Company Name

VEHICLE FLEET POLICY

Overview

As a driver of a company vehicle, the authorized driver has been given certain privileges.

He/she assumes the duty of obeying all motor vehicle laws, maintaining the vehicle properly atall times and, otherwise, following the policies and procedures outlined in the following.

Vehicle Fleet Purpose

Company vehicles are provided to support business activities and are to be used only byqualified and authorized employees. They are not to be considered a part of an employee’scompensation. In all cases, thesevehicles are to be operated in strict compliance with motor vehicle laws of the jurisdiction inwhich they are driven and with the utmost regard for their care and cost-efficient use. Company vehicles may not be used for business activities of other companies.

Driver Licensing

Company drivers and anyone authorized to drive the company vehicles must have a validdriver’s license issued in the state of residence for the class of the vehicle being operated andmust be able to drive a vehicle. Obtaining a driver’s license is a personal expense.

Driver Qualifications

Driver qualifications are as follows:

1. Authorized employee of company.

2. Must be at least 21 years of age.

3. Have at least one year of experience in the class of vehicle operated.

4. Must meet licensing requirements.

5. Will not qualify for a company vehicle if, during the last 60 months, the driver had any of thefollowing experiences:

• Been convicted of a felony.

• Been convicted of sale, handling or use of drugs.

• Has automobile insurance canceled, declined or not renewed by a company for safetyreasons.

• Been convicted of an alcohol- or drug-related offense while driving.

• Had driver’s license suspended or revoked.

• Been convicted of three or more moving violations or at-fault accidents in the previous 36months.

Review of Motor Vehicle Record

State Motor Vehicle Records (MVRs) will be used as the source for verifying driver history.MVRs will be obtained and reviewed at least annually. Driving privileges may be withdrawn orsuspended and/or the company vehicles removed for any authorized driver not meeting theabove requirements. In addition, appropriate disciplinary action may be taken.

Personal Use

Company vehicles are provided primarily for business purposes; however, occasional personaluse is permitted. Personal use is a privilege extended only to the authorized employee. The privilege of personal use may be withdrawn at any time without notice by the company.

The following rules apply to personal use of company vehicles:

1. Only authorized employee may drive.

2. The company vehicle may only be used for incidental trips within 50 miles of your home.

3. Personal trailers, including boat and recreational vehicles, are not to be towed.

4. Company vehicle is not to be driven while under the influence or alcohol or any controlledsubstance.

5. Possession, transportation or consumption of alcohol or illegal drugs by anyone inthe vehicle is not allowed.

6. Driver and all passengers must wear available personal restraints.

7. Report any accident immediately to police and your manager.

Any exceptions to these rules require advance, written approval by approved company manageror officer. Violation of these rules will result in disciplinary action from removal of drivingprivileges up to and including discharge.

Maintenance

Authorized drivers are required to properly maintain their company vehicles at all times.

Vehicles should not be operated with any defect that would inhibit safe operation during currentand foreseeable weather and lighting conditions. Preventive maintenance such as regular oilchanges, lubrication and tire pressure and fluid checks determine to a large extent whether youwill have a reliable, safe vehicle to drive and support work activities.

You should have preventivemaintenance completed on your vehicle as required in the owner’s manual. This service shouldbe done at one of the following: ______, ______and ______. Theinvoice for preventive service should be submitted with your expense account.

Vehicle repairs or service in excess of $50 must have prior approval by ______

(manager).

Personal Cars Used on Company Business

The company does not assume any liability for bodily injuries or property damage the employeemay become personally obligated to pay arising out of an accident occurring in connection withoperation of his/her own car. The reimbursement to the employee for the operation of his/hercar on company business includes the allowance for the expense of automobile insurance. Youare required to have minimum liability limits of $______. The company does notspecify and assumes no responsibility for any other coverage employees carry on their owncars since this is a matter of individual status and preference.

Traffic Violations

Fines for parking or moving violations are the personal responsibility of the assigned operator.The company will not condone nor excuse ignorance of traffic citations that result in courtsummons being directed to itself as owner of the vehicle.

Each driver is required to report all moving violations to the ______within 24 hours. Thisrequirement applies to violations involving the use of any vehicle (company, personal or other)while on company business. Failure to report violations will result in appropriate disciplinaryaction.

Please be aware that traffic violations incurred during non-business (personal use) hours willaffect your driver as well and are subject to review.

Accidents Involving Company Vehicles

In the event of an accident:

1. Do not admit negligence or liability.

2. Do not attempt settlement, regardless of how minor.

3. Get name, address and phone number of injured person and witnesses, if possible.

4. Exchange vehicle identification, insurance company name and policy numbers with theother driver.

5. Take a photograph of the scene of accident, if possible.

6. Call the police if injury to others is involved. You may want to call police even if there are noinjuries.

7. Complete the accident report in your vehicle.

8. Turn all information over to your ______with in 24 hours.

Thefts

In the event of theft of company vehicle, notify local police immediately.

Driver Responsibilities

Each driver is responsible for the actual possession, care and use of the company vehicle intheir possession. Therefore, driver’s responsibilities include but are not limited to the following:

1. Operation of the vehicle in a manner consistent with reasonable practices that avoid abuse,theft, neglect or disrespect of the equipment.

2. Obey all traffic laws.

3. The use of seat belts and shoulder harness is mandatory for driver and passengers.

4. Adhering to manufacturer’s recommendations regarding service, maintenance andinspection. Vehicles should not be operated with any defect that would prevent safeoperation.

5. Attention to and practice of safe driving techniques and adherence to current safetyrequirements.

6. Restricting the use of vehicles to authorized driver only.

7. Reporting the occurrence of moving violations.

8. Accurate, comprehensive and timely reporting of all accidents by an authorized driver andthefts of a company vehicle to the company ______.

Failure to comply with any of these responsibilities will result in disciplinary action.

Preventable Accidents

A preventable accident is defined as any accident involving a company vehicle – whether beingused for company or personal use – or any vehicle while being used on company business thatresults in property damage and/or personal injury, and in which the driver in question failed toexercise every reasonable precaution to prevent the accident.

1. Classification of preventable accidents – this is only a partial list of the more commoncauses:

• Following too close

• Driving too fast for conditions

• Failure to observe clearances

• Failure to obey signs

• Improper turns

• Failure to observe signals from other drivers

• Failure to reduce speed

• Improper parking

• Improper passing

• Failure to yield

• Improper backing

• Failure to obey traffic signals or directions

• Exceeding the posted speed limit

• Driving While Intoxicated (DWI) or Driving Under the Influence (DUI) or similar charges.

2. Fines for preventable accidents

In order to remind drivers of their responsibility to drive defensively, a fee will be charged tothe driver for each preventable accident as defined above. This fee, which applies to eachaccident, will be capped at the lesser of the actual damages or $250. This is a mandatoryfine. Any exceptions to this policy will require the approval of ______.

I have read and will abide by the conditions as stated in this document regarding the operationof any vehicle for company business.

Name (printed) ______

Signature ______Date ______

Witness ______Date ______

Vehicle safety policy – issued ______Page 1 of 4

Revised - ______