How to Reduce Loss Ratio

Discover how to effectively reduce your fleet's loss ratio and costs by promptly reporting incidents, accurately capturing third-party details, and proactively managing driver behaviours.

As a fleet manager, your aim is to minimise your fleet's loss ratio—the percentage of insurance premium that your fleet pays out in claims. Lowering this ratio is key to reducing operational costs. Here, we detail key practices that help achieve this goal, focusing exclusively on strategies that directly impact your fleet's loss ratio.


Prompt incident reporting

Timeliness is critical in incident management. The quicker an incident is reported, the sooner it can be resolved, minimising the cost and impact of the incident; reporting within 24 hours can save up to 40% of the claim cost. We encourage the use of digital claims reporting to ensure incidents are reported promptly and accurately, which can in turn, reduce claims costs.


Essential accuracy in capturing third party details

It is essential to capture accurate details when incidents involve third parties. Our tools enable contact with the third party within an hour of an incident, crucial for managing claim costs effectively. Utilise our Driver Checklist to ensure your drivers collect necessary information promptly.


Harness safety insights for proactive risk management

The Flock Portal offers critical insights into driver behaviour, highlighting areas like speed exceedances that need to be addressed. Target drivers with poor safety records for regular coaching based on this data. This proactive approach not only fosters safer driving habits but also decreases the likelihood of incidents, thereby improving your fleet's loss ratio.


For further details on how loss ratio impacts your rebate position visit this page, or if you need support, head to the live chat function in the Flock Portal.