Category Archives for "Fleet News"
Fleet Insurance is a must for those that deploy multiple vehicles to run their business. Not only is it required by law, but it also helps to protect your investment so your business can thrive well into the future.
By taking out a multi vehicle policy to cover your fleet of vehicles the premiums will be lower. This is possible because you have decided to purchase insurance in bulk. It is the same principal with most commodities, the more you purchase, the higher the discount is.
Before taking out an insurance policy, an organisation needs to assess how they use their vehicles. Items that factor into the selection for the right type of insurance policy include the following;
For protection against lawsuits a pblic liability policy is highly advised. This will cover the legal costs and any settlement when someone files an accusation against your business in court.
Because the fleet will be away from the office when in operation, the recovery of vehicles that break down is very handy to have. Unless a tow truck and mechanic are on staff, Breakdown assistance will cover the costs of recovering the vehicles when they become stranded on the road.
Each vehicle covered in a fleet insurance policy will have its own individual policy. While all of the policies can be the same, it is not a requirement. This makes it possible for the vehicle used by sales representatives to have Full Comprehensive while the delivery vans to be covered with a courier’s policy.
By taking out a fleet insurance policy all of the vehicles can be covered at a lower price. Because each vehicle is also covered with its own policy that fits the needs for how it is used, the correct type of coverage for each vehicle is obtained.
The dangers that fleet drivers face are considerably more than commuters have to deal with due to their increase presences on the motorways across the UK and Europe. There are ways to reduce these dangers and keep your fleet drivers safer and in so doing reduce your costs for multi car insurance.
Yes training is a key component to reducing accidents and risk levels of fleet drivers. With regularly schedule training session, the most important road safety hazards can be repeatedly discussed so the drivers will have these situations freshly implanted in their minds. These hazards include the following;
By providing your fleet drivers with a consistent message during the meetings, they will be better prepared to avoid the hazard when they encounter them on the road.
Again the answer is yes. This is another area that can be discussed during training. By consistently reminding your drivers of the dangers certain aspects of driving styles they can reduce the risks. These styles of driving that need to be avoided include the following;
While training is a vital component to reducing risk fleet drivers will face on the roads so are the right types of company policies all drivers must comply with while at work.
To help reduce fatigue there should be a time limit each driver has for continuously operating of a vehicle. Regularly scheduled breaks will reduce fatigue and help to keep drivers alert when on the road.
A policy on the proper use of a cell phone is a must today. There are many locations around the world where texting while driving is against the law. This should also be a company policy so it is in writing. The company should also provide the equipment so the phone can be answered and communication can occur while being hands free.
Each vehicle should also be regularly inspected to make sure they are road ready. This will reduce the risk of mechanical failures on the road.
The most important policy to have is a no tolerance on driving under the influence of alcohol.
A company can reduce the dangers that fleet drivers face by regularly scheduling training session and maintenance inspections on vehicles along with having the right policies in place. An added bonus of having these measures in place is most insurance companies will reduce the premiums cost for van fleet insurance because the risks have been reduced.
The price of UK fleet Insurance continues to increase. The introduction of keyless car entry is one of the key reason for the increase in car theft. As a result the price of auto insurance continues to increase. However, there are steps that can be taken to either reduce or keep the costs under control.
“Cars are being stolen and driven off within seconds,”
Clkive Wain head of police liaison at Tracker
The risk of claim is a main factor in determining your company fleet insurance costs.
Be proactive and act on the advise below. Communicate with your broker on these and any other measures that could reduce your annual premiums.
Increasingly technology is improving driving and also reducing the likelihood of accidents. Telematics enables each driver to receive the exact type of training required to reduce avoidable accidents.
In addition the software will also enable intelligent route planning based on both historical and real time information. Search for Telematics and Fleet manage for range of software as a service offers all available in the cloud
Security is now the number one factor used in determining your insurance premium. However, it is possible to take steps to reduce keyless car theft. One cheap method is to keep the keys in a metal box or a microwave. Faraday wallets are also available and will provide the same protection as a metal box.
Fit concealed trackers that will enable you to track the exact location of any stolen fleet vehicle.
If you manage a large fleet it may be worth the self insure approach. Effectively you provide your own fleet cover and just purchase the legal minimum of third party.
Give your broker all of your insurance business, including employee liability and public liability. In return most brokers will reward you with an attractive discount on your mot fleet insurance.
Are you facing the question of starting a small business fleet or providing a car allowance to your employees? Both options have benefits and the choice will depend on your business type and needs.
Having a business fleet of vehicles brings with it additional overheads, but if your company provides a delivery service the fleet option may be the only route. The first question that you must address is should you lease or buy. Each option comes with both advantages and disadvantages and you must select the one that best meets with your business requirements both now and the near future. Always look ahead when planning to make substantial investment.
Before proceeding with a leased fleet spend time to work out estimates for your additional costs including lease payments, fuel and fleet maintenance. Will managing the fleet be a full time job? If yes then add in the costs for an additional salaried employee. If the costs make it unfessible you can consider paying your employees an allowance toward a company car. The employee then leases direct saving you the worry of having to manage a business fleet.
Either approach will still require consideration of the type of insurance needed for the fleet business vehicles. This will depend on the vehicle use and your broker will be able to advise you further on the options for your individual business requirements.
Small fleet insurance will provide cover of all your business vehicles under one policy. The details of the policy will determine the costs. The more flexibility in the insurance conditions the more expensive, but flexibility may be a requirement that your business needs. With large fleets business fleet insurance will provide cover for different vehicle categories for example salesmen cars, delivery cars, vans or even large trucks.
Whichever route you choose spend time selecting the fleet manufacturer provider based insurance categories and the costs to repair and maintain that particular fleet model.
If you manage a motor fleet you will no doubt know what SORN is and how it can be used to the benefit of your company. In a nutshell applying for SORN will enable you to stop paying tax and insurance for a fleet vehicle that will no longer be driven on the public roads in the UK.
For those of you that have an off-road only vehicle you need to know what SORN is and how it will affect your pocketbook. Understanding this legal technicality about owning a vehicle that will not be used on a public road begins with what the acronym stands for or Statutory Off Road Notification.
Examples of vehicles that will fall under this category of motorized vehicles include land transportation that will only be used on private land of the owner of the vehicle. It will also include off road vehicle that will be transported to locations off of public roads for use as entertainment or amusement by the owner of the vehicle.
Other vehicles that can be classified as SORN include this collectible and scrap vehicles stored in garages.
As a legal point, if a SORN is not declared or the official paperwork is not completed, an owner of a vehicle can be fined up to £80 for owning a vehicle and not paying taxes on it.
If you vehicle is not road worthy, not taxed and uninsured it must be declared SORN as soon as possible. If this is not done you may well be fined.
A recent change to the SORN system is that once a vehicle is listed as a SORN, it will remain there indefinitely. In the past each vehicle had to be relisted every 12 months. That requirement has been removed.
For the car restoring enthusiasts, once their vehicle is close to or is ready for use on public road, insurance and taxes must be paid before the vehicle can be tested on a public road in the UK. If this is not done, then the owner and driver of the vehicle can be fined for operating an illegal vehicle on public roads.
Article contributed by Eamonn Turley
Keeping you multi car fleet maintained will reduce preventative incidents, leading to less time that your fleet vehicles spend in the local garage. The following routine checks will not take more than 30 mins and can be carried out by the driver, initial training is advised to ensure all drivers understand how to carry out these checks and also the importance of these checks.
Tires take the most wear and tear and connect your van to the road. Start by checking:
Oil is paramount in the smooth running of any engine, failure to change oil as required including the oil filter will lead to damage to the moving parts of you engines. The damage caused can be very expensive to fix and in some extreme cases require an expensive retooling or replacement.
With the latest advances belts play less of a roll indeed if any role in the modern engine, however some manufactures still rely on timing belts. Belts do wear out and failure to replace in time as per the manufacturer's instructions can result in a hefty bill to sort your engine block out.
The key here is to replace your battery before you are let down badly by a car that fails to start. Any quick fit operation can quickly run a check and provide you with a print out, showing you how well your battery is functioning. The test will check your batteries's ability to self charge and start your car, with an overall score which will indicate either good or time to replace.
Following the checks outlined above will reduce roadside breakdowns and reduce the number of hours that your valuable fleet of cars or vans are sitting in a garage.
Article contributed by Eamonn Turley
Below I have outlined some of the challenges and ethical questions that need addressed before we reach the goal of a car that is 100% driver-less ( no pedals and no steering wheel!).
Why should fleet managers be concerned with advances in driver-less technologies? Because these advances will drastically reduce the number of car accidents and this should lower the cost of multi car insurance.
The race to create a vehicle that reaches level 6 on the scale of the the Society of Automotive Engineer, which translates to a fully autonomous vehicle or in plain English a vehicle that does not need human intervention. Level 1 is car with no automation built into the 3 key driving elements (steering, braking and the gas pedal).
Currently in the USA and I am sure these figures will be similar in the UK 94% of accidents are the result of driver error. 3 million plus people have vision problems that prevent them from driving and let’s not forget senior citizens who are no longer able to drive. The journey to fully automated driving will drastically reduce road accidents and give the right of mobility to many more people in out society.
This is being debated, but in the meantime we have to answer some ethical questions. One of these questions is referred to as the trolley scenario.In this case you have a trolley moving down a rail line and in front five people are in its path. The trolley can only take one action to avoid killing the 5 people and that is by switching track, but one child is on the other track. Can you see the dilemma?
Can you see the dilemma given the knowledge that these cars rely on deep learning which is a form of artificial intelligence to make decisions. The artificial intelligence is a form of deep learning in which neural networks are trained by human engineers or programmers to take the appropriate action when driving autonomously.
So one of the ethical question is what do you train the AI to do? In addition should we allow these types of death and life decisions to be made by an artificial intelligence? Do we give equal weight to human life or should other factors be considered such as age? Should you the driver be killed in taking the necessary preventive action to minimize the outcome of an auto accident by artificial intelligence?
If level 6 is too much to contemplate lets consider levels 4 and 5. These cars are fully automated to drive in any weather condition, but will alert the driver when an accident that is unavoidable will occur and let the driver take the appropriate action so an artificial intelligence is not responsible for killing humans.
In the recent TESLA fatal accident the cars was operating at level 4 and it would have notified the driver by noise and if necessary touch that it needed human intervention. The accident is still being investigated as to why the standby driver did not take action. These cars rely heavily on artificial vision by using radar, cameras and LiDar in combination to create a 3D map of the driving environment. One theory is that one of these sensors malfunctioned which may have been caused by something as simple as dirt on the lenses.
Without doubt cars will continue to get safer as these new technologies are applied to new cars. Limits on driving hours will most likely be removed or increased as driver tiredness will be less of a factor in accident cause. The big question for fleet managers is will their fleet insurance costs be reduced? Possibly you would think, but would any decrease in insurance costs may be offset by the increased cost of vehicles with this new technology. LiDar is not cheap.
In my view long term these costs will come down like any new technology and we will all benefit by drastic reductions in road accidents which will reduce fleet insurance costs.
Article contributed by Eamonn Turley
All our intelligence suggests that monitoring by telematics is increasingly accepted . . . as a fact of life and the benefits more fully understood,
Ralph Morton, editorial director of Business Car Manager
This information can also be used to plan quicker routes this coupled with safer slow driving will also reduce fleet fuel costs, which by itself is a significant running cost.
This type of data enables the fleet manager to identify areas in which driving can be improved and enacting that by provision of additional training. To help get your drivers on board involve them, for example awarding prizes for best drivers, or create driving teams that compete against each other. In some cases this approach has made a significant reduction in claims. This not only reduces your company insurance costs, but also will decrease the time vehicles are off the road for accident repair.
Being able to substantially reduce the number of claims made against you fleet insurance policy puts you in a strong position at renewal time. This position can be used as leverage to negotiate a reduction in your fleet costs. Why? Your insurance premium cost is partly based on the number of claims that you make.
Insurance costs tend to increase or at best to stay level, but taking some prudent measures can lead to a reduction in your fleet policy costs. If you are a fleet manager you will understand that insurance is multi faceted with the premium based on a number of factors, one key factor is the fleet itself. Have you been wise and able to choose a manufacturer that has a sound reputation for building sound and reliable motors and at a reasonable cost? In addition the vehicle category selected should be easy and inexpensive to service with the price of replacement parts within the norm.
If you have the correct fleet type in place you may congratulate yourself in having taken the first major step in lower company fleet insurance.
Some key areas that you need to put all your energy and commitment into is the lowing of claims and taking measures to convince your insurance company that you are taking the correct steps to continue to lower your risk profile and frequency of future claims.
Start by taking control and bringing on board the drivers, let them know that the company focus is lowering fleet costs and that reducing the frequency of accidents plays a big role .
Let the workforce know that all accidents will be monitored and in cases that the accident is down to driver error, additional training will be provided. At the same time it could be wise to initiate a rewards program, maybe team based to get drivers motivated and tied into the new way forward.
Don't wait until the accident has happened be proactive and provide additional training. Use your knowledge that young drivers under 25 are more risk and if they need a company car can the driving be restricted to within office hours or daylight hours. Whilst that may seem unfair it has been proved to be effective to lowering accidents and thus premiums and the government is backing a similar approach .
These are mostly forward facing, but you can also get cameras that can record in front and behind the vehicle. These can help defend against any false claims or what is known within the industry as crash for cash. It also has a hidden benefit of intimidating any would be tailgaters once they see the camera ( even if not rear facing you can swivel it around so they now they are being filmed).
Another added benefit that has been noticed is that the driver behind the wheel no longer drives in a manner that is risky which in turn leads to a lower number of accidents in which your drivers are at fault.
A concealed tracking device will enable the location of your vehicle to be instantly available to the police. Cybit is one of the leaders in this technology and trusted by the insurance industry
Don’t include insurance for things that you do not need or things that can be replaced cheaply by your company take for example windscreens. Breakdown recovery is another option that can be outsourced to a local recovery company that provides coverage in the region that you operate or nationally.
The insurance company must know of any accident immediately in order to reduce and mitigate any claims from the third party. For example if the third party intends to hire a replacement vehicle your broker may have arrangements with a hire firm to provide this at a vastly reduced cost. If the underwriter has not been informed in a timely manner the third party may have gone direct to an expensive car rental agency.
Fighting a claim that you are guilty of can turn out to be expensive. If you are at fault it is best to admit it and reduce any court costs that most likely you or rather your underwriter will be then liable for.
The above list whilst not exhaustive is a good starting base as you embark on applying approaches to lowering the cost of company fleet insurance