Insurance agents are uniquely positioned to help their personal and commercial auto insurance customers learn to better manage their risks on the road. Something unexpected could happen anytime you get behind the wheel — but being able to reduce the frequency and severity of auto losses for families and fleets means safer roads and less expensive insurance costs for everyone to enjoy.
Learn more about property and casualty auto loss exposures and how to reduce the frequency and severity of these types of insurance exposures. Then use these tips to help your commercial and personal insurance clients.
Auto Exposures for Fleets and Families
Property and casualty losses related to automobiles, trucks, and other vehicles are common. There were over 6.7 million traffic accidents reported to police in 2019, according to the National Highway Traffic Safety Administration. Some common auto types of insurance exposures can be reduced or avoided altogether, though.
Collision Losses
Collision accidents can be severe, given the potential for injury to drivers and passengers. Even if no one is injured, vehicle damages can quickly add up, especially with the expensive electronics in many newer vehicles. Fleet vehicles are often equipped with extras, making them more expensive to repair or replace if damaged in a collision.
Agents can help reduce the frequency and severity of collision losses by promoting safe driver programs and courses to their policyholders. Personal auto insurance customers who complete a defensive driving course usually are rewarded with a discount from their carrier, so reminding your clients of this discount can help encourage them to complete a safety course. New drivers can especially benefit from the knowledge they’ll learn in a driver safety program.
Comprehensive Loss Types
Storms are responsible for lots of damage to fleet vehicles and private passenger autos alike. But some risk mitigation methods are easy to introduce when it comes to bad weather. Customers should be proactive in moving vehicles out of flood zones before catastrophic storms. And moving vehicles indoors or under awnings can reduce the potential damage from hail or lightning.
Reach out to policyholders about deer losses during the autumn months when deer claims are prevalent or when storms are predicted to strike in the area — a little bit of awareness could help your insured avoid a comprehensive claim.
Liability Claims
Both commercial and personal auto policies are potentially exposed to liability claims, but the damages can often be greater with commercial policies. Commercial drivers are often held to a higher standard due to their professional driver’s license, meaning if they cause an accident, it could be more costly. Commercial auto policies tend to have higher limits than personal ones, making them an appealing target for litigation if a commercial driver is involved in an accident.
Agents can work with their customers to educate them about their liability coverage. Do your policyholders need an umbrella policy to add an extra layer of protection above their basic auto policy? Commercial and personal umbrella policies can be essential coverage, so don’t forget to discuss these policies at renewals and when meeting new customers.
Theft Claims
Preventing auto theft claims can be as simple as practicing some basic safety tips. Agents can provide easy checklists or To-Do formats for their customers to remind them of theft safety. Simple tips like always locking your car doors, keeping valuables out of sight in your car, parking in well-lit or populated areas, and taking the car key with you can help reduce auto theft.
Anti-theft systems often result in discounts from car insurance carriers, so recommending vehicles with anti-theft or alarm systems to your customers who are shopping for vehicles is a way to save money on car insurance while simultaneously reducing the risk of theft.
Agents Can Use Resources From the American Agents Alliance
Help your policyholders reduce or avoid auto losses with resources from the American Agents Alliance. Our blogs provide more information about coverage issues, auto insurance, and other helpful topics designed for agents and brokers.
Become a member of the American Agents Alliance and take advantage of all the resources we have to offer. You can also purchase your E&O insurance through us to add additional protection for your agency. Click, quote, and bind in minutes!
