No matter the size of the fleet, the one thing they all have in common is drivers. This post takes a closer look at the challenges faced by fleet drivers and some best practice tips for drivers looking to become masters of their craft.

Many years ago, in a not-so-distant province on the coast of South Africa there was a fleet manager named Matthew. Matthew worked at a large industrial company and was responsible to manage a fleet of over 100 vehicles. Despite having a tracking system in the vehicles, Matthew battled with high fleet costs which upset his senior management team. The senior management team demanded reductions in the operational cost of the fleet of vehicles. Month after month he would spend many hours scanning the copious number of reports sent to him.

From time-to-time differences in interpretation may arise between the Insurer and the customer on the cover provided by the products sold to the client, and a simplified process is required to clarify and rule on such uncertainties.

For this purpose, the Financial Services Conduct Authority (FSCA)established the Ombudsman for Short Term insurance, or the OSTI, to act as an independent evaluator of claims that are repudiated or rejected by insurers.

Driving a roadworthy car is a legal requirement in South Africa however 80% of cars surveyed are deemed unroadworthy and unfit to operate according to the National Road Traffic Act, 1996 [No. 93 of 1996].

Why policy terms and conditions can “bite you”

Your short-term insurance contract can often seem confusing and overwhelming. One of the most important decisions you will make as a short-term insurance client will be to spend some time (with the help of your broker, if necessary) going through all the terms and conditions of your policies to make sure you understand the “ins and outs” of your cover. You will then know exactly what you are and are not covered for and there is little to no chance of any “surprises” at claims stage.

Below, we will go through some of the policy terms and conditions that we at Eqstra Financial Services feel are very important for you to familiarise yourself with.

Excess:
An excess is the amount you are liable for prior to the settlement of a claim under an insurance policy, “it is the agreed amount of money you pay the insurer as a contribution towards repairs or replacement” (Schyf, n.d.).