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What You Need To Consider When Allowing An Employee The Use Of A Company Vehicle

As an employer, there are many benefits to allowing an employee of yours to use a company vehicle. You may have one car or a whole fleet. Sometimes letting them use a car as part of their jobs and for personal use can be a real perk for both of you. As an employer, you have provided all the tools to get the job done. Just as your employee has everything they could need to get things going. But there are a few things to consider when it comes to having a fleet or company vehicles and letting your employees use them.

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Driving licence and motor convictions

It’s always advisable to make sure that your employee has a valid driving licence with little or no motor convictions in place. Of course, this is down to your legislation and the company rules you have set. Your employee must be able to provide you with their full license and offer proof of no impending convictions. For you, this proves that the employee is road worthy and your vehicle is in safe hands.

Taking care of your fleet

Taking care of your company fleet can be a huge overwhelming task for anyone. But if you are in charge, then the chances are you have many other things to be thinking about. It’s all about making sure the cars are well-maintained and have applicable MOT’s. It’s making sure your have the right insurance in place to cover not only the cars but also the age of the employee. Sometimes insurances can put terms and conditions in place to avoid paying out in an accident. If they aren’t checked, those details can be overlooked. But rest assured companies like Visa to Drive will help with all of that and more.

A duty of care from the employer

As an employer, you have a duty of care to make sure that the vehicle is road worthy and insured. That the vehicle is fit for purpose. If your employee requires driving the car for long periods of time, then you need to make sure you provide a suitable vehicle fit for the job.

It’s also your job to make sure that your employee knows what guidelines they need to adhere to. If the car cannot be used for personal use for example. Making sure that these guidelines have been put in place and that the employee has signed a form is a good idea.

A duty of care from the employee

As an employee, it’s important to realise that the car is benefit. It must be treated with the utmost respect as the vehicle does not belong to you. The same applies to being totally compliant with any guidelines your employer has put in place.

You must also inform the government about your additional benefit in regards to the tax that you pay. A company car can have an effect on this. If you fail to inform the government, you could end up with a hefty tax bill.

I hope this helps you when it comes to company car usage in your workplace.