Workers who use their own cars are badly insured

Trimble has conducted a survey that has revealed that over 60% of drivers who drive their personal vehicle for work purposes are unaware that they need additional insurance if they are driving for their company.

Trimble, a provider of telematic data, has issued a warning to drivers that being unaware of such insurance details can leave their employer as well as themselves exposed to financial and other significant risks. It noted that many UK companies are running what is known as a ‘grey fleet,’ and keeping a bank of company cars available is becoming increasing unsustainable.

Andrew Yeoman is the managing director of Trimble for Europe. He has said that, “Having this ‘grey fleet’ is a pretty attractive solution for companies in the UK. It migrates many of the costs of running a fleet of company vehicles.” He commented on their recent survey that, “employees do not understand their insurance obligations and employers are also mostly unaware of the impact this can have on them.”

Vikki Woodfine, of law firm, DWF, has stated that, “If the business is seeing the mileage reports and expenses claims for vehicles it cannot simply pay these without fulfilling other legal obligations. Firms are not just risking the cost of having to pay for an accident, but also the costs of having an injured, uninsured, employee, who may well pursue a civil claim.

Firms would be wise to remember that a legal duty of care exists between all employers and their employees, even if the employee is injured in their own vehicle. Businesses should also consider the less tangible effect on a business’s reputation.”