Fleet van insurance
Getting one insurance policy for a fleet of vans could save you time and money. Let’s take a look.
Getting one insurance policy for a fleet of vans could save you time and money. Let’s take a look.
What is fleet van insurance?
Fleet van insurance is cover for two or more vehicles owned by the same business. You can usually insure different makes and models under a fleet policy, but your insurance provider will need to know the details of each vehicle. If you have company motorbikes, or your business uses vehicles such as earth-movers or tractors, each of these may need a separate policy.
Having fleet insurance can be handy for business owners who prefer one insurance policy with a single renewal date and a consistent level of cover for multiple vehicles, as opposed to separate policies for each van. The number of vehicles you can cover under one fleet insurance policy varies among insurance providers – the maximum could be hundreds.
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What does fleet van insurance cover?
The cover you’ll get from a fleet van insurance policy will depend on the level you choose. The basic principles of van cover are the same as with a car. However, if you want to use a van for work purposes, you'll need commercial van insurance which is a specialist policy.
If you run a business and have a number of employees who are drivers, you can name them individually on the policy, or opt for the ‘any driver’ option. Choosing ‘any driver’ is a more flexible option, but is usually more expensive. Generally speaking, the fewer drivers you have on your policy, the lower your premiums will be. If you have a large fleet of vans, you might change vehicles during the course of a year – update your policy each time this happens to avoid your cover being invalidated.
What are the levels of cover with fleet van insurance?
Each business is different so always check the policy wording, or speak to an insurance provider, before buying a fleet insurance policy to make sure you have sufficient cover. To get enough cover you may have to get a specialist policy, or ask a provider to add more cover on to your standard van insurance policy. The three regular levels of cover offered by a van policy are:
- Third party This covers you for the cost of any damage done to another person, their vehicle, or their property. But it won’t cover the cost of damage to your own van
- Third party, fire, and theft This includes everything covered by third party insurance, as well as cover if your van’s stolen, is damaged or destroyed by fire
- Fully comprehensive This includes all of the above, plus cover for any other kind of damage to your van – as long as it’s specified in your policy
What can I use my fleet van insurance for?
You can compare quotes with us for two types of commercial van insurance:
- carriage of own goods - this covers you if you use your van to carry business goods – such as your tools if you’re a builder, plumber, gardener or carpenter. You’ll also be covered for social, domestic and pleasure use
- haulage (carriage of goods for hire and reward) - this type of insurance protects you if you use your van to carry someone else’s goods for payment – say, if you’re a delivery driver. Again, you’ll be covered for social, domestic and pleasure use.
What types of van can be covered by fleet insurance?
Again, this can vary between insurance providers, but, as well as your standard small, medium and large vans, you’ll normally be able to include the following types of vans in your fleet:
- Pick-up vans
- Box/Luton vans
- Light vans
- Vans with cabs (single or double)
How many vans can be included in a fleet?
This varies from one insurance provider to the next, which is why you should compare fleet van insurance to find the right policy for you. Most insurance providers will have a minimum and maximum limit for the number of vans that can make up a fleet. It’s not uncommon to insure hundreds of vans in a fleet though.
What upgrades and additional cover can you get with fleet insurance?
Just like regular van insurance, there are a bunch of extras you can get for additional cover. If you’re insuring a fleet, you’ll want to consider these even more:
- Breakdown cover – sooner or later, one of your vans is going to breakdown. The more vans you have, the more likely you’ll need this extra cover.
- Courtesy van cover – if one or more of your vans are out of action for a while, it can affect your business significantly. With courtesy van cover, you can get replacements while yours are being fixed.
- Personal accident cover – if one of your drivers is involved in an accident and injured or killed, this will offer compensation.
- European cover – if your fleet are driving internationally, you’ll need the extra cover.
- No claims protection – the more vans you have, the more likely one of them is going to be involved in an accident or breakdown, forcing you to make a claim. To protect your no claims discount, you can add this extra cover.
If you’re a business which needs a fleet of vans, you should also think about some other types of insurance that you might need:
- Employers’ liability insurance – if you have even one member of staff working for you, you’re legally required to get this cover. It protects you against compensation claims made by your employees who suffer an illness or injury as a result of their work for you.
- Public liability insurance – this protects your business against legal fees or compensation claims from members of the public who suffer an injury or property damage because of your work.
How much does fleet insurance cost?
It’s hard to say how much your fleet van insurance will cost, as there are so many things that’ll impact it:
- The size of the fleet – as we mentioned earlier, it’s not uncommon for fleets to include hundreds of vans. The more vans you’re insuring, the more it’s going to cost.
- The types of vans – the more valuable the van, the more expensive it’ll be to cover. The power, safety and security of the vans will also affect the cost of insuring them.
- The type of cover – choosing between third-party and comprehensive offer different levels of cover. If you’re covering against more things that can go wrong with your van, your insurance might cost more.
- The drivers – with a larger fleet of vans, you’ll need more drivers. Depending on their levels of experience, along with any previous accidents or convictions, this can affect the cost of your cover.
- The excess – if you’re willing to offer more as a voluntary excess, this could make your monthly premiums cheaper.
- The vans’ security – improving the security of your fleet, for example, by installing immobilisers or providing secure parking with CCTV, will lower the risk of your vans being damaged or stolen, which could then lead to cheaper insurance.
- Your claims history – if, as a business, you’ve made any claims in the past, this will flag to insurance providers that you’re a higher risk. This means you’ll likely be charged more for cover in the future. If you’ve built up a no claims discount, your insurance should become cheaper.
How to get cheaper fleet insurance
If you’re looking for a cheaper fleet insurance policy, here are some things to keep in mind:
- The makes and model of your vans – this is important with any van insurance policy, but if you’re insuring a fleet of a hundred vans, that cost is going to be amplified. So, you’re going to want to pick your vans carefully and look for those that are cheaper to insure. Having things like better safety and security features are good places to start. The size of the engine will also make a difference.
- Try and make sure you have good drivers – if the drivers on your policy have claims histories or previous convictions, their poor record will mean you face paying more to insure them.
- Keep your vans serviced and well maintained – regular maintenance of your fleet can make a huge difference, as they’ll be less likely to breakdown, forcing you to make a claim.
- Pay up front – this could be a big ask if you’re insuring a huge fleet, but paying annually rather than monthly can make a difference, as paying monthly usually involves a form of interest payment.
- Consider telematics – often referred to as “black box insurance”. Telematics involves installing a device to your vans, which then monitor your drivers’ safety and skill. If they drive well, you can be rewarded with cheaper insurance. However, if your staff drive poorly (e.g. speeding, harsh braking and sharp steering) then your premiums could rise.
What else should I consider when taking out a fleet insurance policy?
If you’re choosing between individual van insurance policies and a fleet van insurance policy, here are some things to think about:
- The time and effort – if you’ve got hundreds of vans in your fleet, insuring them all individually will take ages. It’ll also leave you having to keep track of a lot more paperwork and life admin. With a fleet policy, all your vans are covered in one policy, making it much easier to manage lots of vehicles. For example, you’ll only have one renewal date.
- The cost – while it’s great to get all that time back, is it worth the money. You might get a discount for insuring so many vans with the same provider, but could you get a better deal by insuring your vans individually. Depending on how many you have to insure, you might find it worth it.
- Your drivers – with lots of vans come lots of drivers. A fleet insurance policy usually lets any driver use any van, which is very handy. However, if you’ve got drivers with poor histories of either accidents or convictions, it might drive the cost of your policy up.
- Keep your policy up to date – if you decide to later expand your fleet or you swap out some old vans for newer models, you’ll need to update your policy to ditch the old ones and cover the new. Don’t forget to do this.
Comparing van insurance
There are a number of ways to keep down the cost of your van insurance, from installing industry-approved safety devices to hiring more experienced drives with clean licences. Comparing policies from a wide range of providers is another way to find a competitive premium.
We take the hassle out of finding great-value van insurance. Why not start a quote and see if you can save?