Policy Manual Helps Fleet Deal with Merger Issues
When Allendale Mutual Insurance Company in Johnston, RI merged with three other companies in 1999 to form FM Global, Allendale Car Plan Administrator Richard Corsetti took over administration of the new fleet and was faced with the dilemma of how to combine vehicle policies and procedures of four different companies.
JOHNSTON, RI -When Allendale Mutual Insurance Company in Johnston, RI merged with three other companies in 1999 to form FM Global, Allendale Car Plan Administrator Richard Corsetti took over administration of the new fleet and was faced with the dilemma of how to combine vehicle policies and procedures of four different companies.
The merged companies included Allendale Insurance (300 vehicles); Protection Mutual in Chicago (100 vehicles); Arkwright Mutual in Waltham, MA (100 vehicles); and Factory Mutual in Norwood, MA (500 vehicles).
The FM Global fleet now has 930 leased cars and 450 on a Runzheimer reimbursement program.
One of the first things Corsetti and a task force of other company managers did was develop a policy and procedures manual. Among the policies developed was a personal use policy in which drivers pay a certain monthly amount to the company for personal use.
"Before, each company had different personal use fees and different ways of collecting them," Corsetti said in an interview with Automotive Fleet. "It was a challenge getting the word out that this is a new company with a new way of doing things, and a big part of communicating that was our policy and procedures manual. With the help of my managers, it took six weeks to develop the manual, and part of the development included many conference calls with other company managers on what policies should be included."
The manual was placed on the company's intranet site, which played a big part in communicating the policies to drivers. "On the intranet, drivers can fill out a form to join the car plan, and they can see all of the policies and procedures," Corsetti said.
The merged companies together had nine different leasing companies, with different types of leases.
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