5 ways to improve your motor fleet and reduce premiums
Motor fleet is a large percentage of a company’s insurance spend. These 5 easy to follow tips could help you improve your motor fleet claims experience and reduce your premiums.
1. Motivate your drivers
Motivating drivers to perform well can be a highly effective method of reducing risk and accident frequency.
Awards such as “best driver of the month” or end of year accident free bonus schemes can motivate employees to behave responsibly and proactively avoid risk; which will hopefully result in a decrease in the number of accidents.
Conversely, some employers choose to implement a penalty system whereby drivers are held responsible for a proportion of the policy excess if they are found to be at fault. This effectively makes them a stakeholder in the risk management process.
2. Driver selection
Time invested in ensuring that suitable drivers are employed is well spent. It is generally much more cost effective to identify and attempt to deal with weaknesses in an individual’s character or driving before they have been allocated and begun to use a company vehicle.
It is vital that your recruiters understand the nature of the driving task associated with the appointment. Wherever possible the selection process should include an interview conducted by an appropriately trained individual. Employing drivers simply on the verbal recommendation of a current employee rarely proves reliable.
3. Driving training
Driving skills can become dulled over time. As drivers become more experienced there is a tendency for sloppiness to creep into both their manipulative actions (for instance, the way in which the steering wheel is held) and their hazard perception (for example, failing to check left and right when proceeding through a green traffic light). In addition, awareness of rule changes becomes virtually non-existent over time. The Highway Code is either consigned to the bin or passed on to another (more needy) member of the family, and the means by which drivers can be informed of many rule changes (notification by the DVLA with the vehicle excise licence reminder) often goes direct to their company.
A targeted, well-structured and effectively delivered programme of driving training can:
• Raise the profile of driving safety within the organisation
• Improve the driving standards of those individuals in receipt of training
• Demonstrate management commitment to safety
• Allow disciplinary procedures to be followed more easily, where training has been ignored
4. Route planning
Travelling unfamiliar routes and searching for locations can be both difficult and stressful, particularly if the driver is operating within tight time frames. It is vital that the identification of a destination is made as straight forward as possible. Comparatively inexpensive technology exists which can provide clear route-finding directions and location maps.
It is important that the fleet operator’s normal business operation allows sufficient time for their employees to find destinations and plan their routes. Vehicle based satellite navigation systems can provide assistance, but care must be taken that their use does not totally replace journey planning.
Lowest risk routes should be identified and followed. Factors to consider include road type, road hazards, weather conditions, traffic densities, and pedestrian densities.
Ideally every destination should have a primary and alternate route
5. After the event
Accidents are often inevitable and whilst they cannot always be eliminated, they can be well managed. We recommended that you establish clear procedures so that your employees are prepared for accident situations. These procedures include;
A well implemented procedure can help you manage the situation, identify the cause and lower the risk of similar accidents in the future. The procedure can also help you collect vital information which may assist your insurers in defending claims made against your drivers.