Rising Motor Fleet Insurance Costs: What To Do About It

Rising motor fleet insurance costs are one of the biggest threats to businesses today, and they’re something that every fleet manager needs to be aware of.

The good news is that, when it comes to insuring your fleet of vehicles, you have more control over what you pay than you might think, and there are numerous strategies that can help you keep your bills under control and lower.

Here’s our guide to how you can protect your business from the rising cost of fleet insurance.

Ways You Can Save Money On Fleet Insurance

As more motorists decide to drive for a living and forego traditional day jobs, fleet insurance policies are becoming increasingly important. Unfortunately, these policies can be costly, and rising fuel costs have worsened things.

Here are five ways you can take to ensure that your business gets the most affordable coverage possible.

Lower Deductible

With lower deductibles, your company is more likely to get a claim paid without having to spend too much money out of pocket first. This is a simple way of saving several hundred dollars per year with minimal effort (and complexity) while also raising your credibility among insurers.

Improve Ratings

Even if you use clean cars in good condition every day, there’s still a chance that one of them will be stolen or break down unexpectedly. It’s possible to get your vehicles more off-the-lot by taking pre-emptive measures like anti-theft devices and regular maintenance. 

These precautions can help prevent claims from occurring and give you an edge when competing for lower rates against competitors with older fleets.

Insure Multiple Vehicles On Each Policy

This is another way to improve your overall rating while reducing costs per vehicle over time. The more policies you insure with a single company, whether through multiple policies or bundling, the better they’ll treat you as a customer—and thus likely offer cheaper rates on each successive purchase rather than raise prices to cover new purchases in full.

Consider Insuring Vehicles Outside Of Work

Many fleet insurance providers will offer lower rates for policies on personal or commercial use vehicles. This gives you a chance to save even more money by using a vehicle that’s rarely used for business purposes as your primary vehicle at home. 

You may also be able to get a higher deductible in place of a reduced premium, depending on what benefits and price point your current provider offers. So do some research and find out if it’s possible to switch everything over (or add additional coverage) without any interruption in service.

Purchase Multiple Policies With One Company

One of your best chances at getting a lower rate comes by purchasing more than one policy with a single company. Insurance providers offer discounts on policies purchased together as long as they are identical in every way (e.g., five fleet insurance policies that all apply to a single fleet, no matter how many vehicles make up that fleet).

This is easy enough to accomplish when you have five or six vehicles that all need to be insured, but it can also work if you want to get three personal and three commercial policies together for whatever reason.