People with poor driving records tend to be more at risk of breaking traffic laws or being involved in accidents again in the future.
A fleet is a group of vehicles, such as cars and trucks, owned by a company, government, or other organization. Fleets are commonly used by organizations that rely on transportation for the delivery of goods and services, communication with customers and entities in multiple geographic locations, and other operations that enable a business to function. Fleet risk management refers to the services provided to companies that have a fleet to reduce the possibility and impact of unwanted events and occurrences, such as accidents, injuries, vehicle damage and illegal activities. Some common fleet risk management functions include commercial insurance, regulatory compliance, safety training, and driver background checks.
Commercial insurance is often an important part of fleet risk management. In most cases, this insurance is purchased by organizations that own fleets to help protect them from liability when one of their vehicles is involved in an accident. This type of insurance can also help provide fleet organizations with workers’ compensation funds, which must be paid in some places to workers who have been injured on the job.
Regulatory compliance is another important aspect of fleet risk management. In many places, commercial vehicles, especially those carrying potentially dangerous goods, must follow certain laws regarding structure and size, as well as laws that dictate how they must behave on the road. A risk management company can help a fleet organization comply with these regulations and keep up with new compliance issues that may require some form of policy restructuring.
Many fleet managers prefer to provide all of their drivers with safety training courses, as this can be a way to significantly reduce the chances of accidents and other costly events that occur on the road. Fleet risk management often provides safety training for drivers. In some cases, this training may be preparation for company-sponsored tests that candidates must complete before being hired and given access to fleet vehicles. Some fleet managers may simply choose to provide safety training on a regular basis so that all fleet drivers can remember the necessary precautions and practices.
Another important aspect of fleet risk management can be conducting background checks on potential employed drivers. People with poor driving records tend to be more at risk of breaking traffic laws or being involved in accidents again in the future. Background checks can help a fleet manager ensure that all of their drivers have a history of complying with laws and safe driving practices.