Sample Company Vehicle Policy

Purpose of the Policy

The purpose of the company vehicle policy is to:

• Ensure the safe and proper use of company vehicles.
• Protect company property and minimize liability.
• Establish clear expectations for employees authorized to use vehicles.
• Comply with insurance and legal requirements.
• Promote accountability and responsibility among employees.

Sample Company Vehicle Policy

Please note: This sample policy is for informational purposes only and does not constitute legal advice. It is a generic template that may not suit your specific circumstances. When adopting or revising a policy, consult legal counsel to ensure compliance with all applicable laws and regulations.
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This policy outlines the responsibilities of employees, from safe driving practices to vehicle maintenance, ensuring the protection of company assets and the safety of staff. By providing detailed procedures for vehicle use, insurance coverage, and compliance with legal regulations, the policy promotes responsible use of company vehicles while minimizing risk and liability for the organization.

1. Purpose

The purpose of this Company Vehicle Policy is to provide guidelines for the use of company vehicles to ensure the safety of employees and the proper care of company assets. This policy outlines the responsibilities of employees who drive company vehicles and provides guidance on permitted uses, insurance coverage, maintenance, and safety standards.

2. Eligibility

Company vehicles are provided for work purposes and are only available to employees authorized by [Company Name]. Eligible employees must:

• Possess a valid driver’s license with a clean driving record.
• Be at least [Insert Minimum Age] years of age.
• Successfully complete any required company-provided vehicle safety training.

Employees must notify their manager or HR immediately if there is any change in their driving status (e.g., suspension of their driver’s license).

3. Permitted Uses

Company cars are to be used strictly for business purposes, including:

• Traveling to and from client meetings or business locations.
• Transporting employees, goods, or equipment related to company operations.
• Other uses as approved by the employee’s manager.

Personal Use‍

Personal use of company vehicles is generally prohibited unless explicitly authorized in writing by [Company Name]. If personal use is permitted, employees must:

• Reimburse the company for personal mileage at the rate specified by [Insert IRS or company mileage rate].
• Ensure that personal use does not interfere with business needs.

Unauthorized personal use of a company vehicle may result in disciplinary action, including termination.

4. Vehicle Maintenance and Care

Employees using company vehicles are responsible for ensuring proper care and regular maintenance of the vehicle. This includes:

• Regularly checking tire pressure, oil levels, and other fluid levels.
• Reporting any mechanical issues or damage to the vehicle immediately.
• Scheduling routine maintenance such as oil changes or inspections in accordance with the vehicle’s manual.
• Keeping the vehicle clean and free of personal belongings.

Employees must document any damage, wear, or other issues with the vehicle and report them to their supervisor or fleet manager as soon as possible. [Company Name] will cover the cost of standard maintenance and repairs, but damages resulting from negligence or personal use may be charged to the employee.

5. Driver Responsibilities

Employees who drive company vehicles must:

• Obey all traffic laws and drive in a safe and courteous manner.
• Refrain from using a mobile phone while driving unless equipped with a hands-free device.
• Wear seat belts at all times and ensure that all passengers do the same.
• Avoid driving under the influence of alcohol, drugs, or other impairing substances.
• Report any accidents, traffic violations, or incidents involving company vehicles immediately.

Mileage and Fuel Reporting‍

Employees are required to maintain accurate records of business mileage and fuel expenses. Mileage logs must be submitted to [Insert Department or Manager] at the end of each month or trip. Fuel expenses must be documented with receipts and submitted through the company’s expense reporting system.

6. Insurance and Liability

[Company Name] provides insurance coverage for company vehicles, which includes:

• Liability coverage for accidents involving third parties.
• Collision and comprehensive coverage for damage to the vehicle.

In the event of an accident:

• Employees must immediately contact emergency services if necessary and file a report with the local police.
• Employees must report the accident to [Insert Contact or Department] within 24 hours.
• Employees may be required to cooperate with the insurance provider’s investigations and submit necessary documentation.

If an employee is found to be at fault for an accident due to negligence, [Company Name] may hold the employee financially responsible for any deductibles or damages not covered by insurance.

7. Restricted Activities

Employees are prohibited from:

• Allowing unauthorized persons to drive the vehicle.
• Using company vehicles for personal errands or activities not related to work without permission.
• Modifying the vehicle in any way without authorization (e.g., installing aftermarket parts, decals).
• Transporting illegal substances, hazardous materials, or excessive loads.

8. Disciplinary Action

Failure to comply with the Company Vehicle Policy may result in disciplinary action, including:

• Verbal or written warnings.
• Suspension of vehicle privileges.
• Termination of employment in cases of severe misconduct (e.g., DUI, reckless driving, theft).

9. Recordkeeping

To ensure proper oversight of company vehicles, [Company Name] requires employees to submit the following documents regularly:

• Mileage logs.
• Fuel receipts.
• Maintenance records.

Supervisors are responsible for ensuring that all necessary records are up to date and accurate.

10. Policy Updates

This policy will be reviewed annually or as needed to ensure compliance with legal standards and company requirements. [Company Name] reserves the right to modify this policy at any time, with appropriate notice provided to employees.

11. Contact Information

For questions or concerns regarding this policy, employees may contact [Insert Human Resources or Fleet Manager Contact Information].

This Company Vehicle Policy ensures safety, responsibility, and compliance while using company vehicles for business purposes. Regular updates and adherence to this policy are crucial for maintaining a professional and secure work environment.