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Telematics

Why do I need Telematics for my business?

According to the latest RAC Telematics Report 2016 , an estimated 65% of businesses are now using a telematics device of some kind, across all business sizes and sectors.

If your business vehicles are not fitted with telematics, find out here how you could benefit from RAC Telematics.

How can my business benefit by using telematics?

Telematics has come a long way since its beginnings as a simple telematics tool, and now offers businesses a range of benefits in terms of cost saving, fleet management support and enabling employers to meet duty of care obligations. Here’s a quick overview:

  • Location Tracking with real-time alerts

    Tracking driver location not only enables fleet or logistics managers to plan resource more
    efficiently to minimise downtime, but also protects drivers. We found 80% of businesses use telematics for this reason. 

  • Reduce Fuel costs

    A key cost saver as 55% of businesses report lower fuels costs as a result of changes in Driver
    Behaviour . Each driver is given a score out of 100 to maintain, based on their driving behaviour, which leads to more efficient driving and better MPG.

  • Reduction in maintenance costs

    Vehicle breakdown for a business can cost hundreds of pounds in lost time and productivity. RAC Telematics helps users prevent some of the biggest causes of breakdown, such as battery failure. By reading the fault codes and monitoring vehicle performance, RAC Telematics will send an alert to the driver and/or fleet manager to flag up a problem so that it can be replaced in good time without the disruption of a breakdown.

  • Reduction in accidents and false claims

    Our research shows 43% of businesses we surveyed experienced fewer accidents since installing telematics, due to improved driver behaviour. The First Notification of Loss alert also provides instant and accurate information about any accident, which clarifies who is at fault.

  • Reduction in speeding

    Speeding is major cause of accidents, which can be addressed by telematics as it encourages better driving behaviour, and 39% of businesses reported lower incidences of speeding since using telematics.

  • Reduction in overtime claims

    Due to the 24/7 location tracking, fleet managers are able to monitor vehicle movements and download journey information for all their vehicles, giving a full and accurate picture of employee activity.

Other uses for telematics

The RAC Telematics Report 2016 found that 54% of businesses used telematics to monitor driver behaviour for training purposes, 47% used it to generate accurate mileage reports for tax/expenses purposes and 37% used the technology to monitor vehicle health

How does it work?

RAC Telematics is a GPS monitoring device that is professionally installed in the vehicle, usually connecting to the engine’s on-board computer.

  • The ‘black box’ device, about the size of a matchbox, transmits data 24/7, monitoring the position, speed, acceleration and braking patterns of the vehicle. The data is monitored by the fleet manager or business owner via the RAC Telematics dashboard on their desktop PC or mobile device, and can also be monitored by the individual driver via a smartphone app.

  • Once the data is transmitted back to the fleet manager or individual driver, it is split into four, easy-to-view, areas on the dashboard; location, driver behaviour, vehicle health and journey history.

What kind of businesses should be using telematics?

RAC Telematics is suitable for any type of business with vehicles, from a sole trader with one vehicle, to large corporates with a fleet of thousands. 

How does telematics benefit our business drivers?

  • In the event of an accident, a report is generated automatically, based on the location data, which shows precisely the speed and direction of travel of the vehicle and the point of impact, eliminating any doubt over who is at fault .

  • Location services also protect against false claims such as speeding, where a criminal has cloned a number plate and been caught out by a speed camera. Telematics data can prove definitively the location of the innocent driver.

  • Arguably most importantly is the duty of care that location tracking provides as staff who spend a lot of time offsite, such as estate agents or contract workers, can have confidence in the fact their managers will know where they are, or can raise an alert if they see something is wrong.

  • In addition, location tracking also enables accurate journey history data which can generate HMRC-approved mileage claims for tax and expenses purposes.

Switch from business to private journeys

Staff concerns over privacy has been a barrier to installation for some businesses in the past. In response RAC Telematics has developed the MyDrive Bluetooth fob, which enables users to switch between business and private journeys at the touch of a button.

The key fob synchs with the RAC Telematics black box device and identifies the individual driver, who has the option to switch to personal mode for non-business journeys. This is particularly important for drivers who use their own vehicles for business purposes, or firms that operate car pools as the fob tracks the individual driver even when they switch between vehicles.