How To Reduce Insurance Costs for Commercial Vehicles
Despite what most insurance firms advertise on their websites, the truth is that the true prices of commercial vehicle insurance are frequently disguised. Interest rates for commercial trucks and equipment are influenced by a slew of factors. Fortunately, there are a few things you can do to bring down interest rates as soon as possible. Here are some great tips to help you reduce insurance costs for commercial vehicles.
Use One Insurance Company for Your Entire Fleet
Many transportation and construction industry operators insure their own cars with various companies. As a result, insurance costs and premiums are often higher. Instead, hire a single insurance carrier to cover all your fleet’s vehicles. When you add multiple vehicles to your insurance plan, most firms offer discounts and reduced interest rates. This also makes keeping track of payment schedules easier, which is important for keeping your rates low.
Pay Monthly for Annual Insurance Plans
Most insurance firms provide you the option of paying larger annual payments with lower interest rates or paying smaller monthly installments with higher insurance rates. To avoid disrupting cash flow, most business owners opt for monthly installment arrangements. With a monthly repayment option on a business term loan, you may use your loan to pay off the hefty annual installment, and then repay the loan with lower-cost monthly payments!
Keep Driving Records Clean
This may seem self-evident, but many business owners are unaware of how much their workers’ driving records affect their insurance prices, both on and off the clock. Even anything as minor as running a red light or receiving a minor speeding ticket can significantly raise your company’s insurance premiums. The greatest methods we’ve seen for encouraging safe driving include incentive systems for individuals who go a certain number of months or years without receiving a ticket or being involved in an accident, as well as a penalty system for those who are responsible for negligent driving.
We hope you have enjoyed our tips to help you reduce insurance costs for commercial vehicles. If you are looking to purchase commercial auto insurance for your company, be sure to reach out to Serenity Group today!