One of the major areas of exposure within your company is your fleet exposure. Fleet vehicle crashes result in lost productivity and lost revenue (not to mention potential third-party liability claims from an at-fault crash). While fleet drivers are generally more attentive and practice safer driving techniques, they still have to share the same roads with the general public. In fact, even technical safety additions to vehicles such as lane detection and emergency brake stopping have not significantly contributed to lowering fleet accident rates. Why? The answer is two-fold: First, we have to understand that even the most cutting edge vehicle safety technology is offset by the technology of communications– such as texting. Then, we need to understand that you can improve your fleet operations through basic fleet safety training, the promotion of a culture of safety, and consistency.
A strong fleet safety program proactively set in motion is of great value to any organization –by reducing the frequency and severity of losses positively impacting your underwriting desirability and thereby reducing your overall Total Cost of Risk. Given most insurance deductible plans, your company will likely bear the burden of these costs directly. Regardless of the size of your organization, basic fleet safety training and employee contact is instrumental in reducing your risk exposure.
Safety Training doesn’t start after an accident– it needs to start before.
As the current insurance marketplace continues to tighten we are seeing insurance costs in general increase on most lines of business. Those risks with adverse loss experience are more susceptible to higher increases, so making certain your organization is doing everything possible to mitigate exposures is critical in controlling and reducing your insurance premiums and administrative costs. If you don’t know where to begin–Start with the basics and if you’ve already started- revamp, refresh and rethink:
- Establishing a strong(er) new hire safety training process as part of your employee on boarding
- Conducting physical ride alongs with new hires and on a yearly basis thereafter with all employees
- Documenting driving infractions with the aid of your HR representative
- Establishing regularly scheduled safety meetings
Remember consistency is key!
Keep in mind that when underwriters have a good comfort level with a risk, they generally lean in a favorable direction. Whether your fleet consists of 2 vehicles or 2,000, Alpha Claims is here to help. If you would like further information on a customized Risk and Safety Program, or Employee Training Initiatives, please contact us or visit Alpha Claims online.
The Alpha Risk & Safety Team