$32.5 million settlement after fatal crash that killed Army veteran – an article from a recent jury verdict calls out critical auto fleet management best practices portfolio companies with any size auto fleet should implement in order to best manage this critical risk.

 The auto insurance market continues to be hard (i.e. increasing rates with increasing underwriting scrutiny expected to continue well beyond 2024), so it is important a robust fleet risk management program include:

  • Pre-trip and post-trip written inspection checklist to make sure vehicles are in good working condition (lights, signals, mirrors, etc.)
  • Documented vehicle maintenance & inspection program
  • Proper pre-employment screening for new drivers
  • Regular MVR checks for new and existing drivers (at least annually)
  • Proper lighting in loading/unloading areas
  • Proper lighting for all roadway entrances/exits
  • Written fleet safety program
  • Vehicle monitoring and telematics implementation for 10+ unit fleets
  • Regular training for drivers

Auto fleet risk management comes with many benefits including:

  1. Employee Safety: Fleet risk management ensures that your drivers and other staff work in a safe environment.
  2. Regulatory Compliance: Ensures your fleet meets federal, state, and local requirements – avoiding costly fines and legal battles associated with non-compliance.
  3. Saves Cost: Insurance costs, accident liability costs, litigation fees, and fines are significantly reduced.
  4. Upholds Brand Reputation: Having a fleet known for disregarding employee safety will damage your business’s brand. Fleet risk management enables you to uphold your reputation as a reliable and responsible business.

Protect your business, your employees, and your balance sheet by implementing comprehensive fleet risk management practices today. We are happy to work with you to answer any questions you may have.

This Benefits Insights is not intended to be exhaustive nor should any discussion or opinions be construed as professional advice. © 2024 Zywave, Inc. All rights reserved.