FAQs
Click on a question to view the answer. The frequently asked questions are sectioned into categories for your convenience.
Fleet Insurance Use
Who can drive vehicle/s insured on our fleet insurance policy?
Any driver within our open drive and any driver named on the Certificate of Insurance can drive the vehicle/s. This is provided that the person holds a licence to drive the vehicle or is not disqualified from holding or obtaining a licence.
Can I have a combination of insurance covers like TPO and Comprehensive on a Fleet Insurance?
Yes! If you have say 3 vans and 10 lorry's on your fleet insurance you will be able to say that you want the vans insured as Third Party Only and the lorry's to have comprehensive cover on the same fleet insurance policy.
No matter how many vehicles your business may own (over the fleet qualification number), the RACV Motor Vehicle Fleet Insurance policy can be tailored to cover all your vehicles under one policy.
This may save you time on administration and our flexible excess levels allow you to save on your motor insurance costs. To qualify as a fleet, you need at least eleven comprehensively insured vehicles.
RACV Motor Vehicle Fleet Insurance has great features and benefits, designed to cover your vehicles and help keep your business on the road.
Agreed value
Agreed value cover on all vehicles up to 2 tonne carrying capacity.
Damage to other property
You are covered for up to $20 million for any damage your vehicle may cause to other people's vehicle and property.
No list of drivers is required
Provided the driver is authorised by your business and is adequately licensed, anyone is allowed to drive any vehicles.
Wide range of vehicles
Cover is available for most types of vehicles including sedans, wagons, utilities and convertibles. We also cover trucks up to a tare weight of 10 tonnes.
What are the consequences if I decide to move away from a Fleet Insurance policy?
Most private car insurers will honor NCB for 2 years and some even for 3 years. So if you change back from a fleet insurance within that time your No Claims Bonus will still be valid (as long as you are still claim free).
Will I get a no claims bonus on a Fleet Insurance policy?
You will not get a no claims bonus but a fleet insurance bonus. It has the exact same concept of a no claims bonus, it will still get you a discount at renewal of your Fleet Insurance.
With individual vehicle insurance the computer calculates the rates from a set price list and this depends various factors, such as, the area you live the type of car you have and of course how many years you have held claims free insurance.
Fleet insurance bonus comes in the form of a claims experience, unlike a private car insurance the underwriters are looking to make a profit from the fleet insurance and you tend not to pay for claims made in the market as a whole.
What vehicles can I get cover for on a Fleet Insurance policy?
With Commercial Plan Fleet Insurance you can cover an Artic, Bus, Car, Coach, Curtainside, Flatbed, Taillift, Tipper, and Van on a fleet insurance policy.
What will a Fleet Insurance cover me to use my vehicles for?
Commercial Plan Insurance can obtain cover for courier, private hire, haulage, social domestic and pleasure use, along with many other types of use, on a fleet insurance policy.
I have 5 vehicles but they are mine, not my company’s can I get a Fleet Insurance policy?
Vehicles must be registered in the name of the company or a partner or director of the company. So if you have 5 vehicles you can insure them all under a fleet insurance policy. What you cannot do is insure the cars of employees or family members you are not either partners or directors of the business.
How many vehicles do I have to have to qualify for a Fleet Insurance policy?
The standard minimum amount of vehicles that you must have for a Fleet Insurance policy is 3 vehicles or over. So if you have 5 vans it is ok, if you have 2 lorries and 3 vans then you will be able to insure them under a Fleet Insurance policy.
What additional features are available as part of a fleet insurance policy?
We try to tailor our fleet insurance policies to your exact requirements. By determining exactly what you want in your fleet insurance policy, we are more likely to find you the cover that is complete for your needs and competitive too.
Additional benefits include:
• 24 hour claims assistance
• Breakdown and recovery assistance
• Detached trailer cover
• Hazardous goods insurance
• Introductory discounts
• Medical expenses cover
• No claims discounts
• Personal effects cover
• Replacement vehicles
• Restricted driver discounts
What vehicle use is acceptable within fleet insurance policies?
We can consider almost any vehicle to use within your fleet insurance policy. We currently have competitive rates for carriage of own goods.
How many vehicles can I insure with one fleet insurance policy?
We specialise in fleet insurance, offering policies that can cover three or more commercial or private vehicles. Our dedicated team of advisers will give you friendly, personal service and professional advice.
How do I get a fleet insurance policy?
Insuring a fleet of vehicles can be a complex procedure due to the individual risk assessments of each vehicle involved.
To ascertain your exact fleet insurance requirements, one of our dedicated account handlers will discuss your needs with you so that we can provide you with the most competitive quote we can.
To discuss your insurance requirements with us, please click "Request a Free Quote"; and fill out the form and one of our dedicated team members will be in touch with you shortly. Alternatively call us and we will be ready to help you over the phone on 0800 781 9790
Why do I need fleet insurance?
Fleet insurance is a time and money saving way of insuring your business’s vehicles. With large discounts available, purchasing a fleet insurance policy is an economic way of ensuring your company’s vehicles are compliant with UK road laws.
Accidents & Incidents
What will happen if one of my vehicles is written off?
We will pay you the market value of the vehicle at the time of the accident. This will not exceed the value specified in the Schedule of Insurance.
What should I do in the event of an accident?
Notify the police immediately
Take note of the insurance details of the other party
Take note of the names, address and telephone numbers of any independent witnesses.
Do not admit liability even if you think it was your fault
Contact our Claims Team on ............... immediately or the next working day
Jargon Explained
An Act of God is an accident or event which occurs under extraordinary circumstances that could not have been foreseen. For example any damage caused by a storm would fall under the Act of God umbrella.
Accidental Death and Dismemberment
Conditions of an insurance quote
Cover describes the risk that your insurance policy protects you against.
Fully Comprehensive cover- includes cover for you and your vehicle. However fully comprehensive insurance does not mean complete cover as there will be some exclusions in all policies.
Fleet policies operate globally, on an overall claims experience basis and not on an individual No Claims Bonus basis. This means a claims experience discount to reduce your premium will be applied at renewal, which will be based on overall claims on your policy.
Specific driver(s) who can use the vehicle under the same policy cover as you.
An escalating discount scale which varies from 30% to 70%. These apply when you have a claim-free record over a number of years. This is more commonly referred to as a No Claims Bonus by non-insurance people. However in fleet insurance we deal with a Fleet Claims Experience. See this explained above to know more.
The standard amount of any claim that you must cover before we, the insurers, pay the balance.
TPFT-Third Party, Fire & Theft Cover
Third Party, Fire & Theft cover-The next level up from third party only is third party, fire and theft. As well as third party cover you get the addition of cover in the event of theft or fire. The policy will provide compensation according to the value of the car or cover the cost of repairs in the event of fire or after a stolen car has been recovered. It does not you or your car in the case of an accident which is your fault.
Third Party Only cover-this is the minimum requirement by law. It only covers you for damage or injury to a third party. It does not cover damage to your vehicle or personal injury. Third party only insurance protects you against any claims made against you in the case of an accident.
Uninsured Loss Recovery: protects you against losses that are not your fault but are not covered by your policy, for instance claiming against an uninsured driver.
A larger than standard excess - e.g. £500 - that you'll pay against any claim. The idea is to discourage small claims, and reduces the premium cost.
New Policies, Renewals, Changes & Cancellation
What do I do if I need to cancel the fleet insurance policy for some reason?
You may cancel your policy at any time by writing to us and returning the certificate of insurance and insurance disc. When you cancel, you will be charged an administration fee of £35 and you will be charged for whatever time your policy was active. If you are paying your premium under an installment scheme or credit arrangement, you will not receive a refund for any deposit or installment which you have already paid. If you cancel your policy following a claim there will be no refund of the premium.
How will I know when the fleet insurance is due for renewal?
Your Renewal Notice is automatically issued about 30 days before your renewal date to give you plenty of notice.
What should I do if there is a change in our fleet, such as getting more vehicles?
If you wish to make a change to your policy, please contact us on ..................
Saving Money On Fleet Insurance
How do I lower the cost of my fleet insurance?
As a Fleet manager or small business operator, you may feel there is little you can do to reduce the cost of your fleet insurance for your company. Apart from the standard underwriting criteria, there are two main factors, both related to claims history which has an impact on the cost of fleet insurance premiums. They are accident frequency & the cost of a claim.
So how can you have a positive impact on these two areas and lower the cost of your fleet insurance?
Accident Frequency
Accident frequency can be addressed in the following ways:
1. Vetting of Drivers
Set a standard driver vetting procedure in which you;
Secure of a copy of the driver's license from the DVLA. This will ensure the license produced has not been tampered with and that the information contained on it is up to date and correct.
Contact the driver's previous insurer to check their accident history. This could be on a business or private policy.
2. Driver Training and Awareness
Many fleet operators send their drivers on driver training courses. These are of significant value and should be recommended wherever possible.
These courses assist with driver awareness and general safety. In order to allow the drivers to put into practice these skills schedules for new drivers must be realistic. By working together with the drivers, we are able to have a positive impact on their attitude and accident frequency.
Cost of Claim
Time is money - The time it takes to report an accident to your insurer has a significant impact on the cost of the claim. The longer the delay - the greater the cost. It is not sufficient just to report any incident to the fleet operator/manager. Costs start mounting from the day of the accident. Only by reporting the matter to your insurer immediately can they take control of the claim and savings be made.
A typical example would be that one of your drivers hit another vehicle in the rear. They fail to report the accident until they receive a letter holding them responsible. They thought the incident was so small as to not be bothered. The accident is reported to the insurer 30 days after the event, only as a result of the driver receiving a letter from solicitors acting for the other party.
So what impact has this delay had on the cost to your insurer?
Thirty day hire charges at £45.00 per day + VAT = £1586.25
Storage charges at £15.00 per day + VAT = £528.78
Total £2,115.03
Should the vehicle repair costs of say £1,000, be recovered by solicitors acting for the Third Party, they will receive an additional 20% on their costs based on the value of the amount recovered. This could be avoided, by payment being made direct to the Third Party by your insurer, something they can't do if they are not aware of the accident.
The typical cost for a simple accident as described above would be as follows:
1. Vehicle Repair Cost £1,000.00
2. Vehicle Hire & Storage as above £2,115.03
3. NHS Charges £452.00
4. Medical Report £400.00
5. General Damages (whiplash injury) £1,500.00
6. Solicitors Costs £2,024.52
Total £7,491.55
Were all matters reported to insurers immediately, the impact on this cost would be as follows.
1. Vehicle Repair Cost £1,000.00
2. Paid direct to TP or TP insurer without need for Solicitors.
3. Vehicle Hire & Storage as above £ Nil
4. Free vehicle provided £452.00
5. Medical Report £400.00
6. General Damages (whiplash injury) £1,500.00
7. Solicitors Costs £1,292.50
Total £4,644.50
The total achieved by the insurer as a result of being advised of the accident on the day of the loss as opposed to 30 days late is.
A saving of £2,827.05 or 37%!
If you are a fleet operator with say 5 similar accidents in the year, the total current third party cost to your insurer would be £37,455!
By addressing the areas identified above, this could be reduced to £23,222.
Working in partnership with your broker and insurer can make a significant impact on the cost of your fleet insurance, and in turn the smooth running and profitability of your business. Through working together, we are able to keep the cost of your fleet insurance down year on year.
