Lorries get local per mile cover

Broker Towergate and Aviva are to launch the azudrive policy to charge lorry drivers only when their vehicles are on the road on a per mile basis, the Telegraph reports.

"You will only buy insurance when the vehicle is moving. Local drivers will pay less," said Larry Smith, managing director of Towergate Risk Solutions., saying it was "an undeniably fairer method of insurance premium calculation".

The system will use data from the tachograph to charge for insurance. Towergate estimate a 25% saving for hauliers doing only local trips.

Towergate is broker for both the Road Haulage Association and the Freight Transport Association.