numbers of claims or value.

[R W]

Could anyone advise if insurance companies count the cost of claims or do they just look at the amount of claims over the year regardless of value.
The reason I am asking is. I work for a coach company with about 15 vehicles. Over this past year we have had 5 insurance claims.One vehicle in particular had a lot of panel damage,our transport manager tried to reduce the cost of the claim by dong a lot of the work ourselves in our workshop.But we still made a claim, I think he has saved the insurance company expense but cost us money. As far as I understand it if we have 5 claims in a year that is what is calculated whether the claim is £100 or £1000.
If anyone could advise I would appreciate it.

 

[Primo]

All insurers rate differently so there is no single answer I'm afraid. However, 15 vehicles would be a 'fleet' risk and this is rated differently to individual vehicles with the cost of claims much more directly affecting the premium than with an individual vehicle risk. If you have had poor prior years this won't help you either. Finally, there aren't many insurers comfortable with coach risks so the market place is limited.

Either the transport manager understands the situation, is receiving good advice and hasn't told you the whole story, or he doesn't understand and needs advice from another broker. When is the renewal due?

 

[R W]

Robin.
Thanks for your advice, yes it is a fleet policy. Our transport manager is also not sure he said he was trying to reduce the cost of the claim thinking it would help when we renew the insurance. But my thinking was a claim was a claim regardless of cost. But your probably correct. Our insurance policy was renewed last month but still have 2 claims ongoing one of which was not our fault. 5 claims in a year is OTT but the vehicles do a lot of miles & London city tours so can be expected & 2 of the drivers responsible for most damage no longer work for us. Thanks again.

 

[Primo]

Have your insurers or brokers suggested defensive driving courses, or offered a premium reduction in return for same? Do you have someone dealing effectively with recovery of your uninsured losses?

If your premium is beginning to hurt, or is simply much higher than anticipated you need to look at all areas in detail.

Good luck!

 

[grober]

The cost of repair to your own vehicles can be predicted by the nature of the vehicle being insured- this is not going to change. Cost of repair to any third party's vehicle cannot be predicted- likehood of it happening can - by the frequency of previous accidents incurred - quite possibly related to - mileage driven, the skill of drivers employed and the roads/ traffic density of the highways driven on. So the answer to cost is no- going by the book------ that said insurance companies do appear to load renewals excessively in the event of large claims involving a total write off for example- whether this is a crude attempt to recoup losses or discourage renewal is unclear - but in theory is unnecessary if they have underwritten the policy risk correctly in the first place.