Venice, FL - May 27th, 2008 - Truck insurer First Guard Insurance Company announced today that it has reduced driver error claims by 25% as a result of better underwriting.
After observing an upward spike in claims during the forth quarter of 2007, First Guard decided to focus attention on specifically reducing the number of claims attributable to driver error. These types of claims average over $10,000 per incident. Among other measures, the company performed an extensive review of its claim and underwriting databases. This data mining effort revealed a variety of discernible findings seemingly common to most claims involving driver error. For First Guard it then became a matter of re-working its underwriting formula to better address these themes. "We always prefer underwriting solutions to rate increases. It's better for our customers," stated Donna Fortuna, the President of First Guard Insurance Company, "obviously a reduction of this size has a very positive impact on the bottom line that will help assure our competitive position in the market."
The truck insurance business is characterized by extreme pricing cycles. Presently premiums remain near historic lows. First Guard enjoys unique standing as one of the most competitive and profitable companies in this segment. Despite the soft market the company recorded its highest underwriting profit ever in April 2008.
About First Guard Insurance Company
First Guard Insurance Company, rated "A" by AM Best, provides truck physical damage insurance for owner operators and small fleet owners. The company is located in Venice, Florida.
