If your business depends on multiple vehicles to operate, managing them comes with unique responsibilities. From driver safety to vehicle maintenance, the risks are real, and so are the costs when something goes wrong. That is where fleet insurance comes in.
In Ontario, fleet insurance provides tailored protection for businesses that operate several vehicles, usually minimum 5, under a single policy. Instead of juggling individual auto policies, you can cover your entire fleet with one contract, one renewal date, and often, a better price.
In this article, we’ll explain what fleet insurance is, how it works under Ontario standards, and why it may be the most cost-effective way to protect your business. We’ll also highlight how to get competitive fleet insurance quotes and how working with a broker like Levitt ensures you get the right coverage.
What is Fleet Insurance?
Fleet insurance is a type of commercial insurance for fleets of vehicles used for business purposes. It consolidates multiple vehicles under one policy, which makes managing coverage simpler and usually more affordable.
Fleet policies are available for:
- Cars and SUVs used by sales teams or staff
- Service vehicles such as plumbing, electrical, or landscaping trucks
- Delivery vans and transport trucks
- Specialty vehicles like refrigerated units or trailers
The definition of a fleet can vary between insurers, but in Ontario, most companies start offering fleet insurance when a business owns or leases at least five vehicles.
How Does Fleet Insurance Work in Ontario?
Fleet insurance in Ontario operates much like individual auto insurance but with important differences designed for businesses.
Key features include:
- Single policy, multiple vehicles: All covered under one contract, simplifying administration.
- Unified renewal date: No need to track multiple policy expirations.
- Centralized claims management: Claims for all vehicles are handled under one policy.
- Pricing flexibility: Insurers often base premiums on the overall driving record of the fleet, rather than each driver individually.
Fleet insurance must comply with Ontario’s Compulsory Automobile Insurance Act, which means every vehicle must carry a minimum of:
- Third-party liability coverage (most businesses choose between $1–2 million)
- Accident benefits coverage
- Direct compensation property damage coverage
- Uninsured automobile coverage
Additional coverage options can be added based on your operations.
What Does Fleet Insurance Cover?
A standard fleet insurance policy can be customized to meet your needs. Coverage often includes:
- Third-party liability – protects against claims if your vehicles cause injury or property damage.
- Collision and comprehensive coverage – for repairs or replacement after accidents, theft, or weather events.
- Accident benefits – provides medical and income support for injured drivers or passengers.
- Non-owned automobile coverage – for employees driving rented or borrowed vehicles on company business.
Why Choose Fleet Insurance Over Individual Policies?
Managing individual auto insurance policies can be complicated and expensive. Fleet insurance solves this with:
- Cost savings – Insurers often offer lower per-vehicle rates because risks are spread across the fleet.
- Administrative efficiency – One policy, one renewal date, one point of contact.
- Flexibility – Easy to add or remove vehicles as your business changes.
- Risk management support – Many insurers provide tools like telematics to monitor driver safety and reduce accidents.
How Fleet Insurance Works in Practice
Consider a delivery company in Mississauga operating 12 vans. Insuring each vehicle separately means 12 policies, 12 renewal dates, and likely higher premiums. With a fleet policy, the business has:
- One contract covering all vehicles
- Streamlined claims handling
- Lower overall cost thanks to the group rating structure
When an accident occurs, the claim is processed under the fleet policy, making it faster and less complicated for the business.
How Fleet Insurance Quotes Are Calculated
Just like individual auto insurance, premiums for fleet insurance in Ontario are based on risk factors. Insurers look at:
- Number and type of vehicles in the fleet
- Annual mileage and typical routes (urban vs rural, Ontario vs cross-border)
- Claims history for the fleet as a whole
- Driver training and safety programs in place
- Security measures such as GPS tracking or locked storage facilities
The cleaner the record and the stronger the risk management practices, the better your fleet insurance quotes will be.
Why Work With a Broker for Fleet Insurance in Ontario
You could go directly to an insurer, but you would only see their products. As a broker, Levitt:
- Compares fleet insurance quotes from multiple insurers in Ontario
- Finds competitive rates without cutting corners on coverage
- Helps you identify discounts, such as bundling fleet insurance with property or liability policies
- Provides ongoing support for claims and policy updates
Working with a broker saves time, reduces confusion, and ensures your business gets coverage designed for its operations, not a one-size-fits-all solution.
Fleet insurance in Ontario is a cost-effective, streamlined way to protect your business vehicles, drivers, and bottom line. By consolidating multiple vehicles under one policy, you simplify management, reduce costs, and get access to coverage tailored to your needs.
At Levitt, we help Ontario businesses secure comprehensive commercial insurance for fleets by comparing multiple insurers and finding the right balance of protection and price.
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