How GPS Tracking Lowers Insurance Costs

This article was published on: 07/13/20 by the Track Your Truck Team

Insurance is essential for companies with mobile employees. While insurance can be a big expense, you still need coverage to protect your business and your workers in the case of an accident or claim. The good news is you can often lower insurance costs with GPS fleet tracking. Thanks to advancements in technology, it’s now easier to do this than ever before.

Over the last several years, electronic fleet tracking has become a necessity for businesses rather than a luxury. It’s efficient, it’s safe and it’s easy to use. Best of all, insurance companies love it. You may even be able to get a GPS fleet tracking insurance discount if you invest in a new tracking system, and here’s why.

1. Safer Driving Behaviors

One of the reasons many businesses decide to use GPS fleet tracking is that it encourages safer driving behaviors from employees. Live tracking software often allows you to monitor: 

  • Vehicle location
  • Hours and mileage
  • Speed
  • Braking 
  • Acceleration
  • Idle time

As a result, real-time tracking software is the perfect opportunity to offer incentives for safe driving. Your drivers will be more likely to perform at their best if they know they’re being monitored, and insurance companies will be more likely to lower your premiums. Safer driving means less likelihood of claims or accidents, which insurance providers appreciate.

2. Reduced Theft Risks

Did you know that some auto insurance companies offer specific discounts for vehicles that have anti-theft devices? 

It’s hardly a secret that cars and trucks are expensive. Imagine how much money you could lose if someone stole and escaped with one of your precious company assets. Commercial vehicles can be worth thousands of dollars, and that’s before you even consider their potential contents. The last thing your insurance provider wants is to have to pay to replace a stolen or missing vehicle. 

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With GPS fleet tracking, you can monitor a vehicle’s location 24/7 and reach out to law enforcement immediately if anything suspicious occurs. This rapid reporting increases the chances that you’ll recover the asset quickly, and it also increases the chances of lowering your premiums. Having this extra layer of security will benefit both you and the insurance company that serves your business.

3. Improved Maintenance Practices

Few things wear down a vehicle faster than poor maintenance. Letting maintenance and inspections slide can lead to all kinds of operational issues, or even cause impromptu failures and accidents. This negligence creates a big risk for both you and insurance companies.

Fleet management software helps you streamline maintenance and repairs by allowing you to create alerts, monitor vehicle status, and more. This awareness system decreases your business’s risk of accidents and breakdowns, potentially making you more eligible for lower costs.

Cut Costs With Track Your Truck

At Track Your Truck, we use the latest technology to bring you cost-effective tracking solutions. To learn more about how fleet tracking helps reduce insurance costs, reach out online for a quick quote.