For organizations with multiple vehicles, fleet insurance can lead to significant savings compared to individual policies. But there’s no “one size fits all” solution. You need to build a custom set of covers that works for your fleet-size, financial position, and level of risk. Our brokers will work with you to examine the following:
Commercial general liability
The liability section of your commercial automobile insurance policy only covers part of your exposures; specifically, only those losses arising out of the direct ‘use, ownership, operation of a motor vehicle’. You will have other operations in your business that create exposures that need to be considered as well. For instance, the loading and unloading of a semi-trailer, or loading or unloading of heavy equipment from a trailer is likely not considered part of an automobile liability claim.
Basic liability and collision only extends to the vehicles themselves, and not their contents. You will want to ensure that you’re protected against spoilage, theft, vandalism, collision or upset, and other damages that could occur to the cargo you haul (especially for heavy equipment and other high-value items).
Loss of use
Depending on your business-type, it might be important to add coverage that allows you to rent an equivalent replacement vehicle. There are several considerations when adding this cover, such as, how available or likely would you be able to rent a similar vehicle if yours was out of commission due to an accident?
Do you provide pilot vehicle service for your own hauls, or to other parties? You will want to consider the potential need for specific liability needs, including not only automobile liability coverage, but also ‘errors & omissions’ and general liability protection.
Have your vehicles been modified for ‘non-conventional’ work sites. You may need special coverage if your vehicles are equipped for regular off road use, or has special equipment and attachments mounted on it (whether it’s a lift-kit for the bush or the oil-patch, or a service body to carry tools and parts, you will require adequate coverage).
Insurance gap protection
Accidents happen, and sometimes they’re caused by uninsured or under-insured drivers. Ensure this doesn’t become your financial problem by considering uninsured/underinsured motorist coverage.
Because every situation is unique, the are some instances when insuring your employee’s owned units on your fleet makes sense, but you may be better off treating your employee’s individual vehicles as their own, while still providing additional measures of coverage for their working hours.
Things You Should Know
- One of the most proven measures for reducing your losses and down-time is a fleet management program. Many insurance providers offer additional discounts for: internal safety policies, in-vehicle monitoring, claim-free history, and combined policies.
- Our network might also be able to help you work out better financing on your vehicle fleet. Ask your broker for details.
- Don’t forget to insure your lot/yard and not just the vehicles in it. Otherwise you could run into some serious liability problems. If the lot/yard is off-site, it may not be covered under your regular business insurance.