A Smarter Way to Structure Fleet Insurance
Right now, the fleet insurance market is softening. Premiums are easing and fleets are seeing more options on the table than they did just a couple of years ago.
At first glance, that might make long-term agreements feel counter-intuitive. When the market is soft, why commit?
But experienced fleet operators know market cycles don’t stand still. What looks competitive today can quickly tighten tomorrow, and when that happens, businesses that rely on annual remarketing often find themselves back on the pricing rollercoaster.
We believe the conversation shouldn’t just be about what insurance costs this year. It should be about what it costs over time, and how much certainty you have along the way.
In this piece, we talk about our premium protection plan, T20, what it is, how it works, and why more fleet operators are choosing long-term premium protection as part of a smarter risk strategy.
What Is T20?
T20 is DCL’s three‑year premium stability plan. It locks in a structured pricing model with the potential for annual premium reductions of up to 20%, depending on fleet performance.
The model spans three consecutive annual insurance contracts under one legally binding agreement, giving clients a consistent, performance‑linked framework they can rely on.
How the Three‑Year Structure Works
T20 sets out a pre‑agreed adjustment scale for years two and three, all linked to the fleet’s loss ratio. That means:
- If your performance improves, your premium reduces - potentially by as much as 20% each year.
- If you experience larger losses, increases are capped and clearly defined from the start.
In other words, it’s not about guessing where the market will go next. Rather than chasing the market year after year, T20 gives fleets a structured way to stabilise their insurance costs, reward good claims performance, and plan ahead with confidence. In a soft market, it allows businesses to lock in favourable conditions while creating a clear, performance-linked path for the years ahead.
How T20 Differs from Traditional Rebates and LCRs
Many fleets are familiar with traditional low claims rebates (LCRs) or similar market models where savings are returned retrospectively - often at the end of the insurance year.
T20 is different.
Rather than waiting for a rebate, the savings are built directly into the premium adjustments themselves, giving clients:
- Real-time financial impact, not delayed paybacks
- Compounding benefits when performance improves
- A transparent formula rather than discretionary year‑end decisions
It’s a forward‑looking structure that connects claims performance to future premiums, simply and predictably.
Key Benefits at a Glance
- Fixed rating structure for three years
- Annual premium reductions of up to 20%
- Capped increases in case of large losses
- Transparent link between claims and premiums
- No annual quoting required
- Time and cost savings for clients and brokers
Is T20 Right for You?
If you’re looking for financial stability, performance‑linked pricing, and a smarter, more predictable way to manage your fleet insurance, T20 could be the right fit.
Want to explore how T20 could benefit your business? Get in touch with your BDM or broker today.