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Thread: Question on Company Cars

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    FORT Fan syd18's Avatar
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    Question on Company Cars

    My husband works for a construction company where employees are paid hourly, not subcontractors. Most of the employees drive themselves, but they also have company trucks. An employee got two nickel sized dings in the truck, and was told today that he would have to pay the cost for repair, well over $1000. Is this legal? It would seem to me that being a company truck, the company takes the chance allowing employees to drive the vehicles, and any repairs should be paid for by the company or the insurance company. I was just curious and couldn't find any information on this, so thought I'd ask for opinions. Thanks!

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    Lab Eating Man agamergirl's Avatar
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    I really don't know. Maybe it's like when it's a leasing situation? Don't you have to pay for things then?
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    Wonky snarkmistress Lucy's Avatar
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    I'm no expert on this, Syd, but I would think the company would be the one responsible for repairs -- it's a company-owned truck, the company has to have insurance on them, so I'd think like you, that it would be on the company's insurance to cover it. I mean, the POINT of a company car is for employees to drive it.

    I'm pretty sure that in my paperwork at my own office, I signed some sort of explanation of the company's policy on company cars. Your husband's company probably has something similar -- maybe this guy could go to human resources and find a copy of it? They have to have had their policy in writing somewhere.
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    Scrappy Spartan Broadway's Avatar
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    With my company, it's most definitely an insurance claim. I would think that would be a no-brainer for any company that has insurance on their vehicles.

    Then again.... that might be the issue. What type of insurance does this company keep on their vehicles?

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    Trouble in my life just1paul's Avatar
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    Any place I've ever driven a company vehicle, the only thing the person driving is responsible for is any tickets, speeding, parking, accident. But any damage to vehicles is usually paid by the company or its' insurance carrier. This sounds like the company has a 1,000 deductible and they don't want to pay it.
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    FORT Fogey misskitty's Avatar
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    I agree with the other posters.

    Whenever I drove a company vehicle, I was only responsible for driving tickets if I incurred any. However, one time I did get several parking tickets in a row because I was on a stage and couldn't get off to plug the meter or move the van. But the company paid for it because it was incurred so I could conduct business. I didn't have any choice of where to park or how long I could park there that particular day.

    I also believe that the company's insurance company should pay for any damage incurred to the vehicle. It only makes sense,...that's why it's called a company car?
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    Premium Member canuckinchile's Avatar
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    Depends on the company. We have had a truck that all maintenance and even gas was paid for (those were the days). Now (different company), the lease is paid but we are responsible for all maintenance etc. I agree with Gabriel that it sounds like the company has a very high deductible that it doesn't want to pay. Also, was it his fault, or parking lot damage and did he file a police report etc.? $1000 sounds like a lot to me.

    eta: Also, it depends what it says in his contract, if he has one, or what it states in the company policies.
    Last edited by canuckinchile; 01-17-2006 at 09:12 AM.

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    FORT Fogey Pyramid Solitaire by Disney's Tangled Champion combatcutie's Avatar
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    I work for an insurance company. It seems to me that the company has $1000 deductible. Accidents are covered under the insurance, just like vandalism.
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    FORT Fanatic imajunkie2's Avatar
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    I am wondering if the person driving was conducting business when it happened? Or was he using the vehicle for personal business at the time the damage happened?
    My hubby works for a company where the guys have a company trucks to work in the field with. Personal viehical to the shop and then into a company vehicle. Anyways a big boss is up right now and showed him the cost of fixing their trucks (maint, dings, bodywork from accidents etc) My hubby's was 26,000 last year and another guys was 110,000. Needless to say, if they even thought about making us pay, he wouldn't be working there.

  10. #10
    FORT Fan syd18's Avatar
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    Thanks for all the input. I am just curious how a company could do this. I might have to dig out my husbands company handbook. I know the dings were on company time, employee fault. The charges are actually close to $2000 they are charging him. Which is at least a months salary!

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