Cheap Van Insurance for Business Owners
As a business owner, you probably have a very keen sense for the reality that often it is not the product itself that is expensive so much as the distribution to customers. With the rising costs of everything from gas prices to employer-based health insurance, cheap van insurance is a small but critical step to managing these distribution costs. It will never be painless, but following these tips for finding cheap van insurance can certainly lighten the load of protecting your business’s delivery service.
5 Tips for Finding Cheap Van Insurance
- Find Safe Drivers
This one’s just common sense, but it might also be the most important. In theory, hiring drivers with commercial driver’s licenses in good standing is the best thing you can do, but this prerequisite can make it difficult to impossible to find adequate staff. That said, when you’re hiring a staff to drive a commercial van with heavy or valuable goods, even a speeding ticket or two can be a big red flag to insurance companies. Along similar lines, it will be critical to create the proper balance between motivating your drivers to be efficient with their time without sacrificing driving safety.
- Find Top-Rated Van Models
Vans may be the best vehicle for delivering inventory to customers, but they’re not exactly the safest vehicles on the road. They wear out quickly, have higher repair costs, can’t maneuver well, and have a high center of gravity. As such, a newer fleet of vans for your business may yield the best value for your company, despite higher premiums associated with newer, more valuable vehicles. And top-rated models for safety can yield significant discounts, especially when coupled with lower maintenance costs.
- Look for Multiple Policy Discounts
Nearly every business owner looking for cheap van insurance has the need for some other insurance policy, whether it’s business liability insurance or personal auto insurance coverage. Most companies offers discounts for multiple policyholders. On the other hand, you might skip the multiple policy discount for a comprehensive insurance policy, known as a business owner’s policy or BOP, that might include van insurance, liability insurance, and other insurance needs.
- The Importance of a Healthy Business Model
Insurance companies frequently give discounts to companies that have been in business for three years or more, commonly known as a “good business” discount. And your business’s credit rating is likely to have a bigger effect on your insurance rates than you think. What’s more, the insurance company doesn’t have to tell you that they’re using this credit rating to help determine your rates. In Safeco Insurance v. Burr, the Supreme Court ruled that this non-disclosure does not constitute an “adverse action” as enumerated in the Fair Credit Reporting Act. On the other hand, if you’re willing to pay annual premiums at the beginning of the policy, you might be able to mitigate these penalties.
- Finding Cheap Van Insurance Quotes Online
These factors will influence the rates charged by nearly any insurance company, but many companies weigh certain factors more heavily than others. The best insurance company for a business with used vans, safe drivers, and a middling credit rating may not be the best company for a business with a new fleet, mixed drivers, and a solid credit rating. And the only way to know for sure which insurance company is right for you is to solicit quotes. Without the help of an online referral service, like NetQuote, this can be a time-consuming process. Plus, by finding quotes online, it reduces overhead for insurance companies while allowing you to consider different quotes on your own time and from the comfort of your own home.
See how much you could save today on your commercial auto insurance. Get your free business insurance quotes today!