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Agreement for Company Vehicle Use

If you`re a business owner or manager who provides company vehicles to employees, it`s important to have a clear agreement in place for their use. Not only does this protect your company`s assets, but it also ensures that employees understand their responsibilities and expectations.

Here are some key elements to include in a comprehensive agreement for company vehicle use:

1. Eligibility: Specify which employees are eligible to use company vehicles. This may depend on job title, travel requirements, or other factors.

2. Authorized drivers: Outline who is authorized to drive company vehicles. This may include only the named driver, or it may allow for additional drivers with prior approval.

3. Vehicle maintenance: Establish guidelines for regular maintenance and upkeep of company vehicles, including oil changes, tire rotations, inspections, and repairs.

4. Fuel reimbursement: Clarify how fuel costs will be handled, including reimbursement for business-related trips and any restrictions on personal use.

5. Insurance coverage: Make sure that all company vehicles are properly insured, and outline what happens in the case of an accident or damage to the vehicle.

6. Penalties for misuse: Clearly state what consequences employees may face for violating the terms of the agreement, such as revocation of driving privileges or disciplinary action.

7. Return of vehicles: Establish procedures for returning company vehicles, including required notice and any necessary inspections.

By establishing a clear agreement for company vehicle use, you can minimize the risk of accidents, liability issues, and other problems that can arise when employees use company assets. Be sure to communicate the terms of the agreement clearly to all employees and enforce them consistently to ensure compliance.