High fuel prices remain hauliers main concern
Recent research conducted by the Freight Transport Association (FTA) has revealed that high fuel prices remain the key concern for hauliers.
Published in the FTA Manager’s Guide to Distribution Costs quarterly update, the research showed diesel prices had risen 12% over the year leading to 1 July 2011. The fuel price rises are part of an overall rise of 5.6% in the costs for articulated, drawbar and rigid vehicles. These also included a 7.3% rise in the costs of tyres and a 5% rise in overheads.
Infographic by Staveley Head
During the same period, there were no comparable hikes in haulage rates. In fact, over half of the FTA members who contributed to the research stated they had not increased their haulage rates since the beginning of 2011. However, overall domestic rates had risen 1.8% during the six months to 1 July on average, while international rates had risen 1.5 %.
Needless to say, hauliers are searching for effective ways to offset the rising fuel prices. Securing appropriate haulage insurance from a reputable broker like Staveley Head, is one area in which savings can be made, by lowering premiums and reducing overall insurance costs.
How can hauliers effectively reduce the costs of insuring their heavy goods vehicles? Having tracking devices fitted will often result in the insurance company offering discounts. Why? Because being able to locate the vehicle, even if the load has been stolen, means the insurance company will pay out less.
Hauliers should shop around and find competitively priced fleet insurance if they have more than four heavy goods vehicles. Hauliers can simply check with the best insurance providers how many vehicles constitute a fleet in their eyes, as it varies among insurers, and then ask for a quote.
Distinctive branding helps haulier companies get recognised. However, elaborate pictorial paint jobs can actually drive the cost of insuring the vehicle up, because of the additional design costs involved in replacing or repairing the heavy goods vehicle should it be stolen, involved in an accident or vandalised.
For the foreseeable future, fuel prices look certain to remain high and perhaps increase further. Reducing insurance costs could be a winning way for hauliers to offset the costs.
