FLEETS can insure vehicles for two years instead of the traditional one-year period, under an initiative by insurance broking and risk management company Oughtred & Harrison Insurance. The company, which has offices in Hull, Grimsby, Lincoln and Leeds, says the two-year agreements will allow fleets to budget more effectively.

Development director Doug Skene said: 'Under a two-year contract, fluctuations are minimised and the level of premiums capped within margins that are acceptable both to the underwriter and the insured. It's a classic win-win situation.'

Skene said benefits to fleets would include continuity of service without the need for an annual round of haggling, a relatively fixed insurance cost and the advantages of long-term budgeting. The insurer is rewarded with the customer's committal for two years.