Insuring a taxi can sometimes be a major challenge. Not all insurers are willing to insure a taxi, and a number of insurers have raised their premiums considerably in recent years. One reason is that taxis are involved in accidents relatively often. Taxis simply cover more kilometres, and this considerably increases the risk of an accident. Insurers that offer taxi insurance often apply very strict conditions. This page describes the situation in the Netherlands.
Compulsory insurance for taxis
The insurance obligation for a taxi is an obligation imposed on all taxi operators to insure their vehicles against the risks involved in taking part in road traffic. This obligation also applies to other drivers of motor vehicles. This means that a taxi operator is required to take out insurance for their vehicles that provides adequate liability cover. Only third-party liability insurance (WA) is compulsory. Extensions (limited casco or fully comprehensive) are not.
Third-party liability insurance (WA)
WA cover is compulsory insurance for motor vehicles, including taxis. Regular third-party liability insurance is not sufficient. That is because most insurers include an exclusion in their conditions for taxis or vehicles used professionally. Third-party liability insurance for taxis covers damage to other road users if the taxi driver is liable for it, for example if a taxi driver ignores a priority rule and hits a pedestrian who is crossing. Anyone who cannot get taxi insurance on the regular insurance market can turn to De Vereende. This is only possible through an insurance adviser. Most Dutch insurers offer their website and policy documents in Dutch only.
Limited casco
In addition to the compulsory WA cover, extensions are possible, for example limited casco cover (WA+, also "third party, fire and theft plus"). This extra cover provides protection against a number of specific types of damage to the taxi, for example window breakage, storm damage, hail damage, collisions with animals, theft damage, burglary damage and fire damage. The policy conditions make clear which damage is and is not covered. Damage to your own vehicle caused by an accident you caused yourself is in any case not covered.
Fully comprehensive
Fully comprehensive (all-risk) insurance for the taxi is the most extensive cover available. This cover includes everything that also falls under limited casco cover, plus a number of extra events. Think, for example, of damage to your own vehicle from a single-vehicle accident or the taxi ending up in the water. Even damage to your own vehicle through the insured's own fault is covered. Within taxi insurance, however, the excess is often fairly high. Sometimes it can be voluntarily reduced in exchange for a higher premium.
Additional cover for taxi insurance
Additional insurance for taxi companies is insurance taken out on top of the compulsory insurance for taxi vehicles. This is extra cover aimed specifically at the risks involved in running a taxi company. Several of these additional covers are very useful and are therefore certainly worth considering.
Passenger accident insurance (OIV)
Passenger accident insurance (Ongevallen Inzittendenverzekering) pays out a fixed amount if a passenger dies or becomes permanently disabled as a result of an accident. The amount paid out is set in advance in the policy. It does not matter whether or not the taxi driver is to blame for the accident.
Passenger damage insurance (SVI)
This indemnity insurance covers damage to passengers as a result of an accident. This includes not only medical costs, but also, for example, non-material damages, damage to clothing, damage to luggage and so on. Unlike OIV cover, it is not a fixed-sum insurance. This means that the actual damage is compensated, not a fixed amount stated in the policy.
Accident insurance for staff
Collective labour agreements (cao's) often impose all kinds of obligations, such as accident insurance for employees. Accident insurance for staff pays out a benefit if the insured person becomes disabled or dies as a result of an accident. Because of the applicable cao provisions, this is a very important insurance that the employer would be wise to take out for their staff.
Driver-employee damage insurance
This indemnity insurance covers accident damage suffered by the employee who drives the taxi. This is important, because the employee-driver can hold the employer legally liable for it. The employer must then compensate the damage. This damage also includes, for example, loss of income and can run very high. That is why this indemnity insurance is recommended for every employer who has taxi drivers working for them. This insurance is also sometimes called employee damage insurance (werknemersschadeverzekering).
Liability insurance for taxi companies
A taxi company can be held liable not only after a road accident, but also on the basis of a breach of the contract of carriage concluded with the customer who is being or will be transported. This is not covered by third-party liability insurance (WA); for that, additional liability insurance is required. This insurance will provide cover, for example, if you forget a scheduled ride and a customer misses an expensive flight as a result. This insurance is also useful for damage to property of third parties. The sum insured (often €1.25 million or more) will largely determine what this insurance for taxis costs.
Disability insurance
Many self-employed people become unable to work for a long period at some point. This is certainly not always due to their work; it can also happen, for example, through a sports injury or another accident. That is why disability insurance is an interesting insurance for self-employed taxi drivers. This insurance pays out an amount if you can no longer work due to the loss of a physical function. Bear in mind that disability insurance for self-employed taxi drivers is generally fairly expensive because of the high occupational risk.
Legal expenses insurance
With legal expenses insurance, as a taxi driver you can be sure of legal help if legal proceedings are needed, for example to recover damage to the taxi from another road user who is liable for it. This additional insurance is sometimes included in so-called taxi packages, which cover various risks at the same time.
Monthly expenses insurance
Monthly expenses insurance (maandlastenverzekering) is an additional insurance for self-employed taxi operators. It makes it possible to insure fixed monthly expenses against unforeseen circumstances, for example if the taxi operator becomes unable to work. The fixed expenses can then simply continue to be paid. There are many choices regarding the sum insured, the benefit period and the waiting period. This affects the price of this additional cover.
Cyber risk insurance
More and more taxi companies use digital tools to make booking a ride easier. The number of apps used for this has also increased considerably in recent years. This brings risks, such as theft of personal data, hacking and online extortion. That is why cyber risk insurance is interesting. This insurance ensures that you get assistance if certain cyber risks materialise. It remains important, however, to have your own security properly in order.
Cost of taxi insurance
The premium for taxi insurance depends on many factors. In general, taxi insurance will be more expensive than insuring a car for private use, because the risk of an accident is greater for a taxi. This has to do with, among other things, the many kilometres driven, often during rush hours and in urban areas.
In any case, the WA premium will also depend on the power of the car, the weight of the car, the claims history and where the taxi is used. It is cheaper to insure a taxi that drives in rural areas than a taxi that is mainly used in the big cities. The premium for limited casco cover depends on the current value of the taxi and on other factors, for example whether the taxi is operated by one driver or two. The premium for fully comprehensive insurance depends on the use and the original list price. Also take into account insurance premium tax of 21%. A higher or lower excess will also affect the cost of taxi insurance.
Comparing taxi insurance
Note that it is not easy to predict what taxi insurance costs, because there are so many factors that determine the final price tag. That is exactly why comparing taxi insurance is so important. There are several insurers that still offer taxi insurance. This is the case, among others, for Avéro Achmea and De Vereende. Nationale-Nederlanden, Aegon (now part of a.s.r.) and Allianz, among others, no longer offer taxi insurance at the time of writing. Premiums can sometimes differ considerably, but the same applies to other things such as the excess. When comparing taxi insurance, it is therefore important not only to look at the premium, but to read the policy conditions in full and compare them carefully side by side.
Anyone who cannot get insurance from one of the few insurance companies that offer taxi insurance can take out taxi insurance with De Vereende. The company works with tailor-made quotes for this. Very strict conditions apply. For example, premiums often have to be paid months in advance, relatively high excesses apply and a deposit is usually required. You also need to take such additional policy conditions into account when comparing taxi insurance.
Liability of taxi companies in a road accident
In the world of passenger transport, different forms of liability come into play. There is the liability arising from the contract of carriage between the passenger and the taxi driver, there is the liability arising from taking part in road traffic and, finally, there is also employer's liability. Each form of liability can come into play in a road accident or another event in which damage has occurred.
Liability in road traffic
In road traffic, the liability of a taxi driver is linked to traffic legislation. Taxi drivers are subject to the same traffic rules as other road users and can be held responsible for traffic offences, such as speeding, driving under the influence or ignoring a traffic light. If a taxi driver is involved in a road accident, liability will be determined by the circumstances of the accident. If the taxi driver is held liable for the accident, he can be ordered to pay compensation to the other party or parties involved in the accident. This form of liability is covered by the compulsory third-party liability insurance (WA) for taxis.
Liability and the contract of carriage
A taxi company can also be liable on the basis of the contract of carriage concluded with the passenger. Under a contract of carriage, the taxi driver has the obligation to get the passenger to their final destination safely and within a reasonable time. He must also make sure that the passenger's belongings are not damaged or lost. If this does not succeed, the taxi company may be liable for the damage, unless there is force majeure.
Liability for staff
An employer bears a great responsibility towards staff and towards third parties. In the event of an accident during working hours, the employer can be held liable for the damage suffered by the employee taxi driver. The employer can also be liable for damage caused to third parties by the employee taxi driver. These types of damage are not covered by the compulsory third-party liability insurance (WA). It is important that the employer covers this liability risk with suitable liability insurance.
Liability in a collision with a taxi
Liability in a collision with a taxi is a complex subject, as many factors can influence who is liable for the damage. There are various situations in which a collision with a taxi can take place, such as a collision with a car, cyclist, e-scooter, scooter or pedestrian. Each of these situations can lead to different arrangements.
Collision with a car
A taxi is a motor vehicle, just like other cars. They are equal road users, and neither of these parties enjoys extra protection under liability law. The taxi driver can therefore be liable if the collision is the result of a mistake by the taxi driver, such as inattention or recklessness. If, for example, the other driver runs a red light and hits the taxi, the other driver is liable for the damage. Of course, it is also possible that both parties contributed to the accident. In that case, only part of the damage will be compensated by the other party.
Liability in trafficCollision with a bus or tram
In a collision between a taxi and a bus or tram, liability depends on the circumstances of the accident. Like a taxi, a bus is a motor vehicle, so neither of these parties enjoys extra protection. The taxi's third-party liability insurance will cover the damage if the collision is the result of a mistake by the taxi driver. If, for example, the bus driver was inattentive or made mistakes, the transport company's insurance will probably compensate the damage. In some cases, both parties may bear partial responsibility. The same applies to collisions with a tram, but because a tram in principle always has priority, a tram driver will not easily be liable in a collision with a taxi.
Liability on public transportCollision with a cyclist or pedestrian
In a collision with a cyclist or a pedestrian, there is a vulnerable road user involved. Liability law protects these vulnerable road users against stronger road users, for example a taxi. In most cases, the taxi driver will have to compensate at least fifty percent of the damage. Liability in a collision with a pedestrian and liability in a collision with a cyclist are in principle arranged in a similar way. This also applies to e-bikes, with the exception of the speed pedelec, which can reach higher speeds.
Collision with an e-scooter
An electric scooter is a motor vehicle, so it is not a vulnerable road user. Liability in a collision with an electric scooter therefore depends on the circumstances of the case. This means that account is taken of who did or did not make a mistake and contributed to the accident. It is one of the reasons why an electric scooter must also be insured.
All about the electric scooter on public roadsCollision with a scooter
Taxis are often found in cities, the playground par excellence for scooters. It is therefore not surprising that a collision between a taxi and a scooter happens relatively often. Both vehicles are motorised, so liability depends on the circumstances of the case. Both a scooter and a taxi must therefore have third-party liability insurance (WA). In a collision, the WA insurer compensates the damage for which the driver is liable.
All about liability for scootersCompensation after a collision with a taxi
Taxi drivers have a great responsibility: getting passengers to their destination on time and, moreover, safely. To do so, they sometimes have to navigate narrow and busy streets. They share the road with other road users, so unfortunately an incident causing damage cannot always be ruled out. As the victim of a collision with a taxi, you may be entitled to compensation. If the taxi driver flees the scene, you may be able to get compensation from the Motor Insurers' Guarantee Fund (Waarborgfonds Motorverkeer).
Compensation as another road user
If you are injured in a collision with a taxi, it is advisable to fill in a European accident statement form (aanrijdingsformulier) together with the driver and to collect as much information as possible (name of the taxi company, name of the driver, details of witnesses, photos of the situation and so on). If the taxi driver does not want to cooperate, you can call the police. The police will investigate the situation and draw up an official report (proces-verbaal). It is also important to have a medical examination carried out. This should be done as soon as possible after the accident. The medical file helps you to claim compensation successfully. If the taxi driver is liable, you can get compensation. You do this by sending the taxi company a registered letter describing what happened, why the taxi company is liable and what the damage is.
Compensation as a passenger
As a passenger who has suffered damage, there are often several ways to obtain compensation. For example, it is possible to claim compensation on the basis of legal liability. The taxi driver may be liable for the road accident and therefore for your damage. Another road user may also be liable. In addition, it is possible to get compensation on the grounds of non-compliance with the contract of carriage. The taxi company will often have taken out insurance that compensates damage to passengers.
Material damage and non-material damage
When claiming compensation, both material damage and non-material damage are eligible for compensation. Material damage is a collective term for various types of damage that can be expressed in money relatively easily. Think, for example, of damage to luggage or loss of income. Non-material damage is damage that is less easy to express in money, for example pain and grief. Assessing this damage is specialist work and is based on earlier rulings by Dutch courts.
Frequently asked questions about taxis and liability
Taxis are a widely used means of transport, but what happens if there is a collision? Who is then liable for the damage? And how does the compensation process work? Many questions arise after a collision with a taxi, and it is important to know the right answers.
Does a taxi have to be inspected?
Yes, the vehicle must be inspected by the Netherlands Vehicle Authority (RDW). To apply for the inspection, a taxi licence is required. The inspection checks whether the car is safe enough to transport people.
Can I work as a self-employed person without a taxi licence?
As a taxi business, you need a licence in principle. An exception applies if you hire out your services to a taxi company and drive for the account and risk of another taxi company. That taxi company must of course have the necessary licences.
Can I also use my taxi for other transport?
Other transport, such as transporting goods, is possible as long as it remains incidental. For the exemption from motor vehicle tax (motorrijtuigenbelasting), a taxi with a licence under the Passenger Transport Act 2000 (Wet personenvervoer 2000) must be used wholly or almost wholly for taxi transport (Article 72(1)(n) of the Motor Vehicle Tax Act 1994 (Wet op de motorrijtuigenbelasting 1994)). Anyone who also uses the taxi a lot for other transport can lose that exemption.
Is insurance for my taxi compulsory?
Like all other drivers of motor vehicles, you are required to have third-party liability insurance (WA). This insurance covers damage to others for which you are liable. Other insurance, for example legal expenses insurance or casco insurance, is not compulsory.
I use my private car as a taxi. Can I then claim under the SVI insurance?
The policy conditions will usually state that damage is not insured if a private car is used as a taxi.
I have been hit by a taxi, what can I do?
It is important to stay calm and gather evidence, for example by collecting witness details and by filling in a European accident statement form together with the taxi driver. If that does not work, inform the police. Also have a medical assessment carried out as soon as possible and, if appropriate, hold the taxi company liable for your damage.
Do I have to call the police after a collision with a taxi?
No, it is not necessary to call the police after a collision with a taxi. You can often sort it out without the police and fill in the accident statement form together. You do not have to agree with each other about it. In some cases, for example if there is a threat to road safety or a drunk driver who will not cooperate, calling the police is advisable.