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incidente tra auto grigia metallizzata e auto rossa

How to limit damages and accidents of the company fleet

Road accidents represent an important expense item for a company fleet. If accidents are not, by definition, entirely avoidable, it is also true that it is the fleet manager’s task to adopt the necessary tools to reduce costs related to repairs, maintenance and increases in insurance premiums.

Let’s see together what the main cost items relating to fleet accidents are, as well as costs and any consequences resulting from them. Next, let’s see in what ways and with what tools it is possible to limit the order of magnitude of the expenses that typically derive from an accident.

The costs of accidents for the fleet

The costs resulting from an accident are partly immediate, partly deferred over time. The immediate ones are damages to the vehicle and any damage to the driver and/or passengers. It is therefore necessary to cover the costs of repairs or replacement of the vehicle and any medical expenses.

The costs over time are: the increase in the insurance premium, the cost of the deductible (paid by the company) and the loss of productivity due to the downtime of the vehicle and possibly the driver. Let’s not forget the possibility of having to incur legal costs in the event of disputes.

Economic losses and more…

Accidents entail, in addition to economic damage, a negative impact on the company image, possible legal complications in the event of violations of the traffic code or criminal liability and the impact on the psychophysical health of employees.

What to do to reduce the costs of company fleet claims

To reduce repair and maintenance costs, the fleet manager must intervene both on a technical level, mainly on vehicles and maintenance, and on a human level, with employee training and awareness-raising activities.

5 tips from a technical point of view

1. Equip cars with advanced safety systems, such as parking and distance sensors, rear cameras, automatic emergency braking and blind spot monitoring

2. Mark any obstacles in the car parks/paths within the company

3. Regularly carry out complete vehicle inspections for reasons of safety and optimal vehicle conservation

4. Purchase vehicle models that are energy efficient and with engine capacity calibrated to the type of journeys (short or long duration) for which they are intended

5. Repair minor damage (scratches on the paintwork, for example) one-off, during an inspection for example and, if possible, without resorting to insurance, to avoid premium increases

4 tips from a human resources point of view

As anticipated, it is clear that among the causes of accidents we cannot ignore human error. Therefore, the fleet manager must allocate part of the interventions to employees and collaborators. Among these interventions we remember:

1. Organize training and prevention activities for collaborators to adopt a safer and more attentive driving style, in order to limit accidents, wear the vehicle as little as possible and to reduce fuel costs

2. Monitor those responsible for accidents through the use of software and identify those most responsible for accidents in relation to the amount of time spent in the car (it is clear that drivers forced to travel many kilometers will be more likely to have accidents or incur any sanctions for those who take the company car occasionally)

3. Provide an incentive system for the most virtuous drivers

4. Assign the cars taking into account the experience of the drivers (for example, it is advisable not to entrust large-engined and/or large vehicles to new drivers)

3 ways fleet management software can help with accidents management

Fleet management software automates and makes damages and accidents management more intuitive, since it gathers all the data relating to the accident in a single application. Here are some features that can be of great help in the event of an accident:

1. Automation in the processing of complete documentation relating to the accident: findings, repair estimates, immediate identification of the person responsible, place and manner in which the accident occurred, etc.

2. Immediate notification of the accident to the fleet manager via satellite geolocation devices and real-time control of data relating to the accident

3. Generation of detailed reports relating to the accident to plan corrective and containment actions in the appropriate areas

If you want to take your fleet management to the next level and limit claims-related damage, we recommend investing in software like Fleet Manager. Currently in use for fleet management of 3 large car manufacturers, one Italian and two German, Fleet Manager has contributed to optimizing the use of car fleets of around a thousand units by around 40%.

Designed to adapt to complex assignment flows, Fleet Manager lends itself to a high degree of customization. If you are interested in seeing a demo of the software, contact us without obligation!

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