Tips for Managing Company Cars
Having company-owned vehicles can involve a lot of overhead costs for any size business. Moreover, managing one or more vehicles can expose a company to considerable liability. If your company has cars or trucks that employees use in the scope of their employment on a regular basis, you should periodically review your managerial policies as well as expenses. Here are some important things that you should consider about the best practices for managing company cars.
Conduct Driving Record Checks
Make it a point to check the driving history of every employee who will be driving a company car. A driving record check should become a standard component of your hiring process. If a current employee who was not screened at the time that he or she was hired will begin using a company car, you should conduct a check before issuing authorization to do so. You should also consider scheduling periodic checks of employees’ driving records.
Draft a Policy About Distracted Driving
It’s a good practice to create an internal policy about cell phone use while driving. Even if that state where your company operates has laws about cell phones and driving, making policies can help instill the importance of avoiding distracted driving in your company culture. Your employee handbook is a good place to include your policy. Alternatively, you can write a standalone policy and have people sign a written acknowledgement that they have received it.
Use Technology to Assure That Employees Are Driving Safely
Many companies use GPS devices to track employees whose job duties take them on the road often. This technology lets employers know that employees are where they’re supposed to be. This same type of technology can let employers know whether employees are being safe on the road. Devices that plug into a car’s OBD port can alert you of speed limit violations, short braking, and other unsafe driving practices. You can get alerts in real time to stay apprised about what’s happening.
Get Comprehensive Insurance
Using a vehicle for commercial purposes requires getting insurance policies that are different from personal policies. Your coverage should be affordable but also thorough. Bear in mind that you may need to get more than your state’s minimum requirements in order to adequately protect your business against liability and loss. To find cheap car insurance online that fully meets your businesses’ needs, check out a resource online that can show you information from multiple carriers.
Alert Your Insurance Company of Any New Drivers Right Away
When you insure a company car, the carrier will likely want to know which employees will be using it. In fact, you will probably have to provide the driver’s license number of each employee. As you add new employees or change their job duties, don’t forget to update your insurance company. An accident involving a driver who an insurer did not have notice about could result in denial of a claim.
Delegate Responsibility for Maintenance
Your staff needs to be completely clear about who is responsible for a car’s maintenance. If there isn’t sufficient clarity about who should be taking care of periodic maintenance or addressing issues as they develop, seemingly small things could fall through the cracks and create big safety hazards. Assign responsibility to a key staff member and set clear expectations about what type of maintenance needs to happen and when. Likewise, make sure that all staff who will be driving a company car know which employee they should talk to about problems.
Get Commercial Plates
Find out about your state’s requirements for getting commercial license plates. These plates can make it a lot easier for employees to find parking in metro areas and avoid costly tickets.
Staying organized will help to remove a lot of the stress and difficulty from managing your company’s cars. No matter how busy things get in the course of your operations, this is one area where you simply can’t afford any oversight.
