Deductible Scoops

Fleet insurance is advisable for managing a fleet business, or simply if you possesses numerous vehicles. It is a type of insurance that covers several vehicles under a single policy. This also is used by those companies or firms that are using their vehicles for business travel.

Why you should purchase fleet insurance?

The major advantage of fleet insurance is that given a single policy, several vehicles are covered. This lightens the owner's load, reducing their stress over the hassle of managing a number of separate and different covers for each vehicle, as well as different renewal dates.

Compared to other types of insurance, such as individual insurance policies, fleet insurance guarantees a more efficient and effective process for claiming, and a faster response. Companies always have the option of obtaining insurance bonds, but we must note that this option may become costly and does not cover some situations, such as a company vehicle (which usually is one of the vehicles that you want covered).

Also, if a certain vehicle cannot be insured under an individual policy, it may be covered using fleet insurance. If you have a good record while you hold fleet insurance, it may give you a better chance of obtaining coverage in case you decide to use individual insurance in the future.

This is because insurance companies always take into account the driver's history and experience before they give out a final quote. Moreover, fleet insurance is cheaper to purchase as compared to opting for individual insurance policies.

In addition, if your vehicles are used for transporting expensive goods, it will cover lost, damaged, or stolen goods in case a mishap occurs. It is one of the most indispensable and important features included in fleet insurance policies.

When is fleet insurance disadvantageous?

The major disadvantage of this policy is that if one vehicle becomes involved in an accident, it will affect the premiums of the other vehicles under the same policy. If you notice that one of your vehicles is more prone to accidents, it may be advisable to get an individual insurance for it and fleet insurance for the rest of your vehicles. This way, fleet premiums will not be affected by future accidents.

Now that the pro's and con's had been laid down for you, you can start considering your vehicles and the other type of insurance that may fit your needs. Make sure that you have all of your vehicles' information before calling the different insurance companies, to make your search more specific and much easier.

Also, make sure that the nature of the coverage available is thoroughly discussed. It is wise to take note of the quoted premiums as well as the additional services they offer that may be helpful to you.

Finally, try to make a list of the things discussed here to ask different insurers, so that you obtain an accurate comparison before finally signing a contract with them. But the most important thing is to obtain insurance that will best suit your interests at the lowest possible price.

About the Author:

Paul Headley is a specialist insurance article writer. Staveley Head are a leading UK insurance broker for fleet insurance

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