Many executives will save an organizations money by not having auto insurance on the fleet of company vehicles?

Many executives will save an organizations money by not having auto insurance on the fleet of company vehicles?

Many executives will save an organizations money by not having auto insurance on the fleet of company vehicles, whereas, in their personal finances, they will carry insurance on their family car. Take something from your experience that illustrates the difference in attitude from the point of view for an individual to an organization. Explain why the organization attitude toward risk is different from the individual attitude.

Dan

The point of insurance is to spread out risk to mitigate a loss that would pose a substantial burden. For a corporation, an entire fleet of vehicles averages out the risk, whereas for the individual there is a great amount of uncertainty in driving only one or two cars. Also, corporations have a much different definition of what a loss that is a substantial burden- for the individual, a wreck that does 25,000 in damage would be hard to swallow, but any company with a fleet probables does millions per year in sales.For the record, I highly discourage a business from taking such a strategy, but don't feel like going into all the detail.

Ask

insurance

Popular Q&A

How to rent a car in Mexico and not pay a fortune for insurance?
It's true that US auto insurance is not valid in Mexico, and yes, you do have to pay for Mexican insurance. I've never done it, so I don't know the price range, but I'll bet if you Google "mexican auto insurance" you'll find lots of pages that may help you. If you belong to AAA or a similar...

What can you tell me about auto insurance deductibles?
Deductibles are the portion of the claim you are willing to pay. The higher the deductible, the less the insurance company has to pay, so they don’t need as much premium.Choose the highest deductible you are comfortable with. Some people don’t want to worry about having to pay anything if...

How are illegal immigrants getting free health care?
First off, illegal aliens are not immigrants. Immigrants follow laws. They get free health care by not paying bills when going to emergency rooms, giving false names and addresses etc... It also cost American taxpayers over $6000.00 per birth for each anchor baby born. That is if there are...

Why Defensive Driving Course Certificate can't be used to get an auto insurance discount in Texas?
You can't use it to get a discount if you used it to dismiss a ticket. And maybe your company just doesn't offer that discount. Not all companies do, so shop around. Texans only need to take the class if they are ordered by a judge to not have a ticket go on their record.I also find it strange...

What auto insurance company has policy numbers like this.?
one thing a cop told me is you have to call a cop because its a felony if you drive off and they can come after you so its best to staySource(s):kaydid