If you’ve ever considered running a taxi firm then there’s plenty that you need to know before making the plunge. One of the most important decisions to make is whether the firm will be public hire or private hire.

Before looking at which is safer and easier to insure, let’s first cover the differences between the two types of taxi firms.

Public hire

Public hire taxis can display a ‘taxi’ sign on the outside of the cab. They can also pick up passengers from the street.

Private hire

Private hire taxis must be booked in advance from the head office (or increasingly -online). Private hire taxis cannot be hailed from the street.

So which is safer?

As you might have already guessed, private hire taxis are generally safer – both for operators and drivers. This is because the type of passengers you will get differs quite a lot. Private hire firms get a lot of corporate bookings for example, whereas public hire firms deal with a lot of drunk and unruly passengers. This is of course a simplification and there is in reality a lot of cross-over in the types of passengers that both firms get. However the risks with a private hire firm are greatly reduced.

Saving money on insurance

If you have a public or private hire taxi firm, then getting insurance at the best price possible should always be a priority. Making your business as secure isn’t just a good way to cut down the risk of crime but it’s also an excellent way to save money on insurance. Below are some of the best ways to keep the costs of taxi insurance to a minimum –

• Get a lot of quotes – Getting a lot of quotes is easier than ever now thanks to the multitude of insurance comparison services, such as Multiquote Taxi Insurance. Getting a lot of quotes is the best way to make sure you don’t overspend on taxi insurance.
• Pay upfront – Paying for your taxi insurance policy on a yearly rather than monthly basis is another excellent way to keep costs down. When you pay upfront, you’ll be able to negotiate a lower price with the insurance provider.
• Get a fleet policy – When you’re insuring multiple vehicles, then a fleet policy is the best option. You’ll be able to insure multiple types of vehicles of varying values under one easy-to-manage policy rather than getting separate policies for each.