Fleet insurance is a form of business coverage that provides protection against accidents and injuries that might occur while employees are on the job.
Though the question of what fleet insurance covers may be simple, it’s not always clear what issues may come up with regard to your fleet insurance policy. Most of these issues can be avoided using real-time risk management solutions provided by products like Rideshur (by Humn.ai).
Here are some of the most common fleet insurance issues your business may encounter.
Retroactive Payment Denials Section
Retroactive payment denials can be disheartening for any business owner. When a company experiences an employee injury that requires time off work, an employer must make sure its workers’ compensation carrier or third-party administrator pays out on all approved claims promptly.
However, many companies face delays and improperly processed payments from their insurance providers. For example, when a delay results in employees going without necessary medical treatment, it could result in injuries becoming more serious or life-threatening.
To minimise these types of issues, it’s important to understand how your fleet insurance provider processes claims and how to be proactive about certain issues before they become problems.
Uninsured / Underinsured Motorists (UM/UIM) Coverage
UM/UIM coverage protects you if an at-fault driver does not have adequate insurance to cover your expenses resulting from a car accident. Without UM/UIM coverage, you may find yourself paying for damages out of pocket.
This can be especially frustrating because another party is typically at fault for your accident, but you must pay anyway. UM/UIM coverage kicks in when another driver’s liability limits are exhausted or if he has no liability limits at all.
Some vehicle insurance policies have a combined £250,000 limit for UM and UIM—although some insurers offer £500,000 or more per person and £500,000 or more per incident of UM/UIM protection.
Whether you are a fleet owner or manager, you must have come across situations when some of your customers fail to pay on time.
This is one of those common fleet insurance issues that you can’t handle by yourself and may require external assistance. Insurers provide varied types of coverage for third-party legal liability that help business owners safeguard their businesses from associated risks.
Thus, if any claim arises against your business due to delayed payment, it can be easily covered under these policies.
Have you purchased enough vehicles to justify commercial auto insurance? Do you need to be insured for a certain amount of liability or property damage, or is it based on your gross income from that business activity?
This is where audits come in. They’re simply evaluations performed by your agent to determine if your business has a reason to be insured for specific services. Just make sure you get as much notice as possible before an audit (sometimes they occur at random) so that you can prepare yourself properly.
An audit may not lead to cancellation, but it could increase premiums or coverage requirements; don’t get caught off guard!