What is a claims experience document and why does it matter for taxi fleet insurance?
Rising costs of vehicle parts and hire cars have driven up insurance premiums across the board. In response, many taxi fleet owners are tempted to cut costs by opting for cheaper insurance renewals. However, focusing solely on cost can be a costly error in the long term.
A key factor influencing fleet insurance premiums is the claims experience document. This document, often compared to a private motorist’s no-claims bonus, provides insurers with a detailed overview of a fleet’s claims history over the past three years.
According to Patons Insurance Fleet Account Manager, Stephen Shearer, it includes the number of vehicles insured, the volume and value of claims, the areas drivers operate in, and the age and experience of the driver pool.
How the Claims Experience Document Shapes Taxi Fleet Insurance Premiums
The claims experience document is a critical factor in determining taxi fleet insurance premiums. Acting as the fleet equivalent of a private driver’s no-claims bonus, this document provides insurers with a clear picture of a fleet’s claims history over the past three years. It details the number of vehicles insured, the frequency and value of claims, and the driving environment – whether rural or urban.
A high number of claims, particularly costly ones, can drive up insurance costs significantly. But insurers also consider the drivers behind the wheel. Experienced, careful drivers with clean records are more valuable to a fleet than drivers with multiple accidents. Poor driving habits increase the risk of claims, pushing up premiums for the entire fleet.
How can fleet owners improve the value of their Claims Experience Document?
Reducing the number of claims begins with better driver management. Fleet owners can implement targeted training programmes to improve driver behaviour and reduce accident rates. Investing in telematics systems is another effective solution. These systems track driver behaviour in real time, monitoring speed, harsh braking, and even how smoothly drivers handle speed bumps. Insights from telematics allow fleet managers to address risky behaviours before they lead to costly claims.
Basically, good drivers save fleets money. Insurers look favourably on fleets that take proactive steps to reduce risk. By retaining loyal skilled drivers, investing in training, and using technology to monitor and improve driving standards, fleet owners can keep their claims experience document cleaner – and their insurance premiums under control.
