What is the True Cost of a Fleet Accident?

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What is the True Cost of a Fleet Accident?

All drivers, no matter how experienced, are prone to accidents. Especially when your drivers work long hours, the road can be dangerous. As a fleet manager, your best option is to be prepared in the event of an accident. While keeping your fleet safe is important, you also want to avoid the costs associated with accidents. 

Fleet Accidents and their Costs

Any event that damages your fleet or is caused by it is a fleet accident, just like any other vehicular accident. Fleet accidents can be serious or minor. If your fleet is involved in an accident, you should be aware of the costs, whether it was your fault or not. 

The major costs associated with fleet accidents include the repairs needed for your fleet, if there are injuries, and if additional insurance coverage is required. You might experience an increase in your insurance premium in the future, depending on the accident and your insurance. 

Having paid for and calculated the initial cost of the fleet accident, it's important to consider the other hidden costs your business will incur. Some of them may not be monetary, but they can still harm your business in other ways. 

Ethical considerations

A road accident could be a traumatic experience, especially if you depend on your job to get to work. It might be difficult for your driver to return to work immediately after an accident, despite being able to physically do so. Ensure the support of your employees during this time. The way you treat drivers following an accident will be noticed by them. Poor employee morale can lead to higher levels of employee stress and higher turnover rates, resulting in higher recruitment and retention costs. 

Clients may also be affected by morale issues. You may face public relations issues if your fleet accident is severe. Prepare to respond to clients' safety concerns by communicating the steps your fleet is taking to promote safety on the road and in serving their needs.

Issues with the staff

You can't succeed without your drivers. An injured employee's absence from work and inability to complete their routes will impact your whole organization. 

The additional routes may have to be completed by another driver. In this case, you will probably not have a backup vehicle. You may have to add another driver if you do have an additional vehicle. You may incur additional costs such as overtime pay and recruiting another driver.

Fleet managers and drivers spend time dealing with the aftermath of accidents that they could have spent elsewhere. Insurance paperwork will require more time from your office employees. This may result in overtime pay. You can also waste time interviewing and researching applicants if you need to hire more fleet drivers. 

What to do in case of a fleet accident

In the event of an accident, it is best to be prepared as a fleet manager. You can train and equip your fleet to stay safe on the road in several ways. 

  • Ensure your team is trained and educated on best road safety practices. Promote safe driving as a priority in your business, and reward your employees for doing so. 
  • Your team can monitor safe driving practices by having your drivers use dashcams monitoring their driving behavior. You can also monitor those who are reckless, so you can take appropriate action. 
  • Dashcams also prove responsibility when accidents aren't your fault. If your driving is at fault, your insurance costs will be higher, so you don't have to worry about dealing with insurance issues.

Your fleet business should always prioritize driver safety. Your fleet drivers are crucial to your business, and you want to ensure they stay safe while working hard. 

Learn how Falcon Trackers can help you encourage safe driving practices with more fleet driver safety tips, and schedule a demo today. Using our software solutions will support you if your fleet is in an accident,

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