We use cookies to ensure that we give you the best experience on our website. If you continue without changing your settings, we will assume that you are happy to receive all cookies on the Business Car website. However, if you would like to, you can change your cookies at any time
The start point for the best source of fleet information |
The increasing cost of motor insurance is the biggest threat to profitability and sustainability of the vehicle rental industry, according to BVRLA chief executive John Lewis speaking at a conference addressing the issue of soaring premiums.
A recent survey by the association found that nearly 90% of its members had seen premiums rise in the past year, with some smaller operators facing increases of more than 50% combined with new policy restrictions and higher excess levels.
Figures showed that the ratio of personal injury claims has risen from 17% to 25% of accidents over the past six years, with the average cost of each claim more than doubling.
The audience of rental and leasing operators at the conference was given an insight into how the insurance industry works, and was given best-practice guidance on claims management, mitigating risk and taking advantage of the latest technology from insurance industry experts including the Association of British Insurers, Allianz, Aon, Experian, Thatcham, Total Accident Management and Towergate.
"The aim of the conference is to help members develop an action plan for presenting their business to insurers and brokers," added Lewis.
All of the companies present agreed that much more could be done to share industry data on fraud and other insurance threats.
"The insurance industry pools data to try and reduce what it pays out on claims, while our industry uses the RISC problem-renter database to prevent claims occurring in the first place.
"We could do both things much more effectively by working together," added Lewis, who also announced his intention to step down from his role at the BVRLA?in spring/summer 2013.
Lewis has headed the organisation for the past 12 years, and will stay on part-time for the following 12 months to ensure a smooth transition for the incoming chief executive.
The BVRLA board is currently working on a recruitment and handover plan. "In the meantime I will continue to focus on the many challenges our industry faces," Lewis said.
. The new BVRLA Guide to Insurance Risk Management is available at www.bvrla.co.uk/Advice_and_ Guidance/advice_and_guidance.aspx
Follow BusinessCar on TWITTER.
BusinessCar magazine ©2019
Business Car Magazine © 2020 | Business Car is part of NS Media Group.
