6 Ways to Reduce Your Truck Fleet Insurance
Truck insurance can be a huge cost for many businesses. While every fleet owner must have a valid insurance premium for their truck fleet, being held hostage to high premiums can be a make or break for smaller businesses.
Don’t be fooled into thinking you cannot reduce your premiums. You can shop around for low cost truck insurance and implement a few changes to your operations to help you reduce overall premiums and run a more efficient fleet overall.
Experienced Driver
It goes without saying that insurance premiums look favorable on experienced truck drivers. Their training and experience afford them skills to be able to react better and quicker to adverse driving conditions and situations. Ideally, your driver needs a minimum of two years of experience.
Verified Employment History
How thoroughly do you vet your driver’s employment history? Frequently changing jobs can indicate something is amiss, and insurance companies can look at this unfavorably. Longer periods of employment with fewer previous employers are preferable, and paying more attention to the history of new hires can help you to reduce your premiums or avoid any steep increases.
Efficient Route Tracking
Poor route planning and encountering roadworks or constant congestion mean your fleet is on the road at some of the busiest and high-risk times. Optimizing your routes and looking for the best routes and times to be on the road not only can save you on time and fuel but also reduce your insurance premiums too.
Consider Newer Trucks
Your commercial trucking insurance premiums are affected by the age, value, and condition of your trucks, so make sure to always compare top HGV insurance quotes before settling on a vehicle. The premium rate decision is also influenced by regular vehicle maintenance and the installation of new equipment. Stick to newer trucks, preferably those that are 10 years old or newer. When possible, the truck should also contain sophisticated equipment, such as accident avoidance systems oriented toward commercial trucks.
Hire Drivers with Clean Records
The past is a great indicator of the future, as they say. And this has never been truer than when you are hiring new truck drivers for your fleet. Drivers with a clean record are more likely to preserve this and prove to be better and safer drivers. This bodes well for your insurance premiums as a clean record is preferable to many providers.
Opt for A Higher Deductible
When properly applied, the variables listed above have the potential to reduce your insurance prices. Consider modifying your truck fleet insurance policy if you still find yourself paying unusually high premiums after applying the aforementioned procedures. Having trucking insurance can help in preventing any unforeseen financial liabilities. According to the experts at Simplex Group, trucking insurance cover equipment physical damage for both individual and fleet-owned equipment.
Lower trucking insurance premiums can be achieved by having a bigger deductible. However, if an accident occurs, you will have to incur higher upfront costs. If you decide to go this route, choose a deductible that your organization can afford to pay without incurring additional costs.
However, before making changes to your policy, it might be an idea to schedule a policy review with your commercial trucking insurance provider. This can help you both to determine the best options for lowering your company’s insurance premiums. Alternatively, you can choose to wait for your premium renewal to negotiate a higher deductible and reduce your premium.
[…] age is not the only factor that will influence the cost of your trucking insurance, newer vehicles are less likely to drain your budget. As a rule of thumb, experts recommend […]