1. Introduction

[Company Name] recognizes that its employees need for transportation. This policy intends to provide a way to ensure a safe and responsible way of using company cars. The policy outlines the eligibility criteria, usage guidelines, and responsibilities associated with the use of company cars.

1.1. Core Principle

• Driving safely and adhering to traffic laws are important.
• To ensure understand their responsibilities and the consequences of misuse of the company car.
• The policy intends to streamline the process of vehicle maintenance, insurance, and reporting.

1.2. Scope

The policy defines the eligibility of employees who can use a company car. It defines the usage of the company car for personal or business. It outlines the responsibilities of the employee using the car for insurance, maintenance, and reporting any issues such as accidents.

1.3. Purpose

• The purpose of the policy is to provide the necessary transportation to employees so they may perform their respective duties to the company. 
• The policy is to protect the company and mitigate any liabilities and risks related to lending the company car to employees. 
• It is to ensure the use of company cars is transparent and fair.

2. Objectives

The Objectives of the company car policy are:

• To facilitate business operations by providing the necessary transportation to employees.
• To mitigate risk and liabilities to the company.
• To ensure fair and transparent allocation of company cars

3. Eligibility Criteria

The purpose of outlining the eligibility criterion is to define what basis the company car is loaned provided to employees.

3.1. Qualification

Employees who qualify are managers, sales staff, and employees who frequently travel for business purposes. The qualifications can also be extended depending on job roles which can include client visits and transportation of goods. Temporary company cars can also be provided depending on the discretion of company managers and their reason reason for doing so must be recorded.

3.2. Prerequisites

The employee must have a valid driver's license and a clean driving record

4. Usage Guidelines

4.1. Usage Limits

• Employees must report if they are using the vehicle for business use, personal use, or both. 
• There are no restrictions for business or personal use for managers and supervisors. 
• Employees must provide reports on fuel refills(receipts of fuel refilled) and any maintenance done on the company care outside the company.

4.2. Geographical Limits

Geographical limits pertain to the limits the company car may be used within or for a prescribed distance.

• Domestic: Employees may use the company vehicle for business-related travel within India. For personal use by regular employees, travel logs and receipts of fuel must be kept using the inbuilt application within the systems of the vehicle. Employees must inform the company when the car travels for every 10,000KM within the use of the employee.
• International: Vehicles are generally not to be taken outside the country, but exceptions can be made when business trips are required to go outside to neighboring countries (eg: Bhutan, Pakistan, Bangladesh, Nepal, etc). To use a vehicle outside the country prior written approval must be obtained from [Company name ] management and an insurance policy for the vehicle for that specific country should also be prepared if necessary through Company administration.

Note: data may change on the usage and geographical limits as the company needs.

5. Driver’s Responsibility

• Employees have a responsibility to comply with traffic laws and yearly maintenance checks on the vehicle. 
• Maintenance checks include oil changes, brake inspections, etc that are required in the standard maintenance checks. Any issues are to be reported.
• Employees cannot drive while under the influence of drugs or alcohol.

6. Insurance And Liabilities

• All insurance is covered by the company. Employees are only required to renew the insurance policy a month before expiration at the designated facility provided for company cars at the latest.
• Insurances provided by the company include liability, collisions, and comprehensive coverage which includes damage through non-collisions such as theft, vandalism, and fire.
• Any personal coverage if requested by the employee, can be issued through the company but at the employee's cost.

7. Vehicle Maintenance

• Routine maintenance checks and servicing are to be conducted annually.
• If repairs are required the cost and need for the repairs are to be reported. The repair can be carried out at the company’s service facility or any other certified service center in the country.

8. Consequences Of Misuse

The consequences of misuse include:

• If an employee does not comply with the regulations such as repeated traffic violations, failure to comply with regular maintenance checks, and misuse of vehicle. The company can issue warnings and suspension of company car privileges.
• If violations are found to be severe the company may revoke privilege or even terminate employment.

9. Legal Compliance

• Maintain proper documentation of the vehicle at all times to provide to authorities if required. Documentations include car registration, license, insurance documents, documents for pollution, and maintenance checks.
• Ensure the vehicle maintains all regulations regarding tax laws and safety standards like the Carbon Emission test and insurance laws.