When purchasing commercial auto insurance, especially today it is important to know the rates have increased based off a number of factors including: more distracted drivers on the road, repair and medical costs, driver shortages and social inflation. Equally, it is important that as the employer, you know what you can do to keep your rates as low as possible.  

Helpful Tips to Keep Rates Down

Bundle your Commercial Auto Policy with General Liability and Workers Compensation

When seeing commercials about insurance, you usually hear the term “bundling”, but what exactly is it and what are the benefits of it? 

Bundling is a term used in regards to purchasing two or more policies from the same insurance carrier. The benefit, sometimes depending on the carrier you can be offered a bundling discount. However, it goes farther than that – the convenience factor is huge. Having one premium, having one direct point of contact for your questions, comments and concerns when something comes up…like a claim or accident. 

If you are purchasing a commercial auto policy – the chance that you are also in need of purchasing general liability and workers compensation is high. So, having them bundled together will be beneficial in not only saving money, but time as well – in case you have to use your protection. 

Assure that Driving Records are Clean Pre-Hire

When insurance carriers are reviewing your records they will take a look at your driving records; along with the records of your drivers. In determining your premium, they will assess the risk associated with insuring your business. The cleaner the records, the less of a risk you will pose – leading to a lower premium. The messier the records, the more of a risk pose – leading to a higher premium. 

We recommend on your job applications, when looking for truck drivers, to request a copy of their driving records. Just as the insurance companies will want to see and assess your risk to them, you should be able to do the same when hiring those you will be covering. 

Use Telematics to Monitor Driving Safety and Cameras to Review Footage Before, During and After a Crash

Having technology that will track and monitor driving habits such as measuring speed, mileage, brakeforce, and more will give you the opportunity to see what is going on in the vehicle and on the road when you are not around. 

Types of telematics to consider are…

  • Cameras, dash cameras and back-up cameras
  • GPS Systems
  • Electronic Logging Devices
  • Weather Alerts
  • Remote Diagnostics
  • Dispatching and Route Optimization

Telematics could be the difference between who’s insurance company has to pay out a claim, could change the outcome of a lawsuit and will give peace of mind to drivers and business owners. Pay outs in accidents involving truck drivers have sky-rocketed over the last 10+ years, it is a contributing factor to just why the rates are so high. The technology invested into the trucks could just save your business thousands, sometimes hundreds of thousands of dollars in pay outs if you can prove with camera footage that your company and driver were not liable. 

Have Regular Safety Meetings about the Importance of Safe Driving

Driving safety goes beyond the course you take in high school when learning the ways of the road in preparation to get your license. Especially if you drive a commercial vehicle for a living, or you are a company that owns commercial vehicles – regular safety practices are a must. 

By implementing consistent meetings, whether monthly, bimonthly or yearly, you will have a positive impact on the safety of your drivers, your company and the vehicles on the road. Taking a valued interest in the well being of your drivers will secure their trust with you and make them feel valued as more than just an employee. 

Having safety meeting will give drivers a chance to refresh their memory on the rules of the road, an update on any closures or detours they may experience on the road during their routes, as well as any advances that could be taken place in their vehicles that they need to know about. 


These are just a few tips that we recommend in an effort to assist in lowering your commercial auto rates, keeping them as low as they can be – while staying safe. We here at LG Insurance are always looking to lower your cost of risk, while not compromising your level of protection. Give us a call today at (877) 288-7169 to see how we can help you with your cost of risk. 



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