Driving instructor insurance is an insurance product designed specifically for driving instructors and their vehicles. Not all insurance companies offer this product or will agree to insure driving instructors, due to the higher liability associated with such policies. Those which do may offer a variety of plans which are designed to meet the needs of a driving instructor and ensure that the instructor and all vehicles are fully covered in the event of an incident.
Driving instructor insurance usually covers the fleet of vehicles maintained by a driving school, with the basic insurance coverage, including legal liability, theft and loss replacement, damage caused by collisions, and so forth. This specialized insurance product also covers a car when it is being driven by a student driver, even though the driver is not specifically named on the policy. This means that if the student is involved in a traffic incident, financial coverage is available.
Some insurance companies offer tiered and incentivized driving instructor insurance plans. For example, if a driving instructor goes a year without an accident, the insurance premium may be lowered, or the instructor may be given a rebate. Tiered plans allow people to select the level of coverage appropriate to their needs, balancing the need for insurance against the cost of the policy, as premiums tend to be extremely high, especially if the insurance is comprehensive.
It is also advisable to insure the driving school itself, assuming there is a dedicated facility, and some insurance policies will offer a bundled deal so that people can purchase insurance for the school, the vehicles, and the instructors together. Insuring the school protects when damage occurs on school property, if people are injured on site, if there is a fire, and so forth. Proof of such insurance is often required if people lease or mortgage a building where a driving school is housed.
When purchasing driving instructor insurance, it is advisable to talk carefully with the insurance representative to collect all of the relevant information about what the insurance covers. The plans usually include fine print which could become very important in the event that a claim needs to be made. A good driving instructor insurance plan should also provide room for add-ons and modifications as the needs of the business change, and it helps to have an insurance agent who is committed to an established relationship with the school to smooth out the process of modifying the policy.