subject: What Is Courier Insurance For Vehicles? [print this page] The trying economic times have placed businesses in the trucking service in a riskier position than ever before. There was a credit crunch, banking failure and an economic slump that hit the entire world's trade and commerce badly. Such a risky environment teaches the businesses one key factor: to protect your markets and assets and weather the hurricane until it is over. This requires that businesses take adequate measures to cover their risks.
Businesses operating to provide courier or trucking services are prone to many risks. One of the major risk faced is that the customer's items get damaged or lost or are delivered later than necessary. To prevent losses arising from these areas, these businesses follow strict internal operational risk policies and a culture of care. Similarly vans, trucks and trailers are an integral part of a trucking or courier business hence if the business does not cover the risks of accidents and thefts of these vehicles, it will stand to face losses not only pertaining to the vehicles but also to the deliveries that may be destroyed or lost in such an event, in which case reputation and business will be lost.
To cover their risks, the trucking and courier businesses buy adequate insurance policies and coverage to meet the losses in untoward events. Given the fact that insuring such loss events protects the business from probabilities of huge losses the companies usually forego sometimes very costly premiums charged for activating those insurance policies. With a business's vehicles hitting the roads, it is probable that third parties involved in accidents may sue or raise claims in courts.
A courier or trucking business should have a combination of different insurance policies in its arsenal to meet the risks present in the environment. In order to cover the non-business use of the vehicles running under courier or trucking company a Transit Van Insurance policy should be used. Similarly, in order to keep insurance costs low, those vehicles that are occasionally used for special assignments a Short Term Van Insurance policy should be used. On the other hand, if the company operates an entire fleet of vehicles then it would be most suitable to opt for a Fleet Van Insurance policy, which would definitely cost comparatively cheaper then buying individual policies for each vehicle.
The cost of insuring these risks discourages smaller companies from opting in to the policies. However, upon little research and effort one can locate small and medium sized insurance companies willing to strike a reasonable deal with the business.
by: Chris Ellis
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