Fleet insurance is a type of commercial insurance that companies can purchase in order to protect a larger number of vehicles used within the company. While some experts recommend fleet insurance for companies using more than two vehicles, others tout appropriate numbers at four and six. Understanding how many vehicles are worth purchasing fleet insurance for can depend on the needs of the company, insurance costs and the coverage needed depending on various situations and circumstances.
What Is Fleet Car Insurance?
With the ownership and use of multiple vehicles (see: multi car insurance) within a company, businesses may find it beneficial to cover all of the vehicles used or owner with one sweeping insurance plan: fleet auto insurance. Cars, trucks and vans are all common vehicles covered by a fleet insurance policy, making it possible to better manage different vehicle coverage rather than five or six different renewals, cards and plans. Even vehicles that require special licenses can be covered by the insurance offered by fleet coverage, such as buses. While there are countless options for businesses seeking coverage from a fleet insurance plan, just like individual car insurance, it can be beneficial to shop around for various plans, deals and quotes in order to discover the best coverage for each individual situation.
Considerations When Buying Insurance for a Fleet
When shopping for fleet insurance, there is basic information that must be considered by business owners and managers. Car fleet insurance is an important option that can save companies time and money. But while fleet insurance can be a helpful tool for busy companies, it is vital to manage drivers and vehicle users since vehicles driven by unqualified users will not be covered. Up to date licensing and other necessary documents are an imperative aspect of the proper use of fleet insurance. Drivers who are not qualified can result in money, damages and harm that may not have been originally accounted for when the insurance plan was purchased. Confirming the eligibility of employees driving fleet vehicles can be imperative to protecting other employees and property owned by the company, saving significant time, money and stress in the long run.
Like traditional insurance, fleet insurance is classified into various categories depending on the levels of insurance desired and necessary to the company and the drivers. Similarly to individual car insurance, business owners and managers can choose mere liability insurance if the vehicles driven are owned by the company completely and payments to a lender are not being made on them. In this case, only another party involved in an accident, not the drivers of the fleet vehicles, are covered for damages and bodily harm. With employees driving on company time, such insurance may not be fully adequate in case of an accident. Additionally, the damage to repair vehicles resulting from an accident which was the fault of a fleet driver, could result in damages that must be paid in full by the company.
While liability fleet insurance may cost a company less, full coverage may provide savings that are more adequate in the long run by providing coverage that can give employees and vehicles a greater level of protection. Fleet insurance shoppers can choose from collision insurance for fleet vehicles or the full coverage of comprehensive fleet insurance, which would cover additional issues that could arise for drivers and vehicles. Other factors that could affect the prices and value of purchasing fleet insurance include:
*The different makes, models and ages of vehicles to be covered. A mixed variety of vehicles covered may transform the costs and coverage needs.
*Types of drivers and their past records.
*Uses of the proposed vehicles to be insured.
A mixture of different cars and drivers may result in the need for different plans, which would required individual plans. For example, if some vehicles require full coverage, while others only need liability coverage, it may not make sense to cover all vehicles under one fleet insurance plan.
Benefits Of Fleet Car Insurance
Fleet insurance can be a beneficial tool for companies using a variety of vehicles for traveling purposes and also individuals who may find themselves operating a number of vehicles for business or pleasure. While multiple vehicles covered by insurance are important to keeping employees and property safe and secure, fleet insurance can offer the stability of protection without the hassle of multiple cards, plans and updating accompanying traditional, separate plans. Instead of updating many different insurance plans throughout the year, business owners and managers can simply manage one plan and the baggage accompanying.
One of the greatest benefits fleet car insurance can offer business owners is the cost efficiency such plans offer. Companies and business owners can save significant money by insuring all company vehicles under a lump fleet plan rather than multiple individual coverage. In addition, fleet insurance can significantly reduce the time and hassle spent managing various individual insurance plants, helping create greater organization in regards to updating plans and coverage.
Lastly, fleet vehicle insurance can help managers and owners see a greater picture of the services received, making it easier to compare plans and reevaluate whether is may be time to switch companies or change coverage. Individual plans may make it more difficult to compare current plans with new coverage opportunities and different insurance company offerings.
How To Choose A Reputable Fleet Insurance Company
Fleet insurance companies can be found in ways similar to traditional car insurance, through searches on the web, yellow pages and by hiring a car insurance broker. But while finding an insurance company that meets specific needs may compare similarly to methods of uncovering traditional insurance, there are some pinpointed ways of finding a company that can meet needs specific to businesses without breaking the bank. Some ways of revealing a good insurance company include:
*Seeking advice from fellow business that may have similar vehicle and insurance needs.
*Shopping around. Look for various quotes and study the diverse plans offered to gain comparisons and better understand the insurance market’s offerings.
*Taking advantage of internet searches and reviews made by other businesses using different insurance companies for fleet car insurance coverage.
*Taking advantage of visiting with an insurance agent that has experience in fleet insurance and is well informed. Such agents may be able to match companies with fleet insurance that matches specific needs for a reasonable price that fits in one’s budget.