers and delivery drivers can vary, depending on several factors. These may include:   

  • The type of insurance you take out
  • Vehicle value
  • Where your vehicle is usually parked
  • Driver history
  • Any accessories that need to be covered, such as trailers
  • How much time you spend on the road

Are there any restrictions or limitations with courier car insurance?

Depending on the insurance provider and policy, courier car insurance may have certain restrictions or limitations, such as:

  • Usage restrictions: courier car insurance typically covers the vehicle for courier and delivery use. Personal use might not be covered unless explicitly stated in the policy.
  • Vehicle limitations: there may be limitations on the type of vehicles eligible for courier car insurance. Some providers may have specific requirements regarding the age, size or weight of the vehicle.
  • Cargo restrictions: certain types of cargo may be excluded or have specific coverage limits. Hazardous materials, perishable goods or high-value items may require additional coverage or have restricted coverage under the policy.
  • Driver restrictions: the policy may have restrictions on who is eligible to drive the courier vehicle, and there may be a higher excess for certain drivers, such as those under a certain age or with more limited driving experience.
  • Geographical limitations: there may be limitations on the areas or territories where the courier vehicle is covered.

Types of car insurance you can choose from

Common questions about car insurance for couriers

Can I get courier car insurance if I have multiple delivery vehicles?

Depending on your car insurance provider and policy, you may be able to add a vehicle or vehicles to your commercial car insurance policy. If you have numerous courier or delivery vehicles, many insurance companies offer commercial fleet insurance, which may be cheaper than insuring all your vehicles individually.

Can I add additional drivers to my courier car insurance policy?

In most cases, you should be able to add additional drivers to your car insurance policy, allowing other individuals to drive your courier vehicle under the same coverage. However, there may be certain criteria or restrictions regarding who can be added as an additional driver, as well as potential fees and premium adjustments.

Can I get courier insurance if I use my motorcycle for deliveries?

If you’re planning to use your motorbike for courier or food delivery services, some insurers may cover this under comprehensive insurance policies or offer it as an optional extra. It’s important to check your policy or contact your insurer to determine if your motorcycle could be covered for business use.

Can I use my personal car for courier and delivery purposes?

Yes – many couriers are independent contractors who use their own vehicles for delivery purposes. However, even if you’re using your car, many insurers recommend taking out commercial car insurance. As a courier or delivery driver, personal or business car insurance will likely result in key coverage gaps and potential claim denials if an incident occurs during your courier activities.

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Savvy (ABN 78 660 493 194, ACR 541 339) provides readers with a variety of car insurance policies to compare. Savvy earns a commission from our partnered insurers each time a customer buys a car insurance policy via our website. All purchases are conducted via our partners’ websites. The integrity of our comparison service is unaffected by our partnerships with those businesses and our effort remains to bring further brands that do not already use our comparison service onboard.

Savvy’s comparison service includes selected products from a panel of trusted insurers and does not compare all products in the market. Any advice presented above or on other pages is general in nature and doesn’t consider your personal or business objectives, needs or finances. It’s always important to consider whether advice is suitable for you before purchasing an insurance policy. We always recommend readers to consult the Product Disclosure Statement (PDS) of different policies before purchasing your car insurance.