Business owners should take certain steps to ensure that their motor fleets have the proper coverage. It’s important to minimize risk and save money, but it’s equally vital to periodically review the company’s vehicle policies. Below are several tips on finding affordable fleet insurance options.
Ensure Symbol 1 Liability Coverage
Commercial auto insurance policies are written with symbols from 1-9 that indicate the level of liability coverage. Symbol 1 provides the greatest protection because it covers any auto. Some policies are written to cover only specific vehicles, which can be risky for companies that regularly add and remove them. However, Symbol 1 fleet coverage can prevent most of these situations.
Base Deductibles on Each Occurrence, Not Each Vehicle
If fleets are parked in a constant location, a per-event deductible limits the amount the company has to pay when a storm, fire or other disaster damages multiple vehicles. For instance, if a policy has a $25,000 per-event disaster deductible, that’s the most the company will have to pay.
Screen Drivers Thoroughly
Business owners should thoroughly investigate drivers before hiring. This includes pulling each person’s motor vehicle record, as well as creating a points threshold for hiring. It’s also a good idea to ask potential drivers to submit to pre-employment and post-accident drug testing.
Set Procedures for Accident Reporting
Each commercial vehicle should include instructions for drivers to follow if an accident occurs. While the time after a collision can be overwhelming for a driver, these instructions can tell them exactly what to do to minimize risk to the company. It may also be helpful to install an on-board camera system, which can provide fault documentation in the event of a crash. With photo and video evidence, fleet owners can protect their companies against false personal injury claims.
Basic tips to find the right fleet policy include:
Choose Symbol 1 coverage
Base deductibles on each occurrence, not each vehicle
Consider purchasing the minimum limit for under- or uninsured motorist coverage
Being a business owner can be difficult, especially for those who manage large motor fleets. However, with the insurance tips listed here, owners will find it easier to get just the coverage they need.