Taxi insurance is specialist motor insurance for vehicles used to carry paying passengers. It includes the hire-and-reward cover required for taxi work, with protection for your own vehicle depending on the level of cover you choose.
Taxi insurance matches your cover to the way you use your vehicle - you'll need to tell the insurer about your taxi, the drivers who will use it and the type of work you carry out. You can then choose a level of cover and any optional extras that meet your needs.
Specialist taxi insurance is likely to be right for you if you're:
If you transport customers in return for payment, you need insurance that includes carriage of passengers for hire and reward
If customers book your journeys through an app, minicab office or private-hire operator, you will usually need private-hire insurance.
If you pick up fares without an advance booking, from taxi ranks or through street hails, you will need public-hire insurance.
The type of taxi insurance you'll need depends on how you work and collect passengers - you'll be able to choose from the following options:
Private-hire insurance is for drivers who only carry passengers who have booked their journey in advance. This may include:
Minicab drivers
Many Uber and Bolt drivers
Airport-transfer drivers
Pre-booked chauffeur services
Private-hire vehicles cannot normally collect passengers from taxi ranks or accept unbooked street hails.
Public-hire insurance is for licensed taxi drivers who can collect passengers without an advance booking. This may include:
Hackney carriage drivers
Black-cab drivers
Other locally licensed public-hire taxi drivers
Public-hire taxis may be able to accept street hails, work from taxi ranks and carry passengers who have booked in advance.
Fleet insurance can cover multiple taxis and other business vehicles under one policy, which may make managing renewals and policy documents easier.
Insurers might define a taxi fleet differently - if you operate more than one vehicle, be sure to compare the cost of fleet cover vs individual cover to be sure you're getting the best deal.
In order to be eligible for a taxi insurance policy, you'll need to meet certain conditions, some of which differ from standard car insurance:
You will usually need a valid UK driving licence. Insurers may also look at how long you have held it and whether there are any restrictions or endorsements
You will normally need the correct taxi, private-hire or Hackney carriage licence for your work - but you may still be able to apply while your application is in progress
Some insurers set minimum or maximum age limits, while others may charge higher premiums if you are younger, newly licensed or have limited taxi experience
Past accidents, insurance claims, penalty points, driving bans or convictionscan affect the insurers willing to cover you and the price you pay
Your vehicle must meet the insurer’s criteria for age, value, condition and usage, and you should declare any modificationsto your insurer, such as added security
You must choose cover that reflects whether you operate public or private hire and declare every app, operator or additional activity you use the vehicle for
Just as with standard car insurance, you'll be able to choose from the same three levels of cover for your taxi:
The highest level of protection available, it covers damage to your own taxi as well as everything included in third-party cover
Includes third-party cover, plus protection if your taxi is stolen, damaged in an attempted theft or damaged by fire
This only covers injury or damage you cause to others and their property, but not damage to your own taxi if you’re at fault
What’s included in your policy will depend on your insurer, level of cover, and any extras you choose - remember to check any available policy documents so you know what cover you're getting. Here are some common inclusions and exclusions:
Injury or damage to passengers and others
Damage to other people’s property
Fire damage
Theft or attempted theft
Accidental damage to your taxi
Windscreen repair or replacement
Social, domestic and personal use
Drivers not named on the policy
Work you haven’t declared
Incidents before the policy started
Wear and tear
Mechanical or electrical faults
Loss of earnings
Undeclared equipment or belongings
Taxi insurance providers will usually offer some optional extras you can add to your policy to bolster your cover - depending on your insurer, you might be able to add:
Provides a licensed vehicle while yours is being repaired after a claim
Covers claims linked to your taxi business that aren’t directly related to driving
Can include roadside help, recovery, home start or onward travel if your taxi breaks down
May help you recover costs after a non-fault accident, such as your excess
Lets you make a limited number of claims without losing your discount
May cover items like meters, radios or payment devices
Taxi insurance prices vary between providers, but your premium will be based on factors including your age and driving history, the taxi you use, where you work and whether you operate as a public or private-hire driver. Insurers will also consider how often you are on the road and the type of journeys you carry out, plus your taxi licence and driving experience, and the apps and operators you use.
The best way to find out what taxi insurance could cost you is to compare quotes using your own vehicle, licensing and work details.
Here are a few ways you might be able to get a cheaper quote for taxi insurance
Paying for your insurance in one upfront payment will often cost less overall than paying by monthly instalments
Increasing your voluntary excess is likely to reduce your premiums - but be sure you could afford it if your taxi was damaged or stolen
Driving without making a claim may help you build a no-claims discount and reduce the cost of cover when you renew or look for a new policy
Approved alarms, immobilisers and tracking devices may reduce the risk of your taxi being stolen, while secure overnight parking can also help - and you might earn a discount on your premiums too
Optional extras can boost your overall level of cover, but be sure you really need them before adding extra expenses that won't necessarily benefit you
Be honest and open with your insurer - leaving out information might make your policy cheaper, but it could invalidate your cover in the event of a claim
When you compare taxi insurance quotes with MoneySuperMarket and our partner Quote The Market, we recommend you keep an eye out for the following details:
Check if you’ll get a licensed replacement and for how long
Look at the full amount you’d pay if you claim
Make sure all your work is covered, including apps, deliveries and personal use
Check reporting times and whether you must use approved repairers
See if public liability or legal cover is included
Compare the full yearly cost as well as monthly payments
You’ll need to provide information about yourself, your driving history, your taxi licence and the vehicle you want to insure, as well as how and where you use your taxi. You should have the following information:
Your taxi licence type, licensing authority and badge dates
The apps, operators and types of journeys you work with
Details of any delivery work or personal use
Details of CCTV, dashcams, accessibility features or other modifications
Yes, many policies cover personal use of a private or public hire vehicle as standard, while others offer it as an optional extra (which could make them a better deal if you do not wish to use your taxi this way).
However, not all licensing authorities allow people without a taxi licence to drive a vehicle registered for private or public hire. So, family members who are not registered taxi drivers might not be able to use your car for personal use, even if you have personal use cover in place.
Private hire taxi insurance is more expensive than conventional cover due to:
Mileage: Taxi drivers cover more miles than most other motorists, often in congested conditions, which increases the risk of an accident
Driving hours: Taxi drivers may drive during high-risk periods such as peak traffic times and at night
Vehicle type: They tend to drive larger vehicles, such as MPVs and estate cars, which are usually more expensive to insure and repair
Passenger liability: They are open to different risks related to working with members of the public
Steps you can take to reduce the cost of a taxi insurance policy include:
Choosing a car in one of the lower car insurance groups, which range from 1 to 50 and rate vehicles based on factors such as the cost of spare parts and the value of the vehicle
Driving safely and avoiding convictions both on and off the road; being convicted of even a minor criminal offence could result in some insurers refusing to cover you
Building up a no-claims bonus, which could slash your taxi insurance premiums by up to 75% if you stay claim free for more than five years
Improving security such as fitting a Thatcham-approved alarm and being mindful about where you park your taxi overnight
Yes, you are unlikely to get taxi insurance if you are under the age of 21. In London, for example, taxi drivers must be over 21 to get a taxi or private hire licence. And some insurers will only cover drivers who are at least 25 years of age.
Older drivers may be offered lower premiums due to their years of experience, especially if they have built up a long-term no claims bonus, but insurance providers usually have a maximum age limit for taxi insurance, typically over 75.
If you have a fully comprehensive taxi insurance policy, your insurer will generally offer you a payout equivalent to the market value of your vehicle at the time it was written off.
If you have a third party only or third party, fire and theft policy, your insurer will cover the costs related to any other vehicles or people injured in the incident, but you will have to fork out to buy a replacement vehicle.
You will usually need private-hire insurance because journeys booked through Uber, Bolt and similar apps are arranged in advance. You should tell the insurer about every app or operator you work with, as cover for one platform may not automatically include another - standard personal or business car insurance is not suitable for carrying paying passengers.
Some insurers may let you request a quote while your taxi or private-hire licence application is still being processed, but you will usually need the correct licence or badge before your taxi insurance can start.
Taxi insurance does not automatically cover food, parcel or courier deliveries - you must tell the insurer about any delivery work you carry out, even if you use the same app for passenger journeys. The insurer may include this use, offer it as an optional extension or require you to arrange separate courier insurance.
You can usually insure a taxi that is leased, financed or bought through hire purchase, provided you declare and outline the arrangement fully. The insurer may ask who owns the vehicle, who is listed as its registered keeper and which finance company has an interest in it - remember, missing or false details could invalidate your policy.
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YouGov Survey 1st July 2024 to 30th June 2025. Net Recommend score derived from “Which of the following online service websites would you recommend to a friend or colleague, or tell them to avoid?” Base: Current Customers of (MoneySuperMarket n=18,382, Compare the Market n=16,802, Go.Compare n=10,162, Confused.com n=8,229, Uswitch n=528).
Source: NCBI (2026). 'Musculoskeletal Disorders Associated with Occupational Driving: A Systematic Review Spanning 2006–2021'
