Fleet Subrogation Recovery

A telecommunications utility with 3,400 vehicles uses Holman’s accident management and subrogation recovery program to help mitigate the cost impact of accidents.

Fleet Background

A telecommunications utility with 3,400 vehicles uses Holman’s accident management and subrogation recovery program to help mitigate the cost impact of accidents.

Challenge

What is subrogation recovery? The industry standard is to pursue the cost of collision repairs, any rental fees incurred while the vehicle is in the shop, and any tow/storage charges when your driver is not at-fault for the incident.

Recently, one of the country’s leading telecommunications utilities engaged Holman to work on their behalf to recover damages sustained as part of any auto accident where their driver was not at-fault for the incident. To further mitigate the cost impact of these accidents, our fleet subrogation recovery programs goes a step further and pursues any and all related expenses our customer is legally entitled to claim.

Strategy

In one particular incident, one of the customer’s vehicles sustained collision damage after an accident but there were no other related direct expenses. A Holman subrogation specialist examined the incident and identified an opportunity to submit an additional claim for “Loss of Use”.

“Loss of Use” is a formula-based representation of what the customer should be entitled to for temporary transportation and the value of the unit’s associated downtime. Although insurance companies have a tendency to dispute these claims, we were able to successfully advocate on behalf of our customer.

• 152% – Recovery rate of actual damage cost
• $166,140 – or 126% in cumulative recovery of all claims
• Full Amount – Holman was able to recover the full amount of vehicle repairs and loss of use

Results & Savings

Through the tireless pursuit of the claims by our subrogation specialist, the customer was able to recover the full amount of the vehicle repair and the loss of use, resulting in a recovery rate of 152% of actual damage cost for this particular vehicle. The additional pursuit of loss of use on all claims for this client has resulted in cumulative recovery on all claims reaching 126%, or $166,140.

By understanding how crucial downtime can be to utility vehicles under repairs, our subrogation specialists work on behalf of our customers to mitigate any negative impact to their fleets resulting from vehicular accidents.