Lifestyle couriers are the newest addition to the UK’s parcel delivery network. Simply put, they are non-professionals who use their car and spare time to make some extra cash delivering parcels around their neighbourhoods.
With the rise of internet shopping, the need for delivery services has gone through the roof, the parcel industry is now worth £4.4bn in the UK alone. While consumers can now order clothes, shoes, books, electronics and household items directly from retailers’ websites or auction sites such as eBay, the convenience of home delivery is now becoming the norm.
Traditionally, courier companies with fleets of vans would secure contracts to make these deliveries, but a growing number of these deliveries are now being outsourced to “lifestyle couriers”. Dropping off parcels in their local areas a few hours a week or more, they can use their own vehicle so have less overheads than the full-time professional delivery drivers and don’t have to pay out for very costly haulage or courier insurance. As the legality of this is somewhat of a grey area Constructaquote.com have answered some of the most asked questions below:
Are lifestyle couriers properly insured?
Lifestyle couriers are non-professional, self-employed couriers that use their own cars, vans and spare time to deliver to their route. This type of courier has taken the industry by storm with self-employed drivers now accounting for approximately 8% of the UK logistics workforce with this number only expected to rise.
So what type of insurance do lifestyle couriers need?
Having scrolled through several courier forums, it becomes clear that there is a lot of confusion as to what cover part-time couriers require*. Many believe that their comprehensive vehicle insurance will be enough; however this is not the case.
All couriers whether lifestyle or not will need courier insurance. This policy will ensure that their vehicle is adequately covered whilst on the road; but what about the goods that they are delivering? This is where Goods in Transit Insurance comes into play. This type of cover is specifically designed to cover you in the event that any goods you are carrying are lost, stolen or damaged.
What if a lifestyle courier isn’t properly insured?
By driving without adequate insurance, lifestyle couriers are risking 6 points on their licence for driving whilst under-insured, as well as receiving a hefty fine. On top of this, without adequate cover lifestyle couriers are liable for any loss, damage or theft to any of their goods whilst in transit.
Where can couriers get adequate advice on insurance?
Worryingly several lifestyle courier forums reveal that some of the larger organisations that employ lifestyle couriers provide inadequate advice on the insurance needed by lifestyle couriers**. This only adds to the confusion already evident within the industry.
To speak to one of our expert insurance advisors and get a quote for your courier insurance, call 02920 849 551 or visit www.constructaquote.com