Invalid grey fleet insurance warning after analysis highlights issue

One in five grey fleet checks fail, with nine in 10 of these failures due to lack of appropriate insurance cover for driving private vehicles for work purposes, new analysis suggests.

Fleet and driver management expert, TTC, which carried out the analysis of the grey fleet checks it undertakes, says that, with around 14 million people now choosing to use their privately owned vehicle for work instead of a company car, the data highlights a significant number of drivers and the businesses they work for, are neglecting their duty of care.

Business car insurance covers a private car driver to use their car for any work-related purposes, over and above commuting. This includes visiting clients, travelling to meetings or moving between sites.  

It is the responsibility of the driver to ensure business insurance is in place.  

In addition, throughout the UK, it is a legal requirement under the Health and Safety at Work Act for any grey fleet vehicle to be verified roadworthy and legal by the driver’s employer.

Organisations must be able to evidence that their grey fleet employee holds a valid driving licence, business insurance, vehicle MOT and that the vehicle is taxed.

Jim Kirkwood, CEO of TTC, said: “While many businesses are following their duty of care and being responsible, a significant number are failing to do even the most basic checks on a regular basis. And with the UK’s grey fleet on the rise post pandemic, it’s worrying that the one in five failure rate hasn’t improved since we first voiced our concerns back in 2014.

“There remains a fundamental need for companies to employ robust and efficient processes to manage driver compliance, and this includes ensuring their drivers are fully aware the responsibility to have adequate business insurance sits firmly with them personally.”

TTC conducted close to one million checks last financial year, and more than 260,000 in the first quarter of this year.