From safeguarding vehicles to maintaining service and managing insurance claims, each phase of disaster response demands thorough planning and coordination.
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Whether it's hurricanes, floods, or wildfires, extreme weather events continue to test the resilience of fleet operations. From safeguarding vehicles to maintaining service and managing insurance claims, each phase of disaster response demands thorough planning and coordination.
Gavin Mills, director of ProMetrix Solutions at Verisk, shared his perspective on the most pressing risks and how fleets can better prepare through strategic insurance planning and data management.
Disaster-Related Risks and Their Influence on Insurance Planning
The primary natural disaster-related risks facing fleets today include:
Flooding, which damages vehicles, disrupts routes, and creates dangerous driving conditions.
Hurricanes/named storms cause widespread infrastructure damage and can destroy parked vehicles.
Wildfire poses a risk to drivers and vehicles and can block key routes.
Pre-Disaster Steps to Simplify the Claims Process and Strengthen Fleet Recovery
Keeping an up-to-date vehicle/ unit list with the insurer is key. Additional steps that can be taken include having a robust assessment and reporting plan to ensure timely notice of loss with as much detail as possible to assist in the investigation and adjustment of claims.
Documentation or Data to Support Post-Disaster Insurance Claims
Routinely updating the insurer to make sure that they are aware of all current units that would be insured under the policy is important, even if the policy allows for a period of time before reporting new vehicles. If dashcams or security footage are available, this can also support and streamline the claims process, providing proofs of damage related to the cause of loss.
Risk Mitigation Measures and Reducing Premiums, Securing Better Terms
Fleet programs have been commonplace for a number of years to mitigate the risk of loss associated with theft, in addition to drug/ alcohol testing programs for drivers. From a disaster planning perspective, fleet continuity must be considered, including evacuation, if necessary, alternate dispatch routes, and proactive relocation of vehicles.
Redundancies are also necessary for communication tools and fueling/ charging of vehicles if infrastructure is significantly damaged.
Lessons That Have Emerged from Disaster-Related Claims
Key lessons learned involve improved preparedness- as mentioned above, continuity planning is essential, fleet data storage and recovery redundancies are necessary, and making sure strategic partners also have acceptable disaster plans in place can help mitigate the impact of losses and aid in recovery.
