Covers the losses and claims arising from lawsuits, property damages, and theft
Companies often own a fleet of commercial vehicles used to deliver goods and services and conduct operations on a day-to-day basis. The more commercial vehicles a business owns, the higher the total value of their assets and the more risks there are if an unexpected event happens.
Whether you own a fleet of taxis, semi-trailer trucks, vans, or another type of vehicle, fleet insurance will protect your commercial vehicles against damages and financial losses resulting from third-party claims, liability, and lawsuits.
Insurance Hero works with some of Canada’s leading insurance companies for fleet insurance to bring affordable, competitive insurance quotes directly to you. We work closely with you to determine your coverage needs and find the best insurance policy, so you can get the most out of every fleet insurance dollar you spend.
What is Fleet Insurance?
For businesses that own four or more commercial vehicles registered under the same company, they can be eligible to purchase fleet insurance. Fleet insurance is a multi-vehicle insurance policy that covers the different types of vehicles a company owns and uses during the day-to-day operations of their business.
Fleet insurance covers all commercial vehicles under one policy. It protects all commercial vehicles in the fleet against damages and financial losses resulting from accidents and collisions.
There are many benefits to purchasing fleet insurance. For example, purchasing fleet insurance allows insurance companies to offer group rates for similar vehicle types and potentially offer discounted insurance premiums.
Commercial vehicles can also be eligible for automatic fleet insurance coverage, which is beneficial for companies that rotate their commercial vehicles throughout the year.
Another benefit of fleet insurance is that all commercial vehicles registered under a company with fleet status are covered under a single insurance policy. It makes it easy for companies to keep track of their different commercial insurance packages.
Fleet insurance eliminates the stress of owning multiple auto insurance policies for each type of vehicle, such as trucks, taxis, vans, and more. It provides coverage for all commercial vehicles, whether the vehicles are used for business travel or operations.
In addition, companies that aren’t eligible for an individual insurance policy might be able to find coverage through fleet insurance, which is also cheaper than an individual insurance policy.
What Does Fleet Insurance Cover?
Similar to a commercial auto insurance policy that offers various coverages, the coverage of your fleet insurance policy can also vary.
Fleet insurance protects your commercial vehicles against collisions and accidents that occur on the road, as well as various insured perils that can cause damages to any of the commercial vehicles in your fleet. Examples of insured perils include acts of vandalism, thefts, floods, fires, and more.
It can provide coverage for repairs, medical, and legal fees for property damages, bodily injuries to a third party, or your commercial vehicle.
You can also choose from a variety of other optional coverages depending on your specific requirements.
Standard Coverage for Fleet Insurance
As a standard level of coverage for fleet insurance, companies should consider at least third-party liability coverage, as well as accident benefits coverage and coverage for uninsured motorists.
The law in Canada requires that all registered vehicles have third-party liability coverage. It also applies to all commercial vehicles in a fleet insurance policy. Third-party liability covers costs related to property damage and bodily injuries that occur to another person resutling from a collision or accident on the road. However, it does not provide coverage for your employees nor the commercial vehicles your company owns during the accident.
Accident benefits coverage covers costs for lost income, medical treatments, rehab, disability benefits, funeral expenses, and compensation for your family in the event of death resulting from a car accident.
Coverage for uninsured motorists protects your employees and fleet of commercial vehicles against injuries if they are involved in a car accident with a driver that doesn’t have auto insurance or who commits a hit-and-run.
Optional Coverage for Fleet Insurance
In addition to purchasing standard fleet insurance coverage for your fleet of commercial vehicles, you also have the option to choose from a list of optional insurance coverages.
Optional collision or upset coverage protects your commercial vehicles against losses that occur when one of your employees causes a collision with another vehicle or gets into an accident like hitting an object. It covers the current value of your fleet vehicles regardless of who’s at fault and provides compensation for repairs resulting from non-car collisions.
However, it doesn’t provide coverage for damages that result from an object hitting your commercial vehicles. It also doesn’t provide coverage for any medical or legal fees associated with collisions.
Optional comprehensive fleet insurance will provide coverage for damages to your fleet of commercial vehicles that aren’t resulting from a car accident. It includes insured perils such as theft, acts of vandalism, storms, falling or flying objects, fires, and more.
Comprehensive fleet insurance will provide coverage for repairs, medical fees, and legal costs caused by an insured peril, such as an act of vandalism or a flood that damages or destroys a vehicle in your commercial fleet.
Other optional auto insurance endorsements can include:
- Loss of vehicle if one of your commercial vehicles is stolen or is in repairs and your company needs a rental vehicle.
- Accident waiver coverage if your company has a clean driving record and it’s the first time your employees are involved in an accident or collision.
- Liability for damage to non-owned vehicles, which can apply to rental cars or other borrowed vehicles.
How Can You Apply for Fleet Status?
A fleet is considered a group of four or more vehicles that are owned or leased under the same company. Fleet vehicles can be used for business travel, conduct company operations, deliver goods and services to customers, and more.
To apply for fleet status, you can register your commercial vehicles under a fleet program. There are tons of motor companies that offer fleet programs.
Each motor company can have different eligibility requirements for your company’s commercial vehicles to qualify for fleet status. They also have separate forms that you can fill out to apply and get a quote for fleet status.
For example, General Motors requires the company to have at least five vehicles that are licensed or registered under the company. You are also eligible if your company will be purchasing three or more vehicles. In addition, the vehicles registered under the General Motors Fleet program must be kept in fleet service in Canada for a minimum of six months and 12,000km.
To find a fleet program that works for you, it’s best to do your research on the different companies that offer fleet status and talk to them about the benefits and requirements for applying.
As long as you meet the requirements that a fleet program lists out, you can follow the instructions on the program website to get a quote and submit an application for fleet status.
Once your company is approved for fleet status, you can then apply for fleet insurance.
Why Choose Insurance Hero for Your Fleet Insurance?
Insurance Hero makes it easy for your company to apply for fleet insurance and compare the different insurance quotes available.
We work with some of Canada’s leading insurance companies to provide custom, affordable, and competitive fleet insurance quotes.
Whether you want a pre-packaged or custom fleet insurance policy, we can connect you with the right insurance company that offers you the right coverage for your commercial vehicle needs and budget. You can operate with confidence, knowing that your fleet of commercial vehicles has the right insurance package to mitigate risks during day-to-day business operations.
Get the most value out of every dollar spent on fleet insurance. Visit InsuranceHero.ca or call us at 1-855-777-4376 (HERO).
