Guide To Fleet Insurance For Businesses That Rely On Vehicles

Fleet insurance is a type of business insurance for companies that own more than two cars. It lets you insure a number of vehicles on a single insurance policy, whether they are cars, vans, trucks or construction equipment, fleet insurance covers multiple vehicles that your organisation owns and uses for business any reasons. It can be used by any registered business with a fleet of two or more company-owned cars. This type of insurance is a great way to handle the insurance needs of a fleet of business cars because it covers all of them with just one policy. So, when it’s time to renew, you’ll only have to make changes to one policy, no matter how many cars your business uses.

What kinds of vehicles are covered by fleet insurance?

Fleet insurance covers all of the types of vehicles that your company owns and uses for work. This includes taxis, motorcycles, minibuses, HGVs, trucks, and even construction equipment that your workers use to get to and from work. As long as all the cars you want to insure are registered to the same business, they can be covered under a single policy for a fleet.

Is there more than one kind of fleet insurance?

Yes, there are different levels of fleet insurance coverage for your business, just like there are different types of business and home insurance. Most of the time, these fall into three groups:

1. Third party only

If you choose third party fleet insurance only, you’ll be covered if another driver or his or her car is damaged by you. This is the cheapest type of fleet insurance, and it’s also the legal minimum that fleet companies need to be able to run. Even though this type of fleet insurance is cheaper than others, it does not cover damage to your own cars or drivers. So, if you got into an accident, you’d have to pay for any fixes to your own cars.

2. Third party, fire and theft

Third-party, fire, and theft fleet insurance protects you more than just third-party insurance alone. Even though this insurance is not required by law, adding fire and theft means you can file a claim if a vehicle in your fleet is stolen or gets damaged in a fire. This type of insurance also protects you if you hurt someone or damage their vehicle in a car accident.

3. Fully comprehensive

Fully comprehensive fleet insurance is the most advanced and most expensive of the three types of policies generally available. If you choose fully comprehensive fleet insurance, you are protected against theft, fire, and damage to third parties. You are also covered if your own cars or drivers get damaged.

How much does it cost to cover a fleet?

How much you pay for fleet insurance relies on how much coverage you get, what kinds of vehicles and drivers you have,  and how much coverage you get. When you make an application for fleet insurance, you’ll be asked a few questions about the vehicles, the answers will determine how much your premium will be. Cost will be affected by the age of the vehicle, the number of miles driven each year, the age of the driver, their driving experience, and where they live.

Fleet insurers often ask things like:

• How many vehicles do you wish to insure as part of your fleet?
• Which kinds of cars do you want to cover?
• How old are the cars and trucks?
• How often do people use the cars?
• What kind of shape are the cars in?
• Where do the cars sleep for the night?

These questions are meant to help an insurer figure out how risky your business is, so it’s important to answer them honestly and accurately. If any of the information you gave turns out to be false, you might not be able to make a claim in the future.

Does the insurance for my fleet cover the drivers themselves?

Again, this depends on what kind of insurance policy you buy. Fully complete fleet insurance is the only kind that covers drivers, so if you want your drivers to be covered, this is the type of policy you should look into. When you ask for full coverage, you will also be asked for information about the drivers in your company. This is so that an insurer can give you a price that is unique to your business and its needs. As before, it’s important to give honest answers and offer all the needed information when asked.

Some things about drivers that usually affect fleet insurance rates are:

• Driver age
• Whether you want to name specific drivers or have a “all-driver” policy that covers everyone who meets the driver standards (when you name each driver, the price of the insurance usually goes down, on the other hand, having drivers under 25 in your fleet can make the costs go up)
• Any driving violations in the past

If you choose to name each driver, it’s important to let your insurance company know when you hire someone new, since drivers who aren’t on the policy won’t be covered.

Any driver policy or named driver policy?

Any driver rules give the most freedom and work well for bigger companies that have trouble tying drivers to specific vehicles. But with more freedom comes higher insurance costs, which can go up a lot if the risk is higher. Named driver policies, on the other hand, are cheaper and better for smaller businesses that can give cars to drivers. They are the cheaper choice, but often a mix of the two is best, especially if younger drivers or people with a criminal record are put on the policy as named drivers.

How many cars can a fleet insurance policy cover?

This depends on the insurance company, but most will cover at least two cars and up to 500 or more on a single coverage.

To talk to us about fleet insurance for your organisation call 08000 66 55 44 or email our team on hello@abbeyautoline.co.uk and we will ask you for some specifics and use that information to get you the coverage you need at the best possible annual or monthly rate.