It can be a costly process trying to negotiate the insurance premiums for your fleet of vehicles. The good news is that there are several things that you can do to lower those quotes and obtain cheaper fleet insurance. The tips in this guide will apply to all types of fleet vehicles, including company cars through to large capacity haulage vehicles.
Managers and company owners are already well aware of how much fleet premiums cost each year. Fortunately, there is enough scope for those tasked with this responsibility to reduce their expenditure when renewing cover. These real-world tips can help you achieve some great savings across the whole fleet if you take the time to implement them. Here’s six tips to cheaper fleet insurance for your business:
Ask your fleet insurer for your claim’s performance
To get a more competitive quote from your current insurer, you’ll want to ask them for your fleet’s authenticated claims performance. This document shows data from the whole of your fleet such as exposure and the number of claims you have made over the past few years.
This is useful because it will alert your current provider to the fact that you may be looking to switch. With this in mind, they should be encouraged to offer you a better deal in the hopes that you decide to renew with them.
Ensure you have the right type of fleet cover
You should consider what is actually included and excluded within your current policy. Many companies will have a few optional extras within their fleet cover that increase the total premium.
This includes things like windscreen cover. Set aside some time to look over these optional add-ons to see if you really need them. Anything that you don’t need can be removed. If there are extras that you do require, you may be able to find them cheaper elsewhere. One popular example that can usually be found cheaper elsewhere is breakdown cover.
Where are your fleet of vehicles based?
Generally speaking, your fleet insurance price will be cheaper if your vehicles are not primarily based in London. Many businesses sometimes make the easy mistake of informing their insurer that their fleet of vehicles are based in the city they operate from, even if there are no drivers or cars actually present. In this situation, let your insurance provider know details about your drivers along with their postcodes to cut your costs. The place you operate from can be different from where your company is registered or your business premises is located.
Improve fleet security to get cheaper fleet insurance
Improving the security of your vehicles is a great way to get cheaper fleet insurance. Modern vehicles already include many of the latest safety and security features. However, telematics devices, GPS tracking and after-market locks will certainly improve your fleets’ security in this regard. A small investment on your part could save you a lot in the medium to long term.
Improving the security of your business premises will also be beneficial. Afterall, it is likely that you will be storing your vehicles here so why not make sure it is safe to do so. As an absolute minimum, vehicles should be kept behind a locked gate. If you can store them inside that would be even better. Additional options include alarm systems, CCTV and secure fencing. Some firms may even choose to employ round the clock security personnel.
Selecting the right drivers for your fleet
When hiring new employees, you’ll need to carefully consider who you allow behind the wheel of your vehicles. Drivers aged 25 and over will almost certainly help you get cheaper fleet insurance. Moreover, you will want drivers with a clean license rather than those with multiple penalty points.
It could also be a great idea to invest in a number of driver training programmes as these will improve your drivers’ road safety. They will be much better equipped after completing this by understanding what it takes to be a responsible driver for the safety of themselves and the public at large. If you can demonstrate to your insurer that your drivers have passed the relevant training, they may reduce your yearly premium as you will be seen as a lower risk.
Re-evaluating your voluntary excess
By increasing your voluntary excess, you can also cut the costs of your total premium. The voluntary excess is part of what you pay when you pursue a claim. Insurers will see that those who are willing to set a higher total excess are less likely to pursue a claim.
Before adjusting this figure, look at the number of claims you have had over the years to better understand how likely you are to claim. Remember that whatever amount you do set; you will be expected to pay this in the event of a claim. Choose an amount you feel comfortable with.
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