Commercial Plan Insurance
Fleet Insurance FAQ’s
How do I lower the cost of my Fleet Insurance?
How many vehicles do I have to have to qualify for a
Fleet Insurance policy?
I have 5 vehicles but they are mine not my company’s
can I get a Fleet Insurance policy?
What will a Fleet Insurance cover me to use my vehicles for?
What vehicles can I get cover for on a Fleet Insurance policy?
Will I get a no claims bonus on a Fleet Insurance policy?
What are the consequences if I decide to move away
from a Fleet Insurance policy?
Can I have a combination of insurance covers like TPO
and Comprehensive on a Fleet Insurance?
As a Fleet manager or small business operator, you may
feel there is little you can do to reduce the cost of your fleet insurance for your company.
Apart from the standard underwriting criteria, there are two
main factors, both related to claims history that have an impact on the cost of fleet insurance premiums. They are accident frequency & the cost of a claim.
So how can you have a positive impact on these two areas and lower the cost of your fleet insurance?
Accident Frequency
Accident frequency can be addressed in the following ways;
1 Vetting of Drivers
Set a standard driver vetting procedure in which you;
- Secure of a copy of the driver’s licence from the DVLA. This will ensure the
license produced has not been tampered with and that the information contained on it is up to date and correct.
- Contact the driver’s previous insurer to check their accident history. This could be on a business or private policy.
2 Driver Training and Awareness
Many fleet operators send their drivers on driver training
courses. These are of significant value and should be
recommended wherever possible.
These courses assist with driver awareness and general safety. In order to allow the drivers to put
into practice these skills schedules for
new drivers must be realistic. By working together with the drivers, we are able to have a positive impact on their attitude and accident frequency.
Cost of Claim
Time is money - The time it takes to report an accident to your insurer has a
significant impact on the cost of the claim. The longer the delay, the greater the cost. It is not sufficient just to report any incident to the fleet
operator/manager. Costs start mounting from the day of
the accident. Only by reporting the matter to your insurer
immediately can they take control of the claim and savings
be made.
A typical example would be that one of your drivers hit
another vehicle in the rear. They fail to report the accident
until they receive a letter holding them responsible. They
thought the incident was so small as to not be bothered.
The accident is reported to the insurer 30 days after the
event, only as a result of the driver receiving a letter from
solicitors acting for the other party.
So what impact has this delay had on the cost to your
insurer?
Thirty day hire charges at £45.00 per day + VAT = £1586.25
Storage charges at £15.00 per day + VAT = £528.78
Total £2,115.03
Should the vehicle repair costs of say £1,000, be recovered
by solicitors acting for the Third Party, they will receive
an additional 20% on their costs based on the value
of the amount recovered. This could be avoided, by
payment being made direct to the Third Party by your
insurer, something they can’t do if they are not aware of
the accident.
The typical cost for a simple accident as
described above would be as follows;
Vehicle Repair Cost £1,000.00
Vehicle Hire & Storage as above £2,115.03
NHS Charges £452.00
Medical Report £400.00
General Damages (whiplash injury) £1,500.00
Solicitors Costs £2,024.52
Total £7,491.55
Were all matters reported to insurers immediately, the
impact on this cost would be as follows.
Vehicle Repair Cost £1,000.00
Paid direct to TP or TP insurer without need for Solicitors.
Vehicle Hire & Storage as above £ Nil
Free vehicle provided £452.00
Medical Report £400.00
General Damages (whiplash injury) £1,500.00
Solicitors Costs £1,292.50
Total £4,644.50
The total achieved by the insurer as a result of being
advised of the accident on the day of the loss as opposed
to 30 days late is.
A saving of £2,827.05 or 37%!
If you are a fleet operator with say 5 similar accidents in the
year, the total current third party cost to your insurer would
be £37,455!
By addressing the areas identified above, this could be
reduced to £23,222.
Working in partnership with your broker and insurer can
make a significant impact on the cost of your fleet insurance, and in turn the smooth running and profitability of your business. Through working together, we are able to keep the cost of your fleet insurance down year on year.
For you low cost fleet insurancequotation call Commercial Plan Insurance on 0844 576 5756.
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The standard minimum amount of vehicles that you must
have for a Fleet Insurance policy is 3 vehicles or over. So if you have 5
vans its ok, if you have 2 lorry’s and 3 vans then you will be
able to insure them under a Fleet Insurance policy.
For you low cost fleet insurancequotation call Commercial Plan Insurance on 0844 576 5756.
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Vehicles must be registered in the name of the company
or a partner or director of the company. So if you have 5
vehicles you can insure them all under a fleet insurance policy.
What
you cannot do is insure the cars of employees or family
members you are not either partners or directors of the
business.
For you low cost fleet insurancequotation call Commercial Plan Insurance on 0844 576 5756.
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Commercial Plan Insurance can obtain cover for courier, private hire, haulage, social domestic and pleasure use, along with many other types of use, on a fleet insurance policy.
For you low cost fleet insurancequotation call Commercial Plan Insurance on 0844 576 5756.
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With Commercial Plan Insuranceyou can cover an Artic, Bus, Car, Coach, Curtainside, Flatbed, Taillift, Tipper, and Van on a fleet insurance policy.
For you low cost fleet insurancequotation call Commercial Plan Insurance on 0844 576 5756.
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You will not get a no claims bonus but a fleet insurance bonus. It has
the exact same concept of a no claims bonus, it will still get
you a discount at renewal of your Fleet Insurance.
With individual
vehicle insurance the computer calculates the rates from
a set price list and this depends various factors, such as,
the area you live the type of car you have and of course
how many years you have held claims free insurance.
Fleet insurance bonus comes in the form of a claims experience, unlike a
private car insurance the underwriters are looking to make
a profit from the fleet insurance and you tend not to pay for claims
made in the market as a whole.
For you low cost fleet insurancequotation call Commercial Plan Insurance on 0844 576 5756.
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Most private car insurers will honour NCB for 2 years and
some even for 3 years. So if you change back from a fleet insurance within that time your No Claims Bonus will still be valid (as long as you are still claim free).
For you low cost fleet insurancequotation call Commercial Plan Insurance on 0844 576 5756.
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Yes! If you have say 3 vans and 10 lorry’s on your fleet insurance you will be able to say that you want the vans insured as Third Party Only
and the lorry’s to have comprehensive cover on the same fleet insurance policy.
For you low cost fleet insurancequotation call Commercial Plan Insurance on 0844 576 5756.
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