Fleet insurance is vital for any company or business that uses 2 or more cars, vans, minibuses, trucks, taxis, HGVs and even motorbikes.
What is fleet insurance
Fleet insurance policies are typically available for businesses running five or more vehicles. They can also benefit families where more than one car is in need of insurance. This policy is often bespoke to make sure you get the right cover for you and your family.
Furthermore, the vehicles you insure don’t have to be the same type under family fleet insurance. For example, if you’ve got a couple of cars, a campervan, a motorbike and a horsebox, you can cover these under one family fleet policy.
What is fleet insurance??
Fleet insurance covers your fleet of vehicles so you can save your company up to thousands. In addition, it allows you to keep track of which vehicles are. Insuring all your vehicles under one policy gives you flexibility and total control.
What does it cover?
Insurance for your fleet of vehicles can cover a variety of things, such as loss or damage, breakdown, replacement costs as well as support towards legal and medical costs in the event of a crash.
Benefits of Fleet Insurance
There are many benefits of getting fleet insurance, including:
- Cover all your vehicles under a single, easy-to-manage policy
- Cover for different types of vehicles including cars, vans, HGVs, taxis and minibuses
- Any driver cover available
- No excesses
- Instant cover
- One insurance policy can cover all of your vehicles
- Up to 20,000 vehicles on a single policy
Get in touch to get advice and help finding a policy.
Types of Cover Available
You can choose from three levels of cover when you’re taking out a fleet cover policy:
Third-party only (TPO)
This is the minimum level of cover you must have by law in the UK if you drive vehicles on public roads. It covers the cost of damage done to other vehicles, people, and their property in the event of an accident. However, it won’t pay to fix any damage to your vehicles or your property.
Third party, fire and theft (TPFT)
Third party, fire and theft includes TPO and also covers the cost if your vehicles get damaged by fire or stolen.
Comprehensive cover gives you TPFT and also pays for damage done to your vehicles if they’re in an accident. Some policies will also include windscreen cover and pay to replace your belongings. This is usually the most expensive level of cover you can buy.
Telematics fleet insurance
Telematics is a rapidly growing area of the insurance market and it’s particularly popular with commercial fleets. You can use it to monitor the performance of different drivers and to make business efficiencies.
The policies use a black box or mobile phone app to calculate premiums based on the standard and nature of driving. They can feedback sophisticated data so that the business can analyse the performance of its fleet.
What else can fleet insurance cover?
All policies will vary and some will include a wide range of cover as standard. Others will offer additional protection for extra payment, and others will only offer basic cover.
What you need will depend on your business, but some of the options to look out for include:
- Employers’ liability insurance (a legal requirement if you’re employing drivers)
- Public liability insurance
- Insurance for driving in Europe
- Breakdown cover
- Legal cover
- Haulage insurance
- Carriage of goods for hire or reward
- Carriage of own goods
- Courier insurance
- Goods in transit cover
- Trailer insurance
- Personal accident and sickness insurance
Does vehicle fleet insurance come with exclusions?
Insurance policies almost always come with some limitations and exclusions, although exactly what’s included and excluded can vary from one provider to the next. Some of the most common fleet insurance exclusions include:
No claims discount (NCD)
Unlike individual car insurance, motorbike insurance or van insurance policies, if you insure a fleet of vehicles under a single fleet policy you usually won’t earn a any claims bonus for those vehicles.
Theft from unattended vehicles
If you leave a van or car unattended you could find that your insurer won’t pay to replace tools, goods or belongings stolen from that vehicle.
Theft by deception
This is a typical exclusion for many insurance policies. It includes situations like handing over your keys to a valeter who later turns out to be a car thief.
It’s also worth bearing in mind that some insurers don’t offer a ‘third party only’ option on their fleet insurance policies. In some instances, comprehensive cover may be the standard option.
How to find insurance cheap?
Finding cheap insurance is a major concern for small businesses, and needless to say the cost of your policy is only likely to rise as your fleet grows.
Still, there are a few things small businesses (or large businesses, for that matter) can do to cut the cost of their insurance. For instance:
Insuring named drivers rather than opting for an ‘any driver’ policy. ‘Any driver’ fleet insurance policies offer a lot more flexibility, but they’re also riskier from an insurer’s point of view which means the premium will be higher.
Only insuring drivers that are over the age of 25 – younger drivers on this insurance policy will almost certainly push the premium up.
Only insuring drivers that have clean driving records – it probably goes without saying that riskier drivers are likely to increase the cost of your insurance.
Paying for your fleet insurance annually rather than monthly – monthly payment plans tend to incur interest and admin fees, which means you’ll pay more for your fleet insurance if you opt to pay month
To get help with finding a cheap insurance quotes. Please get in touch with one of our advisors. As we’re not an insurer, we will only advise and direct you to the best insurer available.