Assessing and testing drivers during your hiring process may not be your number one priority when deciding where to spend your talent assessment budget. After all, don’t all drivers drive and, providing they have a licence, they’ll fill a vacancy and get on with the job? Perhaps you look at an applicant’s age and their driving experience and then make a decision?
Our research shows that neither of these are predictors of accident and incident rate. What is more indicative is their behavior and attitude when driving.
Cost of Risky Driving
Incidents and accidents have a significant and direct impact on insurance renewal costs and an indirect impact on business risk and reputation. Even relatively minor repair costs for dented or scraped vehicles add up. Major motor accidents are costly where there is substantial damage to (or loss of) vehicles or property or bodily injury to employees and third parties. Not even mentioning the other consequential losses, such as interruption to business. Each of these has a financial impact - regardless of whether or not corporate insurance policies have been triggered.
Some of these events can be avoided. Not all claims result from poor driving skills. Some are due to a driver’s attitude towards operating their vehicle.
Improved and Predictive Hiring Process
Aon’s Drivers Suite of talent assessments are online and include off-the-shelf tools capable of being built into the early stages of hiring. Research shows that they identify the safest and riskiest drivers. Our research studies also show they can predict safe driving by commercial drivers, such as bus drivers, truck drivers and train drivers.
Crystal Clear ROI
The impact of reducing accident rates, insurance claims, sick days for injury and repair costs and increasing training course pass rates and customer feedback scores is easy to measure and illustrate.
We know it is often tricky to demonstrate the ROI of a change in hiring practices. We work closely with our clients to define the benchmarks, build the studies, gather the evidence and then tweak the talent processes to improve ROI.
Funding Talent Assessment
Some insurance carriers provide funding via a bursary to their customers. This is funding that has been earmarked for risk-reducing activity.
Our Drivers Suite assessments are a good fit for such funding.
By hiring the drivers more likely to have fewer accidents, the claim rate and value will tend to be lower. Insurers are keen to give such bursaries and there is a proven business case around this. If a client can reduce the frequency and severity of their claims, the insurer saves money too.
A security firm engaged Aon as its insurance broker and risk advisor. The firm had experienced a steady rise in insurance premiums because of the exponential growth of driver and dispatch rider incidents. This rise had lead to higher claims, particularly from motor policies. To improve the situation, the client wanted to put in place a project or program to mitigate driver risk and reduce the number of insurance claims. It sought help from our assessment experts to identify less risky drivers and riders to ensure that only the right individuals were selected for the driver role. You can read about the study here.
Four Steps to Take Now
- Learn more about the Drivers Suite.
- Talk to your risk officer to highlight what can be achieved with talent assessment.
- Explore bursary options with your insurance broker or provider.
- Get in touch with us to find out more about the Drivers Suite of assessment tools.
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