Self-Insured Fleet Programs

Mr. Underdown has experience as a risk manager dealing with large fleet programs varying from municipal fleets of police, fire, and public works to a nationwide fleet of ambulances. As a rule, such large fleets are self-insured for the first party vehicle physical damage, although in some instances it is possible and advisable to provide catastrophic coverage for groups of vehicles either parked or stored together. This can sometimes be done under a property policy, as it is not collision coverage. When an ambulance or fire truck rolls over, they are usually a total loss and typically have a significant replacement cost. To self-insure a vehicle fleet liability program, it may be necessary to use a fronting company to comply with the financial responsibility laws rather than go to the expense of qualifying as a self-insured.