Driving within the Law can increase Profits
Monday, 14 May 2012 13:42
Recently two interesting articles appeared in the Daily Telegraph (15/03/12 & 12/04/12), both illustrated the cost rises for vehicle insurance following drivers being convicted for 'minor' driving offences such as speeding and using mobile phones. Whilst in the past insurers may have overlooked a first speeding offence this is not the case now. Research by Moneysupermarket conducted for the Telegraph revealed that drivers aged 40 and above could expect an automatic increase in their premiums of around 10pc for a three point speeding offence, while those in their 30's can expect on average a 15pc increase and 20 year olds can expect on average an increase of 22pc.
Anybody convicted of a mobile phone offence can expect a premium increase of up to 60pc.
The reason for these increases is based upon risk and the likelihood of drivers making a claim. Research shows, the greater the number of convictions the more likely a driver is going to claim.
Business drivers using company vehicles may well be passing on to their employers an increase in risk, but also an increase in premium costs caused as a direct result of their poor driving behaviour. A 60pc increase in premium can make all the difference between a company being in profit or making a loss.
It is in the interest of companies to have robust occupational road risk policies which are actively promoted to generate a road safety culture within the workforce.
The COSTS team are only too pleased to engage with companies to help them improve their systems and develop this essential culture. Our ORR Assessments are provided for free and undertaken by members of the Driver Training Teams in East and West Sussex County Councils. Members of the team are, in the main, Advance Driving Instructors who also deliver Speed Awareness Courses on behalf of Sussex Police and the Partnership.
If you would like to know more email us through the 'Contact Us' link.
