While some employees may resist what feels like surveillance, telematics tools such as dash cams can protect both employees and the company from liability in crashes they didn’t cause. This is increasingly important given the rise in scams targeting commercial vehicles. As the market evolves, some insurance carriers may start requiring telematics for certain high-turnover businesses.
What are the benefits of using telematics to manage your commercial fleet?
Telematics can help reduce a variety of fleet risks, reduce costs, improve efficiency, and promote safe driving behaviors. The main benefits include:
Better Insurance Rates: Insurance carriers often offer preferred rates for companies who use telematics. Some even provide free access for the first year, with many programs having no installation costs and being user-friendly.
Cost Savings: Telematics help to reduce fuel consumption, minimize vehicle wear and tear through better driving practices, and lower insurance premiums. Telematics can help you track vehicle health and alert you to maintenance needs before they become major, costly problems.
Improved Efficiency: The real-time data provided on vehicle locations, routes, and traffic conditions, allows businesses to optimize routes and reduce fuel consumption. Easy access to this digital data also reduces the need to manually track and process helpful business information. Some of the data available includes:
Real-time vehicle location/status
Upcoming traffic concerns or road hazards
Fleet performance dashboard
Vehicle history trails
Trip tagging and miles per state
Find closest driver
Geofences/landmarks with alerts
Enhanced Safety: Monitoring driver behavior, such as speeding, harsh braking, hard-cornering, and acceleration, can help improve driving habits and reduce the risk of accidents. This is especially effective when paired with engaging driver rewards programs that feature self- and group-competition, motivating employees to drive safely.
Better Customer Service: Accurate tracking allows you to provide customers with timely updates, precise delivery times, and the ability to address any issues that arise.
Improved Fleet Security: Advanced tracking and communication features help keep your fleet safe in emergencies. Telematics can detect the location and route of any stolen vehicles, simplifying the vehicle recovery process. Some telematics software allows you to require drivers to enter a passcode before driving to reduce the risk of theft altogether. It can also help drivers quickly alert the proper authorities and share their exact location in the event of an accident on the road.
If you would like to learn more about how telematics can benefit your business, contact us today. We are always happy to help!
Our goal with the Risky Business series is to help you manage your risk and make better business decisions.
