Driving policy

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What’s a company car policy and when do you need one?

It’s advisable to have one of these policies in place for all those who you authorise to drive a company car on behalf of your business.

Amongst other things, this policy covers your employees use of a company car, including where and for what purposes they may drive the car and their responsibilities and agreement to pay any fines or charges incurred by them when driving a company vehicle.

If you're providing employees with vans, instead of or in addition to cars, you’ll need to tweak the wording in this policy.

Make sure that if your business is one that requires the use of a tachometer to be attached to company vehicles, that you're also complying with these rules. You can find out more on whether these rules apply to your business and the vehicles you’re operating here.

If these rules apply to your business, you may wish to insert additional wording into this policy to cover those circumstances too.

Our experts recommend that you do not give it contractual status in any employment contract that you put in place, but that you do reference it in that contract, make clear that the employee is expected to comply with the policy and that you have the right to update or revise it, in your discretion and when you want to.

This template includes all the statutory requirements, as well as optional elements for you to consider.

Don’t forget to ensure that any employee covered by this policy signs it and returns a copy to you. This ensures that you have the right to make deductions from their salary or other payments due to them from you, where this may be necessary – the various moments when it might be are referenced throughout this policy.