Niche motor trade insurer Road Runner has produced a road risks and liability policy specifically for classic car traders.

The policy is available to motor traders, with or without business premises, who are involved in buying, selling or restoring vintage or classic cars.

The cover provides for public, products and employer's liabilities together with indemnity for defective workmanship and damage caused to vehicles during work in progress.

The motor trader is also protected while driving his classic vehicles for business, social and domestic purposes on either a third party or on a comprehensive basis.

The road risks cover can be extended to named drivers over 21, and includes demonstration use by customers while accompanied by the trader.

Mike Slack, managing director of Road Runner, said its drive into the classic motor trade market is in response to this specialist sector's recent growth.

He added: "Brokers have often shied away from this type of business, but we aim to prove how simple it is to secure cover for the small motor trader."