Fleet

In commercial auto, a fleet is a group of vehicles a business owns or leases and insures together. Carriers set the threshold. The Commercial Automobile Insurance Procedures/Plan (CAR) manual used for residual-market placement treats five or more self-propelled autos as a fleet, and many insurers draw the line there, though some start at three or ten.

Fleet status changes how the account is underwritten. Rather than pricing each vehicle off its class and garaging territory alone, the underwriter weighs the group's loss history, often through experience and schedule rating, plus driver selection and MVR standards, telematics and a written safety program. One policy, one renewal date and a single schedule of autos simplify administration, and a combined single limit is common.

The usual failure is a stale schedule. Under the ISO business auto form (CA 00 01), if a coverage is written on symbol 7, specifically described autos, a newly acquired vehicle is covered only if it replaces a covered one or you tell the insurer within 30 days. Report additions and sales as they happen, not at renewal. Fleet buyers should also look at hired and non-owned auto for rented and employee-owned cars. The guide on fleet insurance: how fleets are defined, rated and insured explains rating, and the building a fleet safety program that insurers notice guide covers what underwriters like to see.