Fleet Insurance
Fleet insurance is the insurance for a group of cars, commercial vehicles, ships or airplanes that are insured under cover of one policy. The fleet must belong to the same owner to be eligible for fleet insurance. There will be a minimum limit placed on the number of cars that can be insured under a fleet insurance policy, usually twenty five.
The process to determine the premium rates for fleets is called fleet rating. Within the completion of fleet rating different skills processes will be used depending on the type of fleet. The size of the fleet as well as the claims history will be used—referred to as the claims experience basis.
For small fleets the rating will largely depend on the book value of each car covered under the fleet but some adjustment for expense savings will be allowed. Larger fleets will mostly be rated through experience rating where the credibility will increase according to the size of the fleet.
The fleet owner will be responsible for keeping the insurance company informed of any changes to the fleet. Fleet insurance is a specialized insurance field and it is best to consult with a specialist car insurance broker to obtain fleet cover.