Technology based insurance schemes hot up as next generation is launched.
Its pull over ‘where and when you drive’ – it’s now ‘Pay HOW You Drive’ [BACK ]

30 October 2006

Fleet safety initiative to encourage safer driving is launched by specialist insurance broker, Lloyd Latchford, in Europe’s first commercial fleet insurance scheme of its type.

The launch of the scheme, underwritten by two of Europe’s largest insurers Zurich and Royal & SunAlliance and jointly developed with telematics provider Airmax comes against a background of rising figures for insurance claims within the commercial fleet sector.

Based on a simple ‘plug and play’ telematics device this new technology differs from previous systems supplying ‘location, speed and time of day only’ in its ability to record and build up a driver profile on driver behaviour such as rapid acceleration and harsh braking, overall mileage and speed, and infringements of the European Working Time Directive related to driver hours. This information which is automatically captured for analysis allows insurers and fleet managers to asses driving performance and suggest modification if needed via bespoke driver training. In the long term, this can lead to reduced accident costs and claims and the potential for a ‘profit-share’ rebate on the insurance premiums through the demonstration of effective risk management, of up to 15%.

Tim Hutton, Commercial Director of Lloyd Latchford, said of the launch “We have spent two years working closely with Airmax and the big fleet insurers to define a unique product which can radically change the way that insurance premiums are applied to commercial fleets. By applying Key Performance Indicators to driving style the industry can make vital risk management assessments on drivers and fleets. This allows us to set up incentive programmes which will reward safer driving fleets or in the case of poor driving performance institute remedial training and premium penalties”.

John Briggs, Motor Manager for Zurich’s UK Commercial business said: “This initiative compliments our long standing approach to encouraging risk management within fleets and will provide a richer source of information on the driver, vehicle, its use and how it is being driven. Ultimately, we know that businesses who have an active and progressive approach to managing risk will use this enhanced data to positively impact their claims record and better able to manage the cost of their insurance.”

Graham Johnston, commercial motor underwriting director at R&SA said: “By utilising this technology fleet managers will be able to see the benefits of implementing an effective risk management programme. As well as managing the driver risks more efficiently, this can not only help companies meet their ‘duty of care’ requirements but could see fewer accidents and subsequently, lower operating costs.”

Reference: LL011106/08

For all media enquires please contact:

Tim Hutton
Lloyd Latchford
Tel: 01844 275555
Web: www.phyd.co.uk
Email: info@phyd.co.uk