The idea of being assigned a company car is generally favourable to most people, because why wouldn’t it be? Unless you have the funds to outfit your garage with all manner of vehicles (in which case, you’re in the right place), then having a free pair of wheels you can use while employed, and even having a good amount of your fuel comped too, is generally quite a good position to be in.

Of course, the stipulations surrounding a company car can depend. But if you’re generally on a fair amount of workplace trips, if the vehicle is necessary for your daily work, or you can negotiate this in your salary agreement, then that’s a fairly decent outcome.

If this is your first time managing a company car, it may feel like a somewhat strange experience. Don’t worry, we’re car experts here, and we have some helpful advice to keep you confident behind the wheel. We’ll also help you avoid falling afoul of any bad practices that could have the car rescinded from you, even without necessarily poor action:

Know The Rules

Your employer will almost always have specific policies about how you can use your company vehicle, and these rules aren’t just suggestions either. Some companies allow personal use during evenings and weekends, but you may find that some restrict the car strictly to business purposes. You might be allowed to take it home each night, or you might need to leave it at the office depending on why it’s utilized. It’s usually the former of course, but you don’t want to be caught out.

That means you should always take time to read through your company’s vehicle policy thoroughly, and don’t be afraid to ask HR or your manager for clarification if something isn’t clear. Remember that most companies also have restrictions on who can drive the vehicle, so make sure you know if your spouse or other family members are covered.

Track Mileage & Fuel Honestly

Most companies require you to keep records of your business versus personal mileage, and this isn’t just paperwork, because such records affect tax implications for both you and your employer, so you need to be accurate. If you keep a simple logbook in the car or just track your digital receipts that can be enough, but you may also need to jot down your starting mileage, destination, and purpose for each trip depending on how strict the company is.

If your company provides a fuel card, which is likely, use it responsibly and keep track of what you’re spending. Some employers set monthly fuel allowances, but they may expect you to cover personal fuel costs yourself. Getting this wrong can lead to you needing more conversations about reimbursement or having money deducted from your paycheck. It’s good to know how that works so you don’t get stung.

Keep The Vehicle In Good Condition

A company car isn’t your personal vehicle, so treating it with respect is a pretty important basis of professionalism and consideration for the next person who might use it. That will often require keep it clean inside and out, not smoking in the vehicle, and being mindful about what you eat or drink while driving.

You’ll also need to stay on top of maintenance like oil changes and tire replacements when they’re needed. Also, most companies have preferred service centers or maintenance schedules they want you to follow to ensure the car is always working when you need it, so don’t wait until something breaks to address it, because maintenance is much cheaper than emergency repairs, and your employer will appreciate your proactive approach.

Know What Insurance Covers & What It Doesn’t

Company car insurance will most often cover business use and may extend to personal use, but the details matter and you always need to check it. It will also help you understand what happens if you’re in an accident, not to mention what your deductible responsibilities are, and whether you’re covered for problems like theft or vandalism (this is usually the case).

Some policies have geographic restrictions though, so if you’re planning to take the car on a long personal trip or across into a new country or perhaps state, check that coverage and talk through it with your employer. You should also know what happens if you lend the car to someone else, because most company insurance policies don’t cover unknown drivers, which could leave you personally liable for damages. It’s generally not worth doing.

Avoid Using The Car For Restricted Trips

While they can’t always prove it, using your company car for side jobs, rideshare driving, or other earning efforts that aren’t part of your employment is usually restricted ,and may even void your insurance coverage and put both you and your employer at risk legally and financially. You might not think they’l find out about it, but it’s not worth risking.

Sure, the guidelines can be different between companies, so what was acceptable at your last job might not fly at your current one. But if you’re unsure whether a trip is appropriate, ask first. It’s much better to get permission than to apologize later, and that goes tenfold if something goes wrong during an unapproved trip.

Stay Professional When Driving On Business

Remember that you’re representing your company whenever you’re behind the wheel of that vehicle. This means following traffic laws religiously, avoiding road rage situations, and parking considerately. Your driving behavior reflects on your employer’s brand, and poor driving can damage business relationships.

If you’re visiting clients or attending business meetings, your car becomes part of your professional image. Keep it clean and presentable, and consider how you park and where you choose to stop. A company car covered in mud or parked poorly at a client’s office doesn’t send the right message about your attention to detail.

Report Issues With The Car Immediately

Don’t try to handle car problems yourself or hope they’ll go away on their own, because most companies want to know about mechanical issues, accidents, or damage as soon as they happen, not weeks later when the problem has gotten worse. Remember that the car is usually their property. It’s the same logic you’d have as a private tenant reporting maintenance issues to a landlord, it’s usually on them to fix it.

This includes minor scratches and dents to the warning lights on the dashboard. Many employers have routines for handling repairs and may have relationships with certain service centers or body shops as we mentioned. Some companies are exploring the electric car scheme for their fleets, so if you’re having charging issues or other electric vehicle concerns, make sure to communicate those as well.

With this advice, we hope you can more easily become a better company car driver, and enjoy your complimentary set of wheels too.

This is a Take to the Road Collaborated Post