If you can't take the fleet ...

... stay out of the market. Five years ago, fleet insurance boasted high rates. But, says Shona Cronin, the combination of market newcomers and existing insurers trying to increase market share, has forced rates down to an all-time low.

Although business capacity has remained the same, insurers have
become increasingly selective about which business they are prepared to
write. Graham Baker, business support underwriter for Cornhill, says: "We
have decided that while the market is in this condition, we do not want to
grow our fleet business." Previously, Cornhill had already decided that if
certain business continued to be unprofitable throughout 1998, then it
would be prepared to lose it, rather than incur further losses.


Bob Lord