National reduces accident claims costs by over 50%

In its first four months of operation, National’s unique accident assistance service, First Call, has reduced the company’s average accident claims costs by over 50% on third party claims. The huge success of the initiative, launched in July 2007, means National is on course to save an annual sum of between £1million and £1.5 million compared to 2006.

First Call offers customers a single freephone number to call in the event of an accident. Crucially, the service is also available to any third party involved in the accident and National customers are being encouraged to give the details to third parties to streamline the claims process for all concerned. Initial figures reveal that First Call has already created significant savings for National, as well as improving customer service.

“Since the introduction of First Call, the average cost of damage to a third party vehicle has been cut to a fraction of what it was in 2006,” explains Dean Mugglestone Head of Insurance & Risk Management for National. “We are also providing replacement vehicles, which generates revenue for the business, while reducing the costs.”

First Call simplifies the whole process for the hirer, making it easy for them to pass on the number to any involved third party irrespective of who is at fault. The ease of the system helps ensure early notification, which is crucial to reducing the cost of third party claims.

Now, over 70% of third parties involved in accidents with National vehicles are being captured through First Call, compared to less than 5% before the scheme was implemented. This allows National to manage the recovery and repair of their vehicle and provide a replacement vehicle through its own fleet.

“First Call is the latest pioneering service from National” Mugglestone concludes. “It not only makes it easier for renters to report a claim in the event of an accident, but ensures we are getting vehicles back on the road again without delay ensuring we maintain our high standards of service to our business and leisure customers throughout the UK.”