Loss control is a management priority whether a fleet is large or small. A Fleet Loss Prevention Program can decrease insurance claims and help mitigate the frequency and severity of future losses. Often the other tangible and intangible benefits of these types of programs can be overlooked, but are just as valuable to your company!
These programs should be considered when implementing strategies for reducing and/or transferring organizational loss.
1. Improve efficiency
Less accidents mean less time spent dealing with the aftermath.
2. Improve public image
By avoiding accidents, organizations avoid scrutiny from the public eye and retain a healthy reputation
3. Reduce employee injuries
Implementing a fleet loss prevention program directly reduces absenteeism, worker's compensation premiums, and the amount of worker's compensation claims as well as health and disability premium.
4. Employees feel valued
By incorporating a fleet loss prevention program, organizations are indirectly sending employees that they care about them. This reinforces the importance of safety and the value of the people.
5. Fewer accidents
Attention to loss control will reduce the number of accidents over time.
6. Reduce accident costs
These costs come in two forms: (1) Insured costs, which are typically repair/replacement costs covered by insurance and (2) Uninsured costs, which come in the form of deductibles/damages below the deductible that are not claimed
7. Compliance with government regulations and legal requirements
Compliance with regulations makes meeting minimum safety standards a policy and ensures that both drivers and vehicles are safe.
8. Lower insurance costs
Fleet loss prevention programs reduce individual accident experience which in turn reduces premiums.
If you'd like more information on Fleet Loss Prevention Programs check out this sample program from JBS Insurance: Sample Fleet Loss Control Program.
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