Running a party bus company can be a lucrative and exciting venture.
However, this kind of operation involves unique challenges and risks that make having the right insurance coverage crucial. But it also needs to be affordable.
Reducing commercial insurance rates for a party bus company involves a proactive approach to safety, risk management, and operational efficiency.
Here’s a comprehensive guide to help reduce your insurance premiums.
Implement a strong Proactive Safety program
To keep your insurance premiums low, your goal is to show underwriters you are doing everything in your power to reduce risk in your fleet and to show them that your safety story doesn’t suck.
As we preach at CNS with our proactive safety programs, overall company culture that prioritizes safety is key to development and maintenance of safe drivers.
Carriers that prioritize safety as an essential part of their culture tend to be those with more robust onboarding, finishing, and continuous education programs.
These training opportunities, and daily driver exposure to a culture of safety, help to impress safe practices upon drivers, aiding in reducing their accident frequency and severity.
Here are some tips to implement a strong proactive safety program
- Driver Training and Certification: Ensure that all drivers receive rigorous training, including defensive driving courses. Consider certifications specific to commercial driving and passenger safety.
- Regular Vehicle Maintenance: Establish a routine maintenance schedule for your fleet to ensure all buses are in top condition. This reduces the risk of breakdowns and accidents, which can lower insurance rates. Underwriters want to see this documented as this also helps with any legal issues if a crash ever happens.
- Safety Equipment: Equip buses with advanced safety features like GPS tracking, collision avoidance systems, and security cameras. These technologies not only enhance safety but can also qualify you for discounts.
Your bus can help or hurt your safety risk
As a fleet manager, you need to choose vehicles wisely for your party bus.
Ideally, newer models and those with advanced safety features might qualify for lower insurance rates. So, weigh the risk and cost reward if you are starting or growing your party bus business.
Then, regularly review and update your vehicle to meet the latest safety standards.
Underwriters know that an accident will eventually happen.
When they do, you don’t want to have simple vehicle issues be the cause!
So, do not forget the importance of pre- and post-trip inspections.
Some of the easiest things to catch during a pre-trip inspection are also the most common violations or maintenance issues. For example, low tread depth and damaged sidewalls are easily visible and usually do not wear out on one trip.
According to the DOT, in 2015 63% of roadside inspections were triggered by a commercial motor vehicle being driven with an observable defect, including:
- inoperable lights
- deflated tires, and
- fluid leaks
All the above can be caught without sliding under the bus.
Drivers just need to be educated on what they are looking for and what the DOT is looking for when they are going to write up a violation.
Review, adjust, and shop your insurance coverage
An experienced insurance broker can help you navigate the market, identify potential savings, and negotiate better terms with insurers.
Work with your insurance broker to tailor your coverage to fit your specific needs so you can avoid paying for coverage you don’t need.
This also includes shopping around for the best insurance providers. Which is where we can help!
At CNS Insurance, we are quoting in-state party bus companies and helping them find competitive rates!
Want proof? Let us quote your party bus company!
If you have any questions or concerns, please call us at 800.724.5523 or email info@cnsinsures.com or fill out the form below.
Insurance coverage a In-State Party Bus business needs
While it is difficult to find a company that will quote a party bus operation, CNS Insurance will find the right coverage for you.
Here are the coverages your party bus company needs to consider:
Commercial auto liability:
Auto Liability, also known as Bodily Injury Physical Damage (BIPD), will protect you against liability risks that you will face if you, or an employee of yours, is involved in an accident and found to be at fault.
Your liability insurance will cover bodily injury claims, providing financial support for the medical expenses of the injured party.
In addition, your liability coverage will also include property damage incurred in the accident.
Third party bodily injury & property damage:
If you are involved in an accident, this part of the policy covers the medical expenses if someone else is injured. If they pass away in an accident, this is the part of your policy that covers their funeral expenses. It also pays to repair the physical damage to their vehicle.
Personal Injury Protection (PIP):
PIP will pay for medical expenses and lost wages for you (the insured) and your passengers if you are injured in an accident. PIP pays whether you are at fault.
Comprehensive coverage:
Comprehensive covers repairs and/or replacement of your vehicle if it is damaged by severe weather, vandalism, or theft.
Physical Damage or Collision coverage:
Physical damage insurance coverage is not required on your truck unless your vehicle is leased. If it is, then you are most likely required to have Physical Damage insurance. On the other hand, if your vehicle is fully paid for, Physical Damage coverage is optional.
Uninsured and underinsured motorist coverage:
Uninsured Motorist Insurance Coverage is not required, but it can be very helpful in several instances including if you get into an accident and the person in the other vehicle does not have Liability Insurance at all or they do not have enough coverage to pay for all of your damages.
Umbrella/Excess Liability Coverage:
Umbrella insurance is a supplemental policy that provides additional liability coverage beyond the limits of your standard insurance policies. It can be useful in any situation where you may face lawsuits or financial losses due to damage caused by your business activities.
Workers Compensation Insurance:
If you own multiple buses or hire drivers, you’ll need to get workers’ compensation insurance. Workers’ Compensation insurance is required by law, in almost every state, that are designed to ensure payment by employers for some part of the cost of injuries, or in some cases, of occupational diseases, received by employees in the course of their work.
Before we can get you an estimate, we are going to need some information. Fill out a quick quote below to get started.
If you have any questions or concerns, please call us at 800.724.5523 or email info@cnsinsures.com.
