What is normally covered
- Accidental damage during an approved unaccompanied test drive
- Theft or failure to return where the wording expressly includes it
- Third-party property damage
- Approved stock or demonstration vehicles within value limits
Motor trade cover explained
Unaccompanied Test-Drive Cover
Unaccompanied test-drive cover is a specific extension for a prospective buyer to drive a stock or demonstration vehicle without a dealership employee present. Ordinary demonstration or road-risk cover may require accompaniment, so written acceptance, identity checks, licence verification and route or time restrictions are important.
What is normally excluded
- Drivers not verified or authorised in writing
- Cash-in-hand or informal test drives outside procedure
- Vehicles above agreed value or excluded performance categories
- Use after the approved time or beyond the permitted area
- Fraud or voluntary parting unless specifically insured
- Driving under the influence or without a valid licence
Realistic claim example
A prospective buyer fails to return a vehicle
A buyer supplies apparently valid documents and takes a used SUV for a 30-minute unaccompanied drive but disappears with it.
How cover may respond: The claim depends heavily on whether the wording includes theft by fraudulent means or voluntary parting and whether every verification condition was followed.
Important: Many policies restrict or exclude this scenario; it should never be assumed from ordinary theft cover.
Who needs this cover
- New and used motor dealerships
- Independent vehicle traders
- Dealers selling high volumes online
- Dealerships that cannot accompany every test drive
Information insurers require
- Test-drive agreement and identity-verification process
- Licence validation, address checks and document retention
- Vehicle tracking and geofencing
- Time, route, radius and vehicle-value limits
- Key control and escalation process for overdue vehicles
What affects the premium
- Number of unaccompanied drives
- Vehicle values and theft attractiveness
- Strength of customer verification
- Tracking and immobilisation technology
- Fraud and theft claims history
Related cover
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Start my quotationThis is a general explanation, not advice or a policy contract. Cover is subject to the insurer’s schedule, wording, limits, excesses and conditions.