June 2007

Considering Offering a Company Car?

New crash data from the Insurance Institute for Highway Safety indicate that SUVs are improving in safety ratings. IIHS says that midsized SUVs have much lower death rates than small, mid-sized and large cars and slightly better rates than very large cars. The vehicles have been redesigned to change the center of gravity, thereby reducing rollovers and other loss-of-control problems. Suspension systems have also been improved.

These data are supported by a separate report by SUV Owners of America, which says that SUVs are 5% to 7% better than passenger cars in reducing the risk of fatality. The group says that the characterization of SUVs as bad performers is not supported by crash data.

With the improvements in safety performance, businesses may find the SUV a suitable alternative to the sedan as the company car. The IIHS Web site, www.iihs.org, offers safety comparisons that might interest you, and your insurance agent can give you a cost comparison on insuring the different types of vehicles. Call us about insuring the company car before you make your purchase. We can help!