Why do buses and coaches with seating capacities of over 40 represent a high risk to motor fleet underwriters?

Buses and coaches with seating capacities of over 40 represent a high risk to motor fleet underwriters for several interconnected reasons.

Firstly, these larger vehicles typically have a higher value due to their size, complex technology, and the essential equipment they carry. An increase in the value of the insured vehicle means that any loss or damage sustained could result in significant financial liability for the insurer.

Secondly, with a larger number of passengers, the risk of injury substantially increases. In the event of an accident, not only could there be a higher likelihood of multiple injuries, but the potential for legal claims can escalate rapidly. The implications of injuries to passengers extend beyond immediate medical costs, often involving long-term care and compensation claims that can add to overall liability.

Lastly, when a bus or coach is off the road due to an accident or mechanical failure, the revenue loss can be considerable. This is especially critical for commercial operators who depend on these vehicles for their business. The costs associated with lost fares, as well as the expenses for repairs and potential hire of replacement vehicles, can accumulate quickly.

The combination of these factors makes buses and coaches with seating capacities over 40 a high risk for motor fleet underwriters. Each aspect contributes to an overall increased exposure to claims