Commercial Fleet Insurance
Sutherland Insurance is a fifth-generation independent brokerage in Guelph, Ontario that places commercial fleet insurance across the province. A fleet policy insures a group of vehicles under one contract and rates them primarily on the fleet's own loss experience, with individual driver records remaining a factor. Sutherland Insurance places commercial business across the markets it holds contracts with.
Key takeaways
- Ontario law requires third-party liability of at least $200,000 on every registered vehicle under the Compulsory Automobile Insurance Act, and commercial operators commonly carry far higher limits by contract.
- Ontario insurers commonly define a fleet as five or more vehicles under common ownership, and the threshold differs from one insurer to the next.
- A fleet policy is experience-rated on the fleet's own claims history, so one operation's record moves every vehicle on the policy.
- Ontario requires a Commercial Vehicle Operator's Registration certificate for trucks over 4,500 kilograms and for buses seating ten or more passengers.
- Who it is for
- Ontario businesses operating a group of commercial vehicles under common ownership
- Legally required in Ontario
- Yes, Compulsory Automobile Insurance Act, on every registered vehicle
- Statutory minimum third-party liability
- $200,000; commercial operators commonly carry higher limits
- Common fleet threshold
- Five or more vehicles under common ownership, varying by insurer
- Rating basis
- Primarily the fleet's own loss experience, with individual driver records remaining a factor
- Ontario operator registration
- CVOR certificate for trucks over 4,500 kg and buses seating ten or more
What is commercial fleet insurance?
Commercial fleet insurance is an automobile policy covering a group of vehicles owned by one business under a single contract with a common renewal date. It carries the mandatory Ontario auto coverages on every unit and adds the commercial extensions an operation needs. Its defining feature is that it is rated primarily on the fleet's own loss experience, with individual driver records remaining a factor.
That rating basis is the practical difference between a fleet policy and a set of individual commercial auto policies. On individual policies, each vehicle and each driver is rated separately, and a single conviction moves one unit. On a fleet policy, the whole operation is rated together on its own claims record, which makes driver screening, telematics and maintenance discipline directly measurable in the premium.
What can an Ontario commercial fleet insurance policy cover?
What a policy can cover
- Third-party liability, statutory accident benefits, direct compensation property damage and uninsured automobile coverage on every unit
- Collision, comprehensive and specified perils coverage on owned and leased vehicles, at the deductibles selected
- Legal liability for damage to non-owned automobiles, including rented and borrowed replacement units
- Non-owned automobile liability arising when employees use their own vehicles on company business
- Cargo coverage on goods carried, including goods of others where the operation is a for-hire carrier
- Optional extensions including rented vehicle coverage, driver training endorsements, and a fleet telematics programme
Commonly excluded under standard Ontario commercial fleet insurance wordings
- Injury to the operation's own drivers, which the Workplace Safety and Insurance Board system addresses
- Wear, tear, mechanical and electrical breakdown, and damage from freezing or overheating
- Loss occurring while a vehicle is operated by a driver excluded from the policy or without a valid licence
- Use outside the described operation, including for-hire carriage on a policy rated for private trucking
- Cargo carried under a bill of lading, unless cargo coverage is added to the policy
- Vehicles not scheduled on the policy at the time of the loss, beyond any newly acquired vehicle provision
Exclusions vary by insurer and by policy form; the issued policy governs.
How much does commercial fleet insurance cost in Ontario?
The factors that move an Ontario commercial fleet insurance premium, in approximate order of influence, and why insurers look at each one.
| Rating factor | Why |
|---|---|
| The fleet's own claims experience | Fleet rating is built directly on the operation's own loss ratio. |
| Radius of operation and territory driven | Long-haul and cross-border operations carry higher severity than local delivery. |
| Vehicle class and gross weight | Heavy commercial vehicles produce the largest liability claims. |
| Number of units on the policy | Each vehicle adds an exposure unit to the rating base. |
| Liability limit selected | Ontario's statutory minimum is $200,000, and higher limits raise exposure. |
| Driver screening and CVOR record | Driver history is the strongest predictor of fleet loss frequency. |
| Telematics and in-cab cameras | Monitored driving behaviour and video evidence both reduce claim cost. |
| Deductibles selected on physical damage | Higher deductibles transfer more of each loss to the operation. |
How many vehicles are required for a fleet policy in Ontario?
Ontario insurers commonly set the threshold at five or more vehicles under common ownership, and it differs from one insurer to the next. Ontario law separately requires third-party liability of at least $200,000 on every registered vehicle under the Compulsory Automobile Insurance Act, whether those vehicles sit on a fleet policy or on individual policies.
Whether a fleet policy or individual commercial policies produce the better position depends on circumstances that vary from one operation to the next:
- The number of power units and trailers under common ownership, against each insurer's fleet threshold.
- The operation's own loss experience over the past three to five years.
- The radius driven, and whether units cross into the United States.
- The gross weight of the units, and whether a CVOR certificate is required.
- What liability limit shipper contracts, lease agreements or municipal work specifies.
- Whether drivers are employees, owner-operators or a mix of both.
What situations does commercial fleet insurance commonly address in Ontario?
Fleet policies are arranged for a wide range of operating circumstances across Ontario, and the coverage available differs in each. The situations below are common among Sutherland Insurance clients in Guelph and across the province, and each one changes which markets will write the risk.
- A Guelph trades business running eight service vans on a single renewal date.
- A distribution operation whose straight trucks deliver across southwestern Ontario daily.
- A carrier adding cross-border runs, which changes both the limit required and the markets available.
- An operation adding in-cab cameras and telematics ahead of renewal to demonstrate improved driving behaviour.
- A business whose employees use personal vehicles for deliveries, creating a non-owned automobile exposure.
- A fleet that has taken two at-fault losses in one year and needs the whole programme remarketed.
How Do I Get Business Insurance Through Sutherland Insurance?
Getting insurance through Sutherland Insurance is simple. You can request a quote online or call 519-822-0160 to speak with a licensed broker. We take the time to understand your business, identify your exposures, and find coverage options that fit your needs.
Our Process:
- Request a Quote. Complete an online quote request or call our office to speak with a licensed insurance broker.
- Tell Us About Your Business. Your broker will gather information about your operations, property, revenues, employees, vehicles, contracts, and any other areas that may require coverage.
- Review Your Risks and Coverage Needs. We assess your business exposures and insurance requirements to determine the appropriate coverage limits and options.
- Market Your Account. Sutherland Insurance compares the available commercial markets to help find the best combination of coverage, service, and price.
- Present Your Options. Your broker will review the available quotes and provide recommendations based on your specific needs and goals.
- Bind Coverage and Provide Documentation. Once you select coverage, we arrange the policy and provide any required documentation, including certificates of insurance for clients, landlords, lenders, or other third parties.
What makes Sutherland Insurance different from a direct insurer?
When a claim happens, Sutherland Insurance acts for the client with the insurer, and an in-house claims representative is available on any claim. Sutherland Insurance is an independent brokerage and compares the markets it holds contracts with rather than selling one company’s product. A person answers the phone at Sutherland Insurance, 519-822-0160, Monday to Friday, 8:30 a.m. to 5:00 p.m.
Frequently asked questions
What is a CVOR certificate in Ontario?
A Commercial Vehicle Operator's Registration certificate is issued by Ontario's Ministry of Transportation and is required to operate trucks with a weight over 4,500 kilograms and buses seating ten or more passengers. The associated CVOR abstract records collisions, convictions and inspections, and commercial insurers use it directly in underwriting a fleet.
Does a fleet policy cover employees driving their own cars?
A fleet policy covers the vehicles scheduled on it. Where employees use personal vehicles on company business, the exposure to the business is covered by non-owned automobile liability, added to the fleet or commercial general liability policy. That coverage responds to the business's liability and does not repair the employee's own vehicle.
Does commercial fleet insurance cover cargo?
Cargo carried is not covered by the automobile physical damage sections of a fleet policy. Goods being transported are insured under a separate cargo coverage, written on owned goods or on goods of others where the operation is a for-hire carrier. Limits, perils and conditions vary by insurer, and the issued policy governs.
How does one at-fault accident affect an Ontario fleet policy?
Fleet policies are experience-rated on the operation's own loss record, so a single large at-fault loss moves the rate applied to every unit on the policy at renewal rather than to one vehicle. That is the mechanical difference from individually rated commercial auto policies, where a loss attaches to the specific unit and driver.
How many markets does Sutherland Insurance place fleet business across?
Sutherland Insurance places commercial business, including commercial automobile and fleet, across the markets it holds contracts with together with multiple managing general agents and affiliates across Canada. It is an independent brokerage licensed by the Registered Insurance Brokers of Ontario. It is not tied to any single insurer.
How are vehicles added to or removed from a fleet policy mid-term?
A fleet changes during the policy term, so units are added and removed as the operation buys and sells them rather than only at renewal. The change is reported to the insurer and the premium is adjusted from the date the unit goes on or comes off the road. Some fleet programmes settle those adjustments at renewal instead, and the policy wording sets which applies.
Get your commercial fleet insurance quote
A licensed Sutherland Insurance broker compares the available markets on every quote request.
Get your commercial fleet insurance quote Call 519-822-0160
A real person answers, Monday to Friday, 8:30 a.m. to 5:00 p.m.