If you’re in the taxi driving business, you’re probably well aware that the average price of taxi insurance has skyrocketed in many places around the world in recent years. In some countries, the price of taxi insurance rose by as much as 300 percent in just one year. Such high insurance rates make it next to impossible for drivers to succeed in the industry.
We put together the following tips because we want our community members to be as informed as possible, so that they are not taken advantage of by insurance companies and can access reasonable, affordable taxi insurance.
Cheaper Taxi Insurance for your Business
In order to avoid being overcharged for taxi cab insurance, you first need an idea of the average premium price. It’s no secret that taxi cab insurance typically costs more than standard car insurance. This is to be expected, as in addition to yourself, your car and others on the road, you also need to protect your business and your passengers. A typical premium range for commercial taxi cab insurance will fall between $5,000 to $10,000 per year, although the exact price will depend on many factors. These factors include: the number of vehicles and drivers in the taxi fleet, the type, size, age and value of the vehicle(s), the distance to be traveled, the location of your business, your credit and loss history, the driving records of all your drivers, and more.
If you’re looking for more information about the price of taxi insurance, check out our other article: How Much is Taxi Insurance?
Finding More Affordable Taxi Driver Quotes
Below are some tips to help you get the best possible taxi insurance quote:
- Location is Key. Carefully select the location of your business with the average price of taxi insurance in mind. Remember, insurance rates can vary drastically from state to state and city to city. For example, in general, the price of insurance for a taxi cab company in an urban area will be higher than in a more rural, less-populated area.
- Hire experienced taxi cab drivers with clean driving records. Though this may cost more upfront, the investment will help save you money on the price of taxi cab insurance in the long-run.
- Before requesting quotes, do more of what you are doing right now: research! Look for average rates in your specific location. This will help you know what to expect and make an informed decision.
- Shop around! Be sure to obtain multiple taxi cab insurance quotes for comparison purposes. Ask for detailed quotes so that you are able to cross-compare the specifics.
- Ask questions. Will the insurance provider be available 24/7 in case of any issues or emergencies? Can they bundle the different types of coverage you need to get you a better deal? If you own more than one taxi, can they cover your entire fleet?
Taxi Insurance Suggestions from the Experts
Below are a few more recommendations from taxi cab insurance experts to help ensure your business is protected and successful:
- It’s a good idea to request each quote from a specialized taxi cab insurance company, rather than a standard car insurance company. Taxi cab insurance companies are experts in their area and will help ensure your business is fully covered for a reasonable price.
- Carefully consider the insurance regulations and requirements in your state to ensure your compliance. Again, it’s best to partner with a specialized taxi cab insurance company who can help advise you on this.
- Although it may be financially tempting to select the bare minimum when it comes to purchasing taxi cab insurance, we highly suggest investing in more comprehensive coverage. This will help protect your business and will certainly pay off in the (likely) event of a collision, theft or other emergency.
Recap Your Options for Cheaper Taxi Insurance
If you are looking for affordable taxi cab insurance and are based in Oregon, Washington, California or Alaska, reach out to us and request a free quote today! We offer competitive, affordable taxi cab insurance rates and the highest-quality, personal customer service to make you and your business feel safe, secure and supported!