Cheap Van Insurance Undermined by Theft Figures

The reality of cheap van insurance being more readilyoperating on Britain's roads - recommendations for
available took a blow when recent research revealedgreater care and safety are being urged.
that 17% of small van operating businesses had putPerhaps one possible solution may result from
in claims for vehicle theft, with over half of thesedevelopments in new technology. Recently the Ford
claims being made within the latest 24 months.Motor Company in the USA, teaming up with the
The research further revealed that 42% of insuranceindustrial power manufacturer DeWalt, showed off its
claimants reported the theft of the insured van, withhigh security Radio Frequency Identification
a similar proportion reporting that the contents ofTechnology (RFID) at the 2008 Chicago Auto Show.
their van had been stolen.The technology, which is operated by a small chip
If verifiable the figures indicate a possible cost to theand an antenna embedded into the vehicles, is able to
economy of £1 billion.track any construction tools and materials carried in
The problem of van and transit van theft alsothe van, so that they can be monitored at all times.
appears to vary from region to region, whichFord has also been using RFID in its manufacturing
accounts for the differing costs in van insuranceplans and is working on patenting the technology.
premiums dependent on the area in which it isAlthough primarily designed as an inventory device to
purchased.keep track of tools and materials, the system
The report stated that 31% of commercialobviously has a use a deterrent against van and van
businesses in the West Midlands region had put incontents theft.
insurance claims, whereas in the London area theThe company intend to introduce RFID during the
figure was down to only 25%.2009 model years as optional for F-series pick ups
The survey also indicated that the constructionand E-series vans, and also for the new line of
industry was the hardest hit, with 27% of theTransit Connect miniature cargo delivery vans.
insured van policy holders making claims.In the meantime, it is evident that if theft continues
The report also indicates that 16% of smallon this scale, there is a real likelihood that premiums
commercial business van drivers left tools andmay rise considerably.
equipment in vans overnight, and 21% apparently didCommercial and business van drivers are therefore
not ensure the contents of their vans at all.well advised to seek the advice and experience of
With statistics showing continued growth in the vanestablished and reputable insurers when considering or
market sector - 322,000 vans are now effectivelytaking out new van and transit van insurance policies.