Third-party logistics can cut insurance costs

Raise your fleet efficiency by investing in third-party logistics services, and you may find you need fewer vehicles on the roads - cutting your total motor insurance outlay as a result.

With many delivery vehicles making return journeys back to base empty, and many more running with far less than a 100% load, there is a significant amount of cargo capacity going unused on a daily basis.

By loading vehicles to the fullest possible extent, and planning their routes so as to allow goods to be carried in both directions of their route, you can raise your fleet efficiency and cut costs including fuel and motor insurance - and third-party logistics is a one-stop way to achieve those aims.

The Association of British Insurers is already addressing the price of motor insurance in 2012, citing referral fees and whiplash claims as driving forces behind higher premiums.

Nick Starling, director of general insurance at the ABI, says: "Our customers are fed up of getting text messages, fed up of the compensation culture and have had enough of paying higher car insurance premiums to line the pockets of ambulance-chasing lawyers and claims management companies."

With a focus on fleet efficiency, however, those with multiple vehicles to insure can keep costs down by making sure they are not running more sets of wheels than is needed in order to get the job done.

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