Automotive Fleet

DEC 2013

Magazine for the car and truck fleet and leasing industry

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PHOTO: ©ISTOCKPHOTO.COM/ALEXSAVA PHOTO: ©ISTOCKPHOTO.COM/JEANCLICLAC VIOLATION MANAGEMENT risk summary that CEI maintains in its online DriverCare Risk Manager application," Brigidi explained. CEI is currently testing the capability with several feets and expects to make it widely available in the coming months. "Just as DriverCare has helped feets to reduce their accident rates by as much as 40 percent, we believe that this new and industry-unique feature of DriverCare can be a tool to assist feets in driving down violations of all kinds. In addition, it will help close feets' liability gaps for cost of the violations and for future accident thirdparty damages as well," Brigidi projected. While violations are given to a vehicle, it's a driver that is behind the infraction, and it's here that an efective violation management program can be most efective. Managing Behavior Paying a fne, transferring liability, saving money, these are all goals of an efective violation management program. But, more fundamental is avoiding those violations to begin with. Tis is a particularly important goal because violations are tied to feet safety. Tat said, there is a sliding scale on which violations exist. "Parking tickets can be hard to avoid," Draizin observed. "But, certain tickets, such running a red light, you don't want that, that's unacceptable." To be efective, violation management programs have to have an enforcement aspect to it. "What we found is that violation enforcement exists to modify driver behavior," Draizin said. "If there's no enforcement, there's no shif in behavior. Enforce- ment with a penality will change behavior." Brigidi concurred. "What it all comes down to is driver behavior, which can manifest itself as a ticket you get from a police ofcer, an accident, a 1-800-HowsMy-Driving call, a telematics event, or an image taken by a camera. All available input needs to be included in a driver safety program to provide the feet with the best opportunity for success," he said. Of course, drivers might not like this, but they will accept it. "We'll hear drivers that lament the fact that all this is crystal clear in their driving summary, but we don't typically get any objections to the concept itself, because I think that it's common sense. I think it's very difcult to argue that any one piece of it is not relevent," Brigidi said. AF THE CHALLENGES OF FLEET VIOLATIONS V iolations can affect every aspect of a feet's operation from its bottom line to driver morale, according to ATS and The CEI Group. Challenges for Companies ● Hard Costs: Include the initial violation fnes, related penalties due to late or non-payment, and associated administrative fees ● Accident Liability Risk: Companies can be held liable for accidents caused by unsafe drivers. Courts have awarded damages in liability suits against companies with histories of unsafe feet driving. ● Negative Public Relations: From shame campaigns to public statements by authorities, ticket issuers are becoming more aggressive with feets that do not pay their violations. some driver scorecarding programs seek to alleviate this risk, capturing all types of violations has been elusive for feets. ● Lack of Driver Accountability: Especially in large disbursed organizations, holding drivers accountable for their violations and fnes is challenging, as systems for administering violation handling have not been readily available in the marketplace. Some feets choose not to pursue drivers and others do the best they can with limited resources. As such, the opportunity to hold drivers accountable for their violations may be lost along with the opportunity to improve driver behavior with regard to incurring violations. Challenges for Drivers Loss of Due Process: When a feet or feet management company pays fnes automatically, drivers generally lose their right to due process, preventing them from contesting tickets they believe to be unjustifed. Once paid, most ticket issuers view violations as closed with no further recourse available. ● Driving Record at Risk: By losing the ability to contest citations believed to be unjustifed, drivers also lose the ability to protect their driving records, whether with their state DMVs or the driver scoring systems used by their employers. ● Challenges for Fleet Managers ● Administrative Costs: Include time required to process violations, as well as following up with drivers to recover fnes and/or administrative fees. Additional penalties, such as registration holds and vehicle seizures, can be assessed due to late or non-payment of violations, which can negatively impact a feet. ● Lack of Visibility: When feets lack systems for violation processing, management, and tracking, a feet may be unaware of its driver's violation history and whether it has unsafe drivers on the road. While 54 AUTOMOTIVE FLEET I DECEMBER 2013 — Sources: ATS & The CEI Group

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