How video telematics can unlock insurance savings for Canadian fleets

Fleet management · Jan 14, 2025

Fleet insurance costs are

due to inflation, severe claims and other economic pressures. Many insurers are raising premiums or limiting coverage options in response to increased risks. A report from the Canadian Federation of Independent Business (CFIB) states that

half of small businesses have experienced an increase of 10% or more in their insurance premiums over the last 12 months

. For fleet managers, showcasing a strong commitment to safety and risk management can help them stand out.

Video telematics, which provides near real-time insights into driver behaviour and vehicle performance, enables fleets to demonstrate proactive safety measures. By leveraging this data, fleet managers can work with insurers to help reduce risks and potentially secure tailored discounts or premium reductions.

How video telematics can help reduce insurance risk

Video telematics combines data from GPS tracking, AI-powered dash cameras and vehicle sensors to provide insights into driving habits, road conditions and fleet performance. This data helps insurers assess risk more accurately and gives fleet managers the tools to address risky behaviours like speeding or distracted driving in near real time, to help reduce the likelihood of accidents. It’s also possible for fleet managers to use video footage as evidence to resolve liability disputes, which can help to protect drivers from false claims. This proactive approach to safety management is intended to improve fleet efficiency while helping reduce insurance claims and processing times.

The impact of video telematics on insurance rates

Insurance companies in Canada often reward drivers with good habits. The use of telematics solutions

can be a way to reduce premiums and obtain discounts

Beyond immediate discounts, telematics data help enable insurers to adjust premiums based on ongoing driver behaviour. Fleets demonstrating responsible driving behaviours are likely to enjoy more favorable renewal terms, reinforcing the partnership and overall benefits of investing in telematics. Some insurers may even be willing to customize coverage packages to meet the unique needs of each fleet, such as offering different insurance packages for companies specializing in construction, delivery or hazardous materials transportation.

If you need help building an evidence-based case to earn buy-in from leadership and drivers to implement video-based solutions for your fleet, check out

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Additional potential benefits of video telematics beyond insurance savings

The advantages of video telematics extend beyond insurance savings, supporting fleet managers in several areas:

Potential Reduction of liability against false claims: Telematics data helps protect fleets from liability by accurately documenting incidents, helping to make it easier to disprove fraudulent claims. For Canadian fleet operators, where liability issues can be costly and complex, telematics data helps offer clarity and security.
Monitoring driver behaviour: Video telematics enables near real-time monitoring of driving habits, including distracted driving, sudden acceleration and hard braking. The ability to alert drivers in the moment can help to allow for immediate behaviour correction, contributing to a safer fleet.
Improving maintenance and efficiency: Regular maintenance is key to preventing breakdowns and extending vehicle lifespan. With telematics, fleet managers can track vehicle health and maintenance schedules, to help reduce costly repairs. Additionally, helping to optimize routes and monitoring fuel usage supports cost savings and environmental sustainability.
Attracting skilled drivers: Drivers would be more likely to stay with a company that values their safety. By investing in telematics solutions that prioritize driver welfare, companies could send a strong message about their commitment to a safe working environment, aiming to improve employee retention.
Environmental impact: Fuel monitoring and route optimization features not only support cost-saving initiatives but also help fleets reduce emissions. Insurers would likely increase recognition of environmentally-friendly practices and may offer incentives to fleets that adopt green initiatives.

How video telematics can help foster safer driving habits

Video telematics, such as AI-powered dash cameras, offer intelligent, data-driven solutions to help fleets manage driver and vehicle safety concerns and expenses. Video telematics empowers managers and drivers with high-quality video data, captured in near-real time and available for live-streaming, help driver coaching, accident reconstruction and potentially driver exoneration. Data captured by AI-powered dash cameras can help fleets reduce insurance risks, lower premiums and demonstrate a commitment to driver and public safety.

In a market where insurance costs continue to rise, video telematics provides fleet managers with a powerful tool to help them better manage both risks and expenses. By offering near real-time data and actionable insights, telematics helps operators demonstrate their commitment to safety, ultimately helping to translate to lower insurance premiums and greater operational efficiency. Investing in video telematics isn’t just a way to help lower insurance costs; it’s a commitment towards safer roads, greener operations and a competitive edge in fleet management.

Connect with a TELUS specialist

to learn more about how

TELUS Business Fleet Management solutions

and

Fleet Complete

can help you build confidence and accelerate driver performance with AI-powered dash cams. You may qualify for special offers and

Owner Perks

, such as exclusive fuel savings with PetroCanada’s Superpass.*

*Terms and conditions apply. Visit Owner Perks for details.

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