Trailer insurance

A straight-talking guide to trailer cover in the UK

Trailer insurance protects you if your trailer is stolen, damaged, or involved in an incident that causes injury or property damage. For many UK drivers, cover is not automatically included with a car or van policy, especially for higher-value trailers or business use. Getting the right protection matters because repair costs have climbed and theft claims are expensive, which means financial exposure without suitable cover can be significant.

In 2025, the UK motor market remains competitive, yet claims inflation persists. Average motor premiums fell modestly in early 2025, but theft and repair costs are still pushing claims higher. Repair costs are more than a third higher than in 2020 and the average theft claim is around the cost of a small city car. For businesses, fleet and trailer risks are elevated by high annual mileage, more complex vehicle technology, and driver shortages that can increase accident frequency. These realities sit behind pricing for trailer insurance, whether you tow occasionally at weekends or your trailers work daily in urban areas.

This guide explains what trailer insurance typically covers, where the limits sit, and how claims are handled. We will show how different cover levels work, what affects price, and what to check before you buy. The focus is on practical steps to reduce risk and control costs, from security upgrades to smarter renewal timing. Insurance can provide real protection, but only when you understand the detail. The aim is to give you enough clarity to make a confident, safe decision.

Good insurance is simple, transparent, and matched to real-world risks.

What is covered in practice - and how claims usually run

Most policies start with third party liability for injury or property damage caused when the trailer is being towed. Comprehensive cover can extend to theft, vandalism, accidental damage, storm or flood, and sometimes fire. Business users may bundle trailers into a motor fleet policy, while personal users often buy a standalone trailer policy or an add-on to a vehicle policy.

Cover limits vary. High-value trailers, plant trailers, catering units, and horse trailers may need specific sums insured. Some policies exclude contents unless declared, and many will not cover tools or stock without an add-on. Off-road use, hire and reward, or overseas towing may require specific endorsements. If your trailer is left unlocked or unhitched in public, some policies reduce or refuse theft cover unless approved security is used.

When a claim happens, insurers assess whether the event is covered, confirm the trailer’s value, and check security evidence such as wheel clamps, hitch locks, trackers, or CCTV where relevant. Theft claims typically require a crime reference number. For accidents, photos, witness details, and dashcam footage help. If a trailer is written off, settlement is based on the insured value or market value according to the policy terms. Excess applies per claim and may be higher for theft or young drivers.

Simple example: a builder’s braked trailer is stolen overnight from a driveway without a wheel clamp. If the policy requires a clamp when left unattended and none was used, the theft claim may be declined. The same trailer secured with an approved clamp and tracker is more likely to see a valid claim and, in some cases, a faster recovery.

Who benefits most from trailer insurance

Trailer insurance is valuable for anyone towing something with meaningful replacement cost or liability risk. That includes trades using plant or box trailers, SMEs towing catering or vending units, horse owners transporting valuable animals, and leisure users with caravans or boat trailers. It is especially important where the trailer is used daily, stored on-street, or operates in higher-theft urban areas.

Not everyone needs a standalone policy. If you tow rarely, store your trailer indoors, and your vehicle policy explicitly covers the trailer for your usage, extra cover may be unnecessary. Still, exclusions are common for business use, unbraked trailers above certain weights, or trailers left unattended on public roads. The right approach is to check your current policy wording carefully and only buy additional cover where the risk and value justify the cost.

Picking a level of protection that actually fits

1. Third party only
   • Covers liability for injury or property damage caused while towing.
   • No cover for theft or damage to your trailer. Suits low-value trailers with minimal exposure.
2. Third party, fire and theft
   • Adds theft and fire cover for your trailer, typically with set security conditions.
   • Good mid-point for moderate-value trailers stored securely.
3. Comprehensive
   • Adds accidental damage, vandalism, and wider perils to your own trailer.
   • Often required for high-value, commercial, or specialist trailers.
4. Business fleet extension
   • Trailers scheduled under a motor fleet policy for companies running multiple vehicles.
   • Can include European use, multiple drivers, and tailored limits.
5. Optional add-ons
   • Contents and tools cover - may require locked compartments and proof of ownership.
   • Hired-in trailers - protection when renting short term instead of owning.
   • Breakdown and recovery - roadside assistance for trailer and towing vehicle.
   • European cover - green card or territorial extensions for EU trips.
   • Agreed value - locks in the payout amount for specialist or custom trailers.
   • Enhanced security endorsement - discounts for trackers, clamps, and secure storage.

Renting at £35 to £50 per day can be cost effective for many SMEs. If you rent frequently, consider hired-in trailer cover rather than a full ownership policy.

What drives the price you pay in 2025

Premiums remain sensitive to theft and repair costs. Repair bills have risen since 2020 and theft claims are notably expensive, so insurers price for that risk. While average motor premiums fell modestly in early 2025 due to competition, fleet rates recently climbed before moderating as insurers aimed to retain clients. Urban van users towing trailers often see sharper increases due to higher theft and mileage.

Can you apply - and what insurers check

Most UK residents with a valid driving licence and a road-legal towing vehicle can apply, provided the trailer meets weight and construction rules. Insurers usually ask for the trailer make, model, VIN or serial number, value, security devices, where it is stored, and how it is used. Business users may need fleet schedules, driver lists, claims experience, and annual mileage estimates.

Common hurdles include unclear ownership, previous write-offs, non-standard modifications without evidence of professional installation, or regular overnight street parking without security. High-frequency commercial use in theft-prone postcodes may require trackers or specified secure storage. If you plan to tow abroad, you may need territorial extensions and proof of compliance with local towing regulations. Clear documents, photos, and proof of security will make acceptance and claims smoother.

From quote to claim - the simple steps

1. Gather trailer details, usage, storage, and security information before requesting quotes.
2. Compare cover limits, exclusions, and excesses, not just the headline price.
3. Choose essential protections, then add options like contents or breakdown.
4. Confirm discounts for clamps, hitch locks, trackers, and secure storage facilities.
5. Buy the policy, store documents digitally, and label the trailer’s serial and VIN.
6. Update the insurer if usage, value, or security changes during the policy term.
7. If a loss occurs, report quickly, provide photos, police reference, and receipts.
8. Cooperate with assessments and repairs, and document all conversations and costs.

The good, the bad, and what to weigh up

Safer drivers, better security, and accurate values are the fastest ways to control premium and claims outcomes.

Read this before you buy

Check the excess amounts for theft and accidental damage, and whether a higher compulsory excess applies for certain postcodes or younger drivers. Confirm the maximum trailer value the policy will pay and how the value is assessed. Some policies use market value at the time of loss, while others offer agreed value on request. Read exclusions carefully for unattended trailers, storage on public roads, or contents left overnight. If you tow for business, ensure that use is declared and covered. Verify territorial limits, any waiting periods on theft cover, and renewal terms to avoid sharp price increases next year. Keep proof of ownership, security purchases, and photographs of the trailer and its serial number.

Alternatives that may suit different needs

1. Motor fleet insurance with trailer schedule - for companies operating multiple vehicles and trailers, often with broader terms and easier admin.
2. Hired-in plant or equipment insurance - if you mostly rent trailers, this can protect non-owned units.
3. Commercial van insurance with trailer endorsement - useful when the van is the primary risk and towing is regular.
4. Horse trailer or horsebox insurance - tailored cover for equine transport, often with enhanced breakdown.
5. Caravan insurance - for touring caravans and leisure towing where contents cover is important.

Common questions answered simply

Q: Is my trailer covered by my car or van insurance by default? A: Liability while towing may be included, but damage or theft to the trailer itself often is not. Always check your vehicle policy. Many users need a standalone or add-on trailer policy.

Q: Why are premiums still high if averages fell in early 2025? A: Competition nudged average motor premiums down, but theft and repair costs remain elevated. Insurers price for these claim costs, so some trailer premiums may stay firm, especially in urban areas.

Q: How can I reduce the cost of trailer insurance? A: Use an approved wheel clamp and hitch lock, consider a tracker, store in a secure compound, keep accurate values, and adopt driver training. Shopping around at renewal can also help.

Q: Do I need cover for hiring a trailer occasionally? A: Often yes. Ask about hired-in trailer cover. Some rental firms include basic protection, but limits and excesses can be tight. Confirm who pays for theft or damage before you tow.

Q: Are contents and tools covered automatically? A: Usually not. Many policies exclude loose tools, stock, or personal effects unless declared and secured. You may need a contents add-on with specific security requirements.

Q: Can I tow in Europe with UK trailer insurance? A: Possibly, but you may need a territorial extension or green card. Check your certificate and policy wording well before travel and ensure local towing rules are met.

Q: What if a new, inexperienced driver tows for my business? A: Declare all drivers. Inexperienced drivers can raise premiums and excesses. Training, telematics, and supervision can help control risk and support safer claims outcomes.

What to do next

Take a few minutes to list your trailer’s value, usage, storage, and security. Compare quotes that match these details exactly so differences in cover and excess are clear. If you operate several trailers, explore fleet scheduling. Move at your own pace - the goal is a policy that is fair, transparent, and suited to your risks.

Important note

This guide provides general information only and is not personal financial advice. Insurer terms, exclusions, and limits vary. Always read the policy wording, endorsements, and key facts documents carefully before purchasing or renewing.