7 proven ways to reduce your fleet insurance premiums
If you are responsible for managing a fleet of vehicles, the appropriate cover is an absolute necessity. You will want reassurances that your valuable assets are protected and safeguarded should an incident take place.
If you have decided that extensive policy inclusions are priority number one, you won’t want to pay more than required when obtaining business fleet insurance quotes. However, it does seem that prices have risen over the past 12 months, but you can still save big money when purchasing your next policy. This considered, here are seven ways to reduce your fleet insurance premiums.
Install fleet vehicle tracker technology
Vehicle trackers have several benefits when using them; they can help you locate a stolen vehicle and they are able to monitor your employees’ driving behaviour. instead of opting for a standard policy, a telematics policy, sometimes referred to as black box insurance can provide more useful data while saving your company money. If you are able to prove that your drivers are safe and considerate, your annual premiums are bound to be reduced in price. They also offer vehicle security features as the tracking device can easily locate the driver’s location, increasing the chances of recovering a stolen vehicle.
Ensure your fleet is fitted with alarms and immobilisers
Alarms and immobilisers can provide additional security, they can also reduce the price of your fleet insurance renewal quote. Depending on the nature of your business, the contents of your vehicles will differ. However, there’s a good chance that most businesses will have some expensive assets inside that need protecting 24/7.
An alarm and immobiliser will discourage and stop thieves from driving away with your vehicle and its contents. This could be when its locked in a secure overnight location or parked on the street.
Risk assessment before buying fleet insurance
Those businesses that have a large fleet of vehicles will be able to get a better deal as it will be in the interests of the insurer to retain you as a high value customer in the years ahead. Many insurers will have their own assessment and risk management team to offer the best solution before you purchase fleet insurance.
You will have the opportunity to discuss issues such as areas of improvement as well as your previous claims history, in addition to what drivers should do if they are involved in an incident. By working with your provider, a suitable solution can be found. It’s also useful to carry out your own in-house risk assessment too. Using technology to monitor driver behaviour can make a huge difference.
Combine your fleet insurance with other cover
If you are buying other forms of business cover, some insurers will allow you to combine policies. This could enable fleet managers to combine public and employee liability cover with fleet insurance. Larger firms can get the best discounts as many insurance providers will want to retain their business through offering a whole range of services.
Remove any unwanted optional extras
Similar to other forms of insurance, you will be offered a wide range of optional extras and supplemental cover. These aren’t always necessary so think twice before including them. Windscreen cover is one common example that can sometimes increase the price, although it is worth noting that the cost of repair or replacement could be cheaper through an independent third party.
Comparing the best breakdown cover and buying this separately could save you even more moving forwards.
Take advantage of fleet vehicles that cost less to insure
It can be very expensive for many firms to purchase a whole new fleet or lease newly updated vehicles. However, this could in fact save you money in the long term.
This is because newer vehicles are fitted with the latest security systems, meaning they are less likely to be stolen. The latest safety features could protect you against personal injury claims. Furthermore, as more and more companies are moving towards sustainable initiatives, better fuel efficiency and reduced carbon emissions will also be a huge plus. You will also be saving money on fuel, breakdown and repairs too.
The type of vehicle you opt for will ultimately depend on the nature of your business, so your options may be limited. Reducing risk where possible will move you towards a cheaper insurance premium.
Increase the voluntary excess of your fleet insurance
Similar to any standard car insurance policy, you will likely have the option to increase your fleet insurance’s voluntary excess. This will likely mean lower prices, although you will be expected to pay this higher amount when pursuing a claim.
Those that don’t claim that often will benefit from a higher excess, so it can be a good option to consider. Remember to select an amount that you feel comfortable with as you don’t want to end up spending more than you have actually saved with the increased total excess.
To summarise, fleet insurance can be costly but is necessary to provide the right protection for your valuable assets. There are a number of steps you can take to reduce your annual costs, some of which we have highlighted above.
