A Crash Costs Your Fleet More Than You Think. Here's How.

It’s disheartening how quickly an incident's costs can pile up. If you’re a smaller fleet, it’s downright draining.?

The costs of repairs are usually what come to mind, but there are some less obvious expenses that sneak up and compound over time.?

Damages?

We’ll start with the immediate costs:

Property and vehicle damage costs tens of thousands of dollars–even more so, if the vehicle or damage is beyond fixing and needs to be replaced.

Insurance

Few things in life are guaranteed, but taxes and higher insurance premiums after an accident can always be counted on.

Even if you’re not at fault, expect a rate-raise!

Legal Fees?

Insurance?should?cover legal expenses in the end (if it’s determined you’re not at fault), but there are upfront fees that are more immediate.?

Tack on what you’ll have to pay in damages if it’s determined that you’re at fault, and the total costs are extensive.?

Bad Publicity?

Though it’s tough to put an exact number to this, the effects are enduring.?

With the pervasiveness of social media and news outlets these days, negative news travels fast and circulates for a while. Your reputation’s damage will easily result in the loss of future clients, as the internet does not forget.

Downtime?

Monetary loss is just the start; crashes and everything that follow take up an immense amount of time–even more so if you’re a smaller fleet with less staff.

Affected vehicles and drivers go out of service, new drivers have to be screened and hired, and more effort goes into paperwork and admin duties, all of which hurt productivity.

In The End…

Smaller and medium-sized fleets have more to lose, especially since accident costs increase as the severity of the crash goes up. Injuries and vehicle replacement costs range in the hundreds of thousands, while fatal accidents range in the millions.?

Their best chance at survival is?prevention. Though there’s a premium to pay for measures like Mobile DVRs and telematics, those costs will surely be recouped as drivers receive better coaching, accident rates lessen, and accident investigation gets more thorough.