BARGAINING AT THE BROKERS
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• Hauliers are currently in a strong position to shop around for the best insurance deal for their goods and trucks as more and more specialist brokers compete for their business. According to one broker, operators with good claims records should even be looking to reduce their premiums this year.
Several types of insurance are required by haulage operators. Some are required by law, such as Road Traffic Act vehicle cover (RTA), and others are common to almost all policies. These include third party, fire and theft or comprehensive cover.
The other main all-risks insurance for hauliers covers goods in transit. The policy backer guarantees to pay for any damage to goods carried within the UK caused by delay, weather, accident or theft, among others.
Most operators will also want insurance cover for their premises, employee accident, loss of HGV licence (particularly for the small or owner-operator), product liability and legal expenses.
It is the insurance broker's job to act for the customer in choosing the best value-for-money insurance policy for his trucks and business. The policies are generally underwritten by the large insurance companies.
Probably the biggest insurance schemes tailor-made for the haulage industry are those backed by the Road Haulage Association and Freight Transport Association. They have formed specialist insurance services with broker Bain Clarkson to offer full services to their members.
Other major players in the chase for haulage business include Roberts & Davis, Wrightsure, and Crossways. Most of the independents offer goods-in-transit, vehicle and other forms of insurance: most are aimed at the smaller operator.
RHA Insurance Services (RHAIS) has been running since 1983. Dealing only with RHA members, it says 80% use its legal protection scheme with about 25% subscribing to its motor fleet insurance, which is backed by groups such as Sun Alliance and Eagle Star.
Bain Clarkson also takes on non-RHA business, but RHAIS has to compete in a crowded market.
Although it has the advantage of access to RHA members through the associa
tion's magazine, annual conference and publicity machine, it admits its rates are not cheap.
However, RHAIS claims it balances this extra cost with better cover than most other brokers. Its-goods-in transit cover is underwritten by New Zealand Insurance among others. NZI, now owned by General Accident, specialises in marine and transit cover.
Its fleet package includes new-for-old cover. If a vehicle is written off within 12 months the owner gets a new one. It also offers detached trailer cover, and as an added convenience, if a customer replaces a vehicle RHAIS says it does not need to know immediately, as other insurance companies do.
All international hauliers should have a green card: RHAIS will provide these annually instead of the haulier having to apply for a new one each trip. Some companies do not provide comprehensive insurance on their green cards.
RHAIS also offers a scheme for the smaller haulier backed by Avon Insurance, where all insurance cover is in one package. "Small operators want to know that all their business is covered," says RHAIS's Lynda Oliver.
Like RHAIS, the FTA's insurance service, FTAIS, is run through Bain Clarkson, available only to members, and has been going since the early eighties. Operating from about 25 offices, it also offers the full range of services.