Choosing a Suitable Commercial Van Insurance Policy
Van insurance costs and premiums vary depending on the chosen policy. Factors that govern the choice of the policy include:
• Vehicle use – What exactly will the van be used for? – Carrying personal goods, carrying goods for hire or haulage between two fixed points. Vans used for personal purposes will necessarily have to be covered by commercial van insurance for carriage of personal goods, belongings or tools of the trade in case of professions that need an on-site presence.
• Content – What is the type of good transported? – Goods can be divided into several categories based on their durability and traits. Fragile, breakable, perishable, hazardous chemicals, etc are some of the common divisions among products. Policy prices vary depending on the value of the content.
• Total number of vehicles used, their type and capacity of each vehicle, age, total mileage, and its present condition also influence the policy price.
• Driver Details – Owner-driven, driven by a standard team of company drivers or driven by any available driver. Businesses should opt for a suitable scheme based on who will be driving the commercial vehicle. Any-driver schemes are often costlier.
It is important for a business to first ensure the credibility of the insurance provider by checking for their details online or at the Better Business Bureau to steer clear of any fraudulent offers. One should shortlist a set of insurance firms, check out their offerings, and compare van insurance quotes before deciding on the suitable policy.
Reducing Policy Costs and Premiums
Commercial van insurance is a must to avoid delay and loss in businesses that rely totally on their commercial vehicles for survival. It is, however, possible to control the costs of these policies and optimise the premium paid on them if the following measures are adopted:
• Maintain and keep commercial vehicles in good shape through regular maintenance.
• Install secure locks, trackers, alarms and safety systems to ward of thefts and curb damage during accidents.
• Park the commercial vehicle in secure garages or parking lots.
• Opt for higher deductibles upfront to enjoy lower premiums.
• Opt for drivers with valid licenses and impeccable driving records.
Checking for multiple-policy discounts, rebates for experienced businesses and good driving records, lower prices on no-claim schemes, etc. are few other ways to cut down on the essential commercial van insurance costs.
Businesses should also ensure that any equipment fitted on the commercial vehicles, such as satellite receivers, generators or winches, are also included in the van insurance policy to completely cover their investments in these vehicles.
Cormac Reynolds writes for AXA Insurance and has written for numerous Insurance companies in the past. He is also a lover of autos and all things car related.