How to Reduce the cost of Fleet Insurance

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Negotiating the insurance premiums for fleet vehicles can be a costly process. There are, however, several things you can do to help bring those premiums down for your fleet vehicles. These tips will apply to all sorts of fleet vehicles, from company cars through to large-capacity haulage vehicles.

If you are responsible for your company’s fleet of cars then you will be well aware of how much the insurance premiums come to every year. Luckily, there is scope for fleet managers to look at reducing their fleet insurance costs when the time comes to renew their cover. These real-world tips can see some great savings across the whole fleet if you take the time to implement them.

Here are three of the best ways to save money off fleet vehicle insurance. 

Ask for your claims performance

One excellent initial way to help get a better quote from your current insurer is to ask them for your fleet’s authenticated claims experience. This is a document that shows data from the whole of your fleet such as exposure and the number of claims made over the last few years. Where this can work a treat is that it will alert your current insurer to the fact you may be looking to move elsewhere. This will therefore encourage them to give you a better deal to stick with them.

Make sure you have the right type of cover

Another area to consider is what is included in your current insurance premium. Most companies will have a few extras in their fleet insurance that soon bump the overall cost up. Things like windscreen cover are a great example of this. Take the time to consider not only if you really need these extras and if so, could you get it cheaper elsewhere? By doing this, you will soon drive your costs down.

Look at where your vehicles are based

In general terms, your fleet insurance costs will be cheaper if the vehicles are not mainly used in a city like London. Some companies make the mistake of telling their insurers that their fleet is based in the city they operate from, even if the cars are not actually present or driven there! If this is the case, let your insurer know the details of your drivers and their postcodes to drive your costs down.

Of course, one superb way to find better value fleet insurance is to shop around between insurers. Browse our site today to see all the best quotes from all the best insurers.

Improve security

A key way of reducing fleet vehicle insurance costs is to improve the security of the vehicle itself. Modern vehicles will doubtless have standard safety features, but after-market locks, tracking systems, and telemetry devices can have a big impact on lowering insurance costs. 

Also, improve the security of the premises the vehicles are stored in when not in use. At the very least the vehicles should be kept behind a locked gate. Secure fencing, CCTV and alarm systems, and storing vehicles inside whenever possible can make them less of a theft risk. 

Driver selection

Being discerning with the drivers you allow into your vehicles can also lower your insurance costs. Drivers over 25 are almost always cheaper to insure. As are drivers who have clean licences versus those who have a number of endorsements, and experience driving your fleet’s vehicle type.

It may also be worth investing in a range of driver training activities to improve your drivers’ skills. Demonstrating to your insurance provider that your drivers are trained to handle the vehicles safely in all circumstances, they should respond in kind by offering lower premiums to insure them. 

Re-evaluate payments

Your insurance will automatically lower if you raise your voluntary excess – namely the amount you pay if the vehicle is involved in an accident. Although it’s potentially risky, it’s a tried and tested way of lowering insurance costs if you weight up the probabilities of an accident. 

Choosing to pay your policy annually can also save you money. It’s a larger upfront cost, but once it’s paid there’s nothing more to worry about. Though this can be more practical for smaller vehicle fleets, depending on the circumstances it may be worthwhile to consider for large fleets too.

Let us help you find better value fleet insurance today

Want more ways to reduce fleet insurance? Check out our ‘How to Save Money on Fleet Insurance‘ Guide.