Fleet insurance, as the name suggests, cover all your vehicles (fleet) under convenience of a single policy. You obviously will need two vehicles at least to get considered for the fleet policy.
Benefits of Having Fleet Insurance
Fleet insurance will have many benefits for your company including;
- Lower expense – Insuring your vehicles in the fleet policy can generally work out much cheaper than to insure them on the individual basis.
- It is no hassle. The cheap fleet insurance is very simple to keep proper track of since you will just have a single renewal date and just one policy to take care of. Vehicles will easily get added and taken off from your policy throughout a year!
- Driver options. Fleet can also be insured in a way that enables anybody with your permission can drive your vehicles. Obviously this makes life much easier for any reason you wanted to switch vehicles and borrow vehicle to somebody unexpected.
Insurer should understand operational demands of a fleet, mainly if it’s operating many heavy-duty trucks or commercial vehicles. Whereas each fleet operator may have their unique needs, and there are a few basic factors that each company may take in consideration while calculating the fleet insurance costs.
- Vehicle condition and age
- Number of vehicles –their type insured
- Claims history
- Estimated kilometres
- Driver behavior history
- Vehicle telematics solutions
- Routes travelled, for example urban or rural
- Book value of every vehicle covered
In order, to qualify for the cheap fleet insurance, vehicles should be owned by same business or person. Insurer generally needs minimum number of the vehicles for an insured to get qualify for the fleet insurance.
What you need to look for?
The fleet insurance premiums must be based particularly on a risk profile of your business. It’s necessary to investigate following when selecting the fleet insurance firm:
- Cover for the reasonable storage expenses and towing to nearest repairer
- Availability of the emergency roadside assistance
- Ability of an insurer to administer claims processes quickly and effectively