In the UK, vehicles you can hire privately are referred to as mini cabs. They are different from taxis. During the sixties, when a loophole was detected in the existing law, they were competing with taxis. The mini cab is basically an automobile that is under license by an area authority, which can be hired along with a driver, but needs to be booked beforehand.
Legally speaking, mini cabs can’t carry out business or be hailed while plying on the roads. They are available only on prior booking, either by fax, phone, online or by calling upon in person on a registered mini cab operating station. If any mini cab plies without being booked before hand, it can lead to a legal action. They can impose a fine or it can be points on the driver’s license. If the offence is repeated, it can make the court issue directions that the driver be banned from driving. To qualify for a license from the authority, you need an appropriate non-public hire Insurance Certificate, without which the local authority will refuse to issue the license.
A vehicle that is used to transport people for a payment is termed as a non-public hire vehicle. It is therefore necessary for the said vehicle to have private rent insurance. It is important to include public liability in the insurance policy, if the vehicle owner wants to get local authority contracts, for e.g. contract for picking and dropping youngsters from college.
The drivers of private rent vehicles, licensed by the local authority, need to have a Criminal Records Bureau check. This can be mandatory for the ones who come in close contact with children and other vulnerable persons, and not just drivers of minicabs and taxi.
It is not difficult to find non-public hire insurance at competitive prices. You may use some insurance brokers available on-line or insurance corporations that specialize in vehicle insurance of this type.
Third Party solely is the cheapest insurance level available for mini cabs. One should be very careful when choosing this insurance, as it provides cover only to the third-party, and not the mini cab when the driver of mini cab is responsible for the accident. If you live in an area where car thefts and other such crimes are common, you should know that the theft of vehicles is not covered by this type of insurance. You cannot even make a claim in case the minicab has been damaged due to fire. Third Party fire and theft insurance is the one that covers both theft and fire. It is the most suitable for those who have their cabs in large cities.
When you want an insurance policy that provides an all-inclusive cover, including Third Part Fire and Theft, you would better go for a comprehensive insurance. This kind of policy is valid even if the driver of the mini cab was responsible for causing the accident.
By incurring expense in addition to that of comprehensive insurance, you can get an additional cover that takes care of emergency breakdowns, and accessories such as meters and audio system and windscreens.