Posted By Jane Richards Hi Our employees are requested to have business insurance when using private cars for business work What are the potential outcomes if a staff member is stopped by police and does not have adequate insurance and how does this affect passengers that may also be travelling with them on work business? To have a definitive answer on how they may be affected would be useful to help with actually getting this information for checking!! Thanks very much

Posted By David Matthew Jane, Just to clarify, are you saying that employees are using their private cars for work purposes but haven't insured them for this use? Regards, David

Posted By holmezy Jane, If employees are using their own vehicles for work activities then they should arrange "business use" through their insurance company. Levels of insurance would depend on type of work activity. Nice, caring companies have been known to reimburse this cost either directly or via payment for mileage,wear and tear, insurance etc. In reality,if the police did stop an individual, I cant imagine them asking for specific insurance for business use, they would expect, and be upset if no insurance could be provided at all. Of course, as with many things related to H+S and insurance, IF he was involved in an accident, it wouldn't be the Police that got upset, it would be the insurance company who may take the view that he wasnt covered for business use, so wont pay out. Soon be beer time. Holmezy

Posted By Colin Reeves Original question asked for consequences - answers so far have all been related to the police and criminal sanctions. However, although you did say "employees are requested", it may also become a contractural situation and result in disciplinary action. Colin

Posted By Pete48 If an employee knowingly uses a vehicle for business purposes without having obtained cover for business use then they are NOT insured for that activity; in the event of an incident or routine stop they would risk being prosecuted for driving a vehicle without any VALID insurance. Without any valid insurance, they have no cover for any motor related events that might occur, whether to themselves or any affected third parties. There are no obvious criminal consequences for the passenger but clearly they will not have the "comfort" of insured risk protection for any civil claims. Many if not most companies now have formal systems that firstly advise employees on their duties in this regard and secondly support that guidance with some form of checks such as visual checks of insurance, driving licences, signed declarations at each mileage claim etc. Since the above systems are fairly obvious and simple to put into place, the employer who chooses not to do so may have to answer for their decision in either court.