Do I need fleet van insurance?

For some business owners, the entire operation of their company depends on the smooth running and functioning of their business’s vans. Whether these vehicles are for carrying tools, delivering goods, transporting workers or customers, or …

For some business owners, the entire operation of their company depends on the smooth running and functioning of their business’s vans. Whether these vehicles are for carrying tools, delivering goods, transporting workers or customers, or any other form of commercial use, the vans must be properly insured so that the business is properly protected.

Therefore, it is crucial that commercial vans have the right insurance policy, to ensure the continued functioning of the business in the event of a vehicle accident or incident. However, it should also be a priority for businesses to minimise their outgoings, which is where fleet van insurance comes in.

Fleet van insurance is designed to help businesses that have more than one van involved in their operations. It is simpler and often cheaper than taking out individual commercial van insurance policies on multiple vans. A-Plan is one of the largest van insurance brokers in the UK and can offer your business a tailored fleet van insurance quote based on the exact requirements of your vehicles and your company.

Here, we are going to take a look at who needs fleet van insurance, what it covers, the types of vehicles included, and what its benefits are.

Do I need fleet van insurance?

Businesses that use multiple vans as part of their operation are eligible for fleet van insurance. Although fleet van insurance is not required by law, it is often preferable to individual commercial vehicle insurance for multiple vans because it usually saves businesses both time and money.

Many businesses require multiple vehicles, including vans, to operate. Fleet van insurance is vehicle insurance for such businesses and provides the same cover for the entire fleet of vehicles and a select group of drivers.

What is fleet van insurance?

Fleet van insurance is insurance cover for two or more vehicles that are owned and used by the same business. Fleet van insurance consolidates your commercial van insurance under one simple policy that suits the needs of your business.

Some fleet van insurance policies will even extend their cover to vehicles used by the business that aren’t vans, although it is important to check the details of each policy before deciding, as each provider and quote will differ. A fleet policy will usually accommodate multiple makes and models, but the provider will require the details of every vehicle. However, specialist vehicles such as lorries, tractors, or motorbikes will usually require a separate insurance policy.

What does fleet van insurance cover?

Every fleet insurance policy is different and it is important to familiarise yourself with exactly what is and isn’t covered by any policy you take out.

However, as with regular car insurance, fleet van insurance has three basic levels of cover:

  • Third-party only: This covers your fleet for the cost of any damage done to another person, their vehicle, or their property. However, it doesn’t cover the cost of any damage done to your own vans.
  • Third-party, fire, and theft: This includes everything covered by third-party insurance, as well as cover if your vans are stolen or are damaged or destroyed in a fire.
  • Fully comprehensive: This includes everything covered by both of the other types of cover, plus cover for any other kind of damage to your van caused in an accident or by vandalism.

There are then more specialised forms of fleet van insurance that cover the contents of the vehicles. Under fleet van insurance you can get cover for:

  • Carriage of own goods: This is the cover you need if you use your van to carry business goods for your own use. These may include tools if you are a tradesperson. It will also cover you for social, domestic, and pleasure use of your van.
  • Haulage (carriage of goods for hire and reward): This is the cover you need if you use your van to carry cargo that does not belong to you. For example, you may be a delivery driver. Again, this will also cover you for social, domestic and pleasure use of your van.

Most insurance providers will offer optional extra cover. This could include:

  • Courtesy van cover, which provides you with a vehicle for the period during which yours is unavailable.
  • Breakdown cover, which covers your vehicle for call outs and repairs in the event of a roadside breakdown.
  • International cover, which covers you and your vehicle if you drive it outside of the UK.

It is also important to remember that not every fleet van insurance policy will provide the exact cover that your business needs, so it is important that you find the cover you need. You can contact A-Plan directly to ensure you have the perfect cover for you.

Who can drive a van covered by fleet insurance?

When you take out a fleet van insurance premium you will need to provide the names and details of the drivers of each van. For some businesses, there will only be one driver for multiple vehicles, and others will have multiple drivers. Generally speaking, the more drivers there are on the policy, the greater the risk.

If your business is likely to have multiple drivers driving different vans, then you can usually opt for an “any driver” option on your premium. This is a more flexible (and more expensive) option that allows you to have any (named) driver driving any of the vehicles in the fleet.

Remember, if your business employs even just one employee on a casual basis, you must have employer’s liability insurance to cover them in the event of an accident or illness caused by your workspace.

How many vans can be covered by a fleet van insurance policy?

The minimum number of vehicles that can be covered by most fleet van insurance policies is two. However, different providers may have a higher minimum.

The maximum number of vehicles that can be covered by fleet van insurance is potentially hundreds or even thousands, depending on the policy.

Most fleet van insurance providers will have an upper and a lower limit of vehicles. So be sure to check the limits of vehicle numbers before taking out a fleet policy as you may wish to add or remove vehicles from your fleet in the future.

What vehicles can be included in a fleet van insurance policy?

Most providers will let you cover a variety of van types, although each will have its own rules. Providers will usually accept the following types of vans under a fleet policy:

  • Pick-up trucks. These are trucks that have an enclosed cabin and an open cargo area.
  • Dumper trucks. These are trucks that have a rear platform for cargo that can be tipped to dump the cargo.
  • Box vans. These are vans that have a large, enclosed cargo area that is usually separated from the cabin.
  • Light vans. These are small transit vehicles that have cargo space in the back.
  • Vans with single or double cabins. The cabins refer to the number of passengers that can be carried alongside the cargo space.

Some van insurance policies will have an “any vehicle” option as part of their fleet insurance deal. This means that the fleet policy will cover any type of vehicle. However, you should always check with the provider first as many policies do not include this option.

What are the benefits of fleet van insurance?

If your business only requires a handful of vans as part of its operation, you may be wondering whether fleet van insurance would work better for your business than taking out individual policies on each vehicle. While it is always wise to assess your options carefully over time, fleet van insurance is usually a smart investment for businesses that require more than one vehicle.

The overall cost of fleet van insurance usually works out cheaper than taking out individual policies on each vehicle. You save money by taking out fleet insurance on just two vans, but as your van fleet grows the savings grow cumulatively. So the bigger the fleet, the bigger the savings.

Fleet van insurance is also far less time consuming than taking out individual policies. It means you can manage all of your vehicle insurance under one policy instead of having to make any changes, adjustments, or renewals to multiple policies.

As fleet van insurance will generally save businesses both time and money, it is usually a better option than taking out individual policies. So, fleet van insurance is always recommended for businesses that use more than one vehicle as part of the company operation.