Employee Personal Use of Company Vehicle Agreement

Employee Personal Use of Company Vehicle Agreement

As an employee, it can be a great perk to have access to a company vehicle for personal use. However, it is important to understand the terms and conditions of such an agreement to ensure that you are utilizing the vehicle in a responsible and appropriate manner.

First and foremost, it is crucial to obtain written permission from your employer before using a company vehicle for personal use. This permission should be in the form of an agreement outlining the terms and conditions of use, including any restrictions or limitations that may apply. It is important to carefully read and understand this agreement before signing it, to avoid any potential misunderstandings or disputes down the line.

One common restriction that may apply to the personal use of a company vehicle is mileage limits. Employers may set a maximum number of miles that an employee can drive the vehicle for personal use each year, to ensure that it is primarily being used for business purposes. Exceeding this limit could result in disciplinary action or even termination of employment, so it is important to keep track of your mileage and adhere to any restrictions that are in place.

Another important consideration when using a company vehicle for personal use is insurance. While your employer may have insurance coverage for the vehicle, this may not necessarily extend to personal use. It is important to clarify with your employer whether you are responsible for securing your own insurance coverage for personal use, or if the company policy extends to such use.

Additionally, it is important to use the company vehicle in a responsible and safe manner when driving for personal use. This includes obeying all traffic laws, avoiding reckless or dangerous driving, and refraining from using the vehicle for illegal activities or transporting illegal substances. Any violations of these rules could result in disciplinary action and even termination of employment.

In conclusion, the personal use of a company vehicle can be a great perk for employees, but it is important to understand and adhere to the terms and conditions of any agreement in place. This includes mileage limits, insurance requirements, and responsible use of the vehicle. By following these guidelines, you can enjoy the benefits of a company vehicle for personal use while also maintaining a positive and professional relationship with your employer.