Below is a glossary of some of the most common insurance terms that are used to help making the process of getting fleet insurance that much easier –
Any driver policy - An any driver policy will enable any of your drivers to drive any of your vehicles. This is an extremely useful type of fleet insurance for business owners.
Approved repairer - Approved repairers are repairers that your insurance provider will recommend where any repairs carried out will be guaranteed.
Black box - A black box is a device that’s installed in your vehicle to monitor your driving performance. Good driving is rewarded with insurance discounts. A lot of companies now install black boxes in their vehicles to monitor the driving performance of their employees.
Broker - An insurance broker will speak to many insurance providers on your behalf in order to help you get the best deal possible.
Certificate of insurance - This is a document to prove that you have insurance for your vehicle(s). It is issued after you have set up a recurring payment for your policy.
Claims experience – Claims experience is something that’s unique to fleet insurance and is a way to determine the cost of premiums based on your claims history. Unlike regular car insurance, where there is a no-claims discount offered if you don’t make a claim within a 12 month period; with claims experience more factors are taken into account. This is because it’s very unlikely that large fleet insurance policy holders will not make any claims in a 12 month period. Factors such as the number of claims, frequency of claims and total money paid out will all be taken into account by your insurance provider.
Comprehensive cover - Comprehensive cover is a type of insurance that will cover all the vehicles in your fleet for all types of collisions, including those that your drivers are liable for.
Excess - Excess is the amount of money you would pay if you had to make a claim. You can choose to increase your excess as a way to save money on your premium.
Immobiliser - This prevents your car from being hot-wired by a thief. Only the keyfob that’s issued by the car manufacturer will start the car.
Insured value - This is the amount that your insurer will pay out if your vehicle is totally damaged and cannot be repaired. This figure is usually based on the current market value of the vehicle at the time of the claim. If you want to ensure you get a specific insured value for your vehicle(s), then you can get an agreed valuation policy.
Main driver - This is the person who drives the car the majority of the time. The main driver and policy holder can be different but it’s important to be honest about who the main driver actually is since it could affect your ability to make a claim.
Modifications - Modifications are any changes that are made to a vehicle after it left the factory. This can include modifications to the suspension and brakes as well as custom lights, wheel trims and number plates. Modified vehicles can be very difficult to insure so you should always check for any mods when purchasing vehicles.
Owner and registered keeper - The owner and registered keeper of a vehicle are often the same person but there is a distinction between the two terms. The owner of a vehicle is the person who holds the legal title to it whereas the registered keeper is the person who is recorded with the DVLA as being the registered keeper.
Policy term - The period of time that a policy is valid for. This is usually 12 months but policies can be longer or shorter in some cases.
Premium - The premium is simply a term given for the cost of your insurance policy.
Protected no-claims bonus - For an extra fee, you’re able to have a certain number of claims without it affecting your no-claims bonus.
Public liability - This is a type of insurance that provides protection against liability claims from the public. This is always a recommended type of cover to have for businesses, especially those with very large fleets.
Renewal notice - This is a notice you receive from your insurance provider to let you know that your policy will soon renew and what the cost will be. This is usually sent out 3-4 weeks before the policy is due to renew.
Third party insurance - Third party insurance is the minimum level of cover you can get that will enable your vehicle(s) to be driven legally. It will provide no cover for your own car but will protect other road users if you (or one of your drivers) is at fault for a collision.
Uninsured loss recovery - This is an additional type of cover that will protect you if you’re hit by an uninsured driver.