Fleet Insurance, a better option for Businesses?
posted 17th January 2022
Many businesses start trading with one or two vehicles that are individually insured on car or van policies. As the business grows, more vehicles and employees are added, and before too long they have a number of individual policies for different vehicles and drivers, all due for renewal at different times of the year. Not only does this start to get expensive, but can be a logistical nightmare for whoever looks after the vehicle insurances, particularly if there are claims.
Fleet Insurance is designed to turn that nightmare into a daydream, by providing a single policy (and just one renewal date) that covers all of the vehicles and drivers in one place. A single policy means a single renewal date and premium, usually a single set of documents (most fleet insurers operate a "blanket" or "open" certificate that is not vehicle specific) and a single intermediary or insurer to deal with.
Fleet policies are also designed to be more user friendly and convenient for policyholders. Rather than named drivers, most fleet policies offer Any Driver cover, you just select the minimum age of driver and anybody that age or above is insured to drive. The higher you set the age limit the lower the premium. Fleet is also rated differently to car or van, there is no No Claims Discount to lose as Fleet is Claims Experience Rated. At the end of the year the insurer calculates the number of vehicles on cover throughout the year, the number of claims and the total costs and uses this information to set the renewal premium. This means that a single large claim will most likely have less impact on your premium than on a car or van policy.
As Fleet policies are designed to be easier than can also cater for pretty much any type of vehicle. From cars and vans to 32 ton Tippers or 44 ton Artic Lorries, to Diggers, Tele-hoists, Forklift Trucks, and even Tractors, Snow Ploughs and Combine Harvesters.
Almost all trades can be covered, be it an office risk like Estate Agents or Surveyors, to all types of Building Trades including Scaffolders and Groundworkers, and even for Haualge companies.
Fleet policies also allow for Directors vehicles to be added if required, so if a Director decides to lease a brand new Range Rover or Tesla, these can be added to the fleet for comparatively less insurance costs than insuring individually.
For more information on Fleet Insurance please feel free to get in touch with one of our Motor Team who will be happy to discuss it with you.