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Employee Company Vehicle Use Agreement

This agreement outlines the terms and conditions for an employee's use of a company-owned vehicle, establishing responsibilities and usage policies. It is used when a company provides a vehicle to an employee for business and personal use.

Updated 15d ago
employee agreementcompany vehiclevehicle policytransportationHR documentfleet management

Company Letterhead Block

{{company_name}}

{{company_address}}

Phone: {{phone}}

Email: {{email}}

Website: {{website}}

EMPLOYEE COMPANY VEHICLE USE AGREEMENT

This Employee Company Vehicle Use Agreement ("Agreement") is made and entered into effective as of {{effective_date}} by and between {{company_name}} ("Company") located at {{company_address}}, and {{employee_name}} ("Employee") located at {{employee_address}}.

1. Vehicle Assignment

The Company hereby assigns to the Employee for business and approved personal use, the following vehicle:

Make: {{vehicle_make}}

Model: {{vehicle_model}}

Year: {{vehicle_year}}

Vehicle Identification Number (VIN): {{vin_number}}

License Plate Number: {{license_plate_number}}

The Employee acknowledges receipt of the vehicle in good working order and clean condition.

2. Permitted Use

The assigned vehicle is primarily for official Company business. Limited personal use may be permitted as agreed upon by the Company and Employee, provided such use does not interfere with Company business.

The vehicle shall not be used for: illegal activities, racing, off-road driving, or by unauthorized drivers. Subletting or lending the vehicle to third parties is strictly prohibited.

All drivers of the company vehicle must possess a valid driver's license and be approved by the Company's insurance provider.

3. Employee Responsibilities

The Employee agrees to:

a. Operate the vehicle safely and in accordance with all applicable traffic laws and regulations.

b. Maintain a valid driver's license at all times and immediately notify the Company of any citations, suspensions, or revocations.

c. Ensure the vehicle is regularly serviced and maintained as per the manufacturer's recommendations. All maintenance records should be kept and submitted to the Company upon request.

d. Keep the vehicle clean and tidy, both internally and externally.

e. Immediately report any accidents, damage, theft, or mechanical issues to the Company and local authorities (if applicable).

f. Pay for all traffic violations, fines, or penalties incurred while operating the vehicle.

g. Ensure the vehicle is securely parked when not in use and that all doors and windows are locked.

4. Fuel and Expenses

The Company will cover the cost of fuel for business use. The Employee will be responsible for fuel costs associated with personal use, unless otherwise specified in writing by the Company.

The Employee shall keep accurate records of mileage for both business and personal use using the {{mileage_log_system}}.

All other operating expenses, including but not limited to tolls and parking fees incurred during business travel, will be reimbursed by the Company upon submission of valid receipts, in accordance with the Company's expense policy.

5. Insurance

The Company shall maintain comprehensive vehicle insurance coverage for the assigned vehicle. Details of the insurance policy, including coverage limits and deductibles, are available upon request.

The Employee agrees to cooperate fully with the Company and its insurance provider in the event of an accident or claim.

6. Damage and Accidents

In the event of an accident, damage, or theft involving the company vehicle, the Employee must immediately notify their direct supervisor and the Human Resources Department.

An accident report must be completed and submitted within {{reporting_timeframe}} of the incident. This report must include details such as date, time, location, parties involved, and a description of the event.

The Employee may be held responsible for the deductible on the Company's insurance policy, or the full cost of repairs if negligence or misuse is determined to be the cause of the damage.

7. Return of Vehicle

Upon termination of employment, or at any time upon request by the Company, the Employee must return the company vehicle, including all keys, documents, and accessories, to the Company in good condition, reasonable wear and tear excepted.

Failure to return the vehicle as requested may result in legal action and/or deductions from final pay to cover the cost of recovery or replacement.

8. Agreement Violations

Any violation of the terms and conditions outlined in this Agreement may result in disciplinary action, up to and including termination of employment, and/or personal liability for damages.

The Company reserves the right to modify or revoke this Agreement at any time with prior written notice to the Employee.

Signature Block

_____________________________

Employee Signature

{{employee_name}}

Date: {{date}}

_____________________________

Company Representative Signature

{{company_representative_name}}

Title: {{company_representative_title}}

Date: {{date}}

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