6 Ideas to Mitigate Risk for Employees Using Company Vehicles

January 21, 2020 Blog

Suggestions for Commercial Fleet Owners from the Business Insurance Center

Some organizations allow their employees to utilize a company-owned car for personal use. While this may seem like a fantastic perk that may attract some great talent, it is not without risks. What happens if an employee is driving the company’s car over the weekend and has an accident? What if you find out their spouse was operating your commercial vehicle when the accident happened? Without a solid policy and procedure, you may have more hassle on your hands than you expect. You should take steps to mitigate risk, no matter if you have a fleet of five or 500 vehicles.

Stay abreast of the company-owned cars, trucks, and vans driven by your team when you establish standard procedures for everyone to follow. Remember to review your insurance policies as well. The helpful team at the Business Insurance Center provides quick commercial fleet insurance quotes so that you can obtain the right coverage for your organization. We work with established insurers to offer you the best policies at affordable rates.

Suggestions for Establishing a Policy for Personal Use of a Company Vehicle

It is imperative that you not only develop but also implement a policy that establishes under what conditions and circumstances personal use is allowed. Before an individual gets behind the wheel of your company’s car:

  1. Review each employee’s driving record. You will want to obtain their Motor Vehicle Record from your Bureau of Motor Vehicles to make sure it is acceptable for your company.
  2. Conduct a safety inspection. Before your employee takes the car, inspect it for safety issues. Document the process and fix any problems found.
  3. Have your employee sign a copy of the company’s vehicle safety rules. It should list out that they will not operate the vehicle if they have consumed alcohol or taken any medicine (prescription or over the counter) that may impair driving. Also, it should state they will not drive while under the influence of alcohol, prescription medication, or drugs. Finally, they agree not to talk or text on a cell phone while operating the vehicle, and they will report any accidents to the company immediately. It may seem like a lot, but it can save you a lot of hassle later.
  4. Require that they submit a written and signed request to use a company car. It ought to include statements that they will be the only one operating the vehicle, how and where it will be used, and how many miles they expect to drive. Additionally, it should tell you the dates they need the car, what, if any, cargo will be transported, and how many passengers may be in the automobile.
  5. Make and keep a copy of their driver’s license. If they do not have one, do not allow them to use the car. Their license should also be valid for the type of vehicle they need to drive.
  6. Make and keep a copy of their personal automobile insurance card. Check that it has not expired, and if they do not have personal insurance, avoid letting them use your car.

Keep Your Fleet and Your Employees on the Road with Help from Business Insurance Center

It makes good business sense to implement strategies and procedures that keep your company and your employees safer when behind the wheel. Talk with an experienced broker from the Business Insurance Center for a commercial fleet insurance quote. We can provide you with the best policies for reasonable rates.

Request a quote online or call and speak with a knowledgeable and experienced broker at the Business Insurance Center. We have a 24/7 call center to serve you and an online Live Chat operator.

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