Hello All,
I wonder if anyone could tell me whether my wife needs "Commuting" or "Business use" on her car insurance.
I am unsure what to include because her permanent place of work is a mobile classroom that is towed between local schools. Each week it is moved to a different school around Bournemouth. She drives to her mobile classroom and works from it each day.
So, does the mobile form her permanent place of work (therefore requiring only commuting) or would her drive to work be considered to be visiting multiple establisments in the course of her business day, therefore requiring business use.
I would be interested what Backroomers think because it makes a difference to our premium of course.
Thanks very much
from Jason
p.s. Is anyone on here a supply teacher, because that Would seem to be a good comparison?
How are birds supposed to know its a sanctuary?
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I can tell you that my policies with e-sure, and norwich-union-direct include "business use by policyholder or spouse" as a matter of course without any extra premium.
I am not an expert on this, and stand to be corrected, but the use you describe would under normal circumstances be "commuting" except for the fact that it is not a permanent location. Hence it MIGHT be treated like that of a salesman,i.e. "commercial travel" and so MAY be classed as business use.
Note that I am using words such as would, might, may. For definitive answer, ask your insurance company, and then write back to them confirming your understanding of the facts.
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eM.Be. {P} #Note: {P} = you can view my profile. Add {P} if your profile is viewable.
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Given the grief it is likely to cause if you choose commuting, there is an accident, and your insurance company decide it was business use, I would add business use. It doesn't cost much (if anything) as long as you are not comercial travelling (which I am sure this isn't). But as suggested confer with your insurance company, get it in writing if they say 'commuting' and do the appropriate!
Richard
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Again, I am pretty unsure as to the exact definition - I suspect there is no set answer and is something that your insurance company is free to decide on a contractual basis. My gut tells me that this is business use, but if the insurance company tells you that it is not, get it in writing or you risk relying on the answer of someone too new and timid to ask a supervisor who actually knows.
Sometimes commuting is described as a 'permanent location' which it could come under - same location at the same time each week - and sometimes a 'single permanent location' - which it probably would't. Usually the business use premium doesn't add too much - my mum had to add it for a tenner on her £400 any driver policy.
What it won't be is 'commercial travelling' (i.e., selling) which is usually an additional category again above business use, although not quite as high as hire and reward.
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'It doesn't cost much (if anything)'. I wish, a number of companies ask how many miles are covereed as business use - my 1000-2000 per year adds anything between 10 and 25% to my policy cost. Reading the thread I'd say this is commuting. You drive to work (wherever this may be), stay at work and drive home - at no point during the day are you required to use your car to carry out your job and claim an allowance for doing so.
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To me, it sounds like commuting and has the risk profile of commuting, so in a fair and ideal world, you'd only pay for commuting.
However, your insurance company gets to decide and they usually have pretty strict definitions that they work to. Admittedly there is the Insurance Ombudsman for cases where there is real doubt in your favour, but they will apply the definitions as they see them and you need to ask and get an answer in writing.
If your insurance company's employees have discretion in how it calculates premiums, with the information you've given, they may include business use at a much reduced rate to avoid any doubt.
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You need to read your policy to know for sure.
As a minimum its to & from various, but she would be better off with business use anyway.
Most insurers will have no issue with this provided they are told. Its normal a simple endorsement without any charge beyond a possible admin charge.
However;
If it includes business use, then she's fine, although she should be careful about carrying children in her car.
If it is SD&P she is not fine.
If it is to & from one permanent place of work she is not fine.
However, business use for a teacher is not usually a problem, so speaking to your insurance company should resolve it. Make sure you get their answer in writing.
Many insurers include business use for the insured and spouse at no charge - the Norwich Union for example, and may more give it to the insured at no extra cost. If your own insurer gives you grief, then depending on your circumstances it may well be worth changing at next renewal.
The various teachers' unions all have insurance deals arranged, and you might find that a cheaper way irrespective of what your own insurer does.
Also check with your insurer as to what happens if she carries a child (e.g. in an emergency to hospital) or school equipment. Not likely to be an issue, but I'd get it in writing to be safe.
It is nto likely your broker will be able to give you the answer, so contacting the insurance company direct, if you are able, is a better idea. However, get it in writing either way.
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Jase
You don't say if your wife receives any recompense from her employer for mileage. If she is paid any travelling costs, then it definitely becomes business use, and her insurance should include business use.
Even if she has to travel entirely at her own cost, I agree with most of the people here - she doesn't appear to have a fixed place of work, and in this case getting business use would be advisable on the 'better safe than sorry' principle.
Regards
John S
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If she receives recompense for travelling to & from work it is a potential tax liability, even if she makes no profit.
Its not likely to impact her insurance either way. You may be thinking of the insurance rules around carrying passengers for recompense.
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Mark
Yes, you're right, payments for travelling to and from work are more a tax problem than an insurance one. I didn't explain it very well. A teacher wouldn't normally be paid for travelling to a 'fixed' place of work eg a school. If in this case they paid travelling because the place of work was mobile, it could be considered by the insurance company this was more business use than 'travelling to a permanent place of work', in which case business use would be a must. I wonder what her contract of employment defines as her 'normal place of business'.
Regards
John S
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Thanks for all the answers Guys. Between you, you've solve the case.
Her commute to work is not paid for. Its just a normal commute like you and me. Its just the place of work that moves!! However, she does get mileage for some business trips so thinking about it she requires business insurance anyway and this is what I'll declare.
BTW: If any of you live in the Bournemouth area and your kids are visited at school by The Life Education Centres (Dorset branch) then that'll be my wife!!
Kind Regards from Jason
How are birds supposed to know its a sanctuary?
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So if your wife has no fixed place of employment it may be possible that as far as the Inland Revenue is concerned she has an 'area based employment' in which case all travelling within that area will be qualifying business travel, even if it is home to each location. She will then be entitled to a tax deduction of 40p a mile for the first 10,000 miles in a tax year and 25p a mile for each subsequent mile.
Look at the leaflets on the inland revenue website, and if she thinks she qualifies submit a claim, you can go back 5 years but need a diary or a mileage record. It has to worth trying.
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