While it may not be the most high-profile aspect of fleet management, keeping fleet operations compliant by following all rules and regulations is one of the most important aspects of any fleet operation.
Compliance is often driven by local and federal regulations, as well as individual company policies. But it also has benefits for fleets by increasing safety, lowering insurance fees, lessening the cost for replacement vehicles, reducing workers’ compensation fees and helping to avoid potential legal expenses.
Safety
Staying up-to-date on compliance requires fleets to regularly evaluate vehicles, drivers, and operational practices.
Performing regular inspections on vehicles to comply with regulations ensures the vehicles are properly maintained, are operating as expected (and needed) and safety devices are functioning.
As part of a compliance review, operations need to perform regular checks on drivers to ensure they hold the appropriate certifications and licenses. This assures operations that all drivers have the necessary paperwork to operate vehicles. It also presents an opportunity to review drivers’ performances and accident and incident reports. This can increase the safety of the fleet by ensuring unsafe actions and behaviors are addressed.
All operational practices should also be reviewed on a regular basis to ensure compliance measures are set. This includes reviewing documents, rules and regulations as established by the local and federal agencies, as well as the company. It also provides operations a chance to review procedures and guidelines the operation is following to make sure they are being met and are up-to-date. This can include all safety practices and labor hours and schedules.
Photos by Pixabay.com
Insurance
Most insurance policies provide requirements that must be met in order to obtain coverage. In most cases, this will require being compliant with local and federal rules and regulations, as well as other items detailed by the insurance agency. Failing to follow these stipulations could put a fleet at-risk of not getting coverage – which is necessary to put vehicles on the road – or could result in higher fees. Proving your fleet is safe by showing how the operation stays compliant and its history of accident and incident reports can help operations save money on their insurance policies.
Workers’ Compensation
Fleets need to comply with state and federal workplace laws to ensure their staff members are safe while on the job. Failing to meet these regulations can result in an unsafe workplace, which could put workers at-risk. Fleet operations should hold workers’ compensation insurance in case of an accident. Keeping the operation safe and in compliance with workplace standards can help keep the costs and claims down.
Photo Courtesy of Pixabay.com
Legal Expenses
If a fleet operation fails to remain compliant, it is putting itself at-risk legally and financially. If a fleet vehicle is involved in an accident and it’s found the vehicle wasn’t compliant on a safety or maintenance issue, the fleet operation could be at-fault. The same goes for drivers. If a driver is operating a vehicle without the proper training, license or certification, the fleet can be responsible if that driver is involved in an accident or incident. Operations can also face legal consequences if an employer is injured on the job due to safety regulations not being followed or enforced.
To learn how RTA Fleet Management Software can help your fleet operation track information to stay compliant, contact us today to schedule a free demo.