Car Accident in Company Car

Jnr202 on 27/11/2015 - 09:42
Last edited 27/11/2015 - 09:58

Hey guys,

Need some advice as to what my options maybe.

I work for a company as a technician travelling to rental properties all over Victoria. I'm supplied a company car to do this.

Recently the company has raised their excess from $500 to $2500 claiming that they were not going to be insured unless they did this.

Murphy's law has kicked in and I've had a car accident resulting in $2300 in damage and repair to company logo/stickers. Company basically says I have to cover anything up to $2500 or claim insurance and pay excess.

The problem is, we are not highly paid. The company says in these situations they deduct the money over 4 fortnight pays to pay for the damage. Which totals about 40% a fortnight.

Do I have any options to reduce this payment or is their excess to high basically pushing their staff between a rock and a hard place?

Just to add the accident only involved my car.
Any advice would be helpful.

Thanks

Automotive

Comments

  • snappy1234 on 27/11/2015 - 09:53
    +64

    Find another job.

    • kolorijo on 27/11/2015 - 10:34

      This^

    • Jnr202 on 27/11/2015 - 10:37

      The Mrs said this as well. Still required to pay for the crash.

      • cypher67 on 27/11/2015 - 10:43
        +40

        You're not required to do anything. Unless it is written in your contract that you will pay it then you can just walk away. Only reason you would pay it is you want to remain on good terms with your employer.

        • webtherapist on 27/11/2015 - 16:47
          +45

          company car, company's expenses unless you did it deliberately, your company is honestly an ass

      • CLoSeR on 27/11/2015 - 19:29
        +36

        You need to put in a call to the Fair Work Ombudsman.

        • JH100 on 28/11/2015 - 17:31
          +7

          ^This.

      • Serapis on 28/11/2015 - 23:07
        +5

        Read:

        Permitted deductions and Vicarious Liability

  • cypher67 on 27/11/2015 - 09:57
    +4

    As to whether it is legal for employers to require employee drivers to pay an excess on their insurance, may vary slightly from state to state. However, as a guide, the NSW Law Assist website provides as follows on this issue:

    "An employee who causes an accident while they are driving for work may be responsible for the damage caused to their employer's car.

    If the employer's car is insured and the employer claims on that insurance policy, the employer's insurance company can't then claim against the employee for the amount they paid to the employer for the claim.

    If the employer has to pay an excess to the insurance company, they may, in some circumstances, be able to claim it back from the employee.

    If your employer is asking you to pay their excess, you should get legal advice."

    It will vary from case to case because it may depend on how and why you were using your employer's vehicle at the time of an accident and whether you had their permission to be using it for that purpose.

    Generally speaking, I doubt there is anything preventing your employer from getting you to agree to pay the excess if you have an accident that is your fault. The high amount of the excess is something you would have to speak/negotiate with your employer.

    • Jnr202 on 27/11/2015 - 10:00

      I'm in vic. Accident occurred whilst at work performing work duties.

    • Baysew on 27/11/2015 - 10:43
      +3

      One of my workers had an accident ​​​in a car belonging to my business. I think she was at fault. Now the owner of the other car is demanding that I pay for their repairs. Am I responsible?

      You may be responsible for the damage caused by your employee. An employer will usually be responsible if the employee was using the car for a work purpose in a way they were authorised to. An employer may also be responsible where the employee is authorised to use the car, but is using it in a way they are not authorised to do, such as driving in an unsafe way.

      An employer is not responsible if the employee was using the car for a purpose that was outside the 'scope of their employment'. This means that the employer usually won't be responsible if the employee was using the car for their own reasons. Whether or not an employer is responsible will depend on the facts of each case.

      If you are an employer and you are not sure if you are responsible for the damage caused by your employee, you should get legal advice.

      From the same NSW Law Assist website

      • cypher67 on 27/11/2015 - 10:47
        +5

        Yeah, if it was during work hours and you were doing work duties, the employer is responsible for you and the car. It really comes down to if you want to piss off your employer and get lawyers involved. If you can, just walk away.

      • Jnr202 on 27/11/2015 - 10:57
        +1

        Does this apply to Victoria though? Who could I contact to confirm this? I don't know where to start atm

  • ESEMCE on 27/11/2015 - 10:23
    +18

    Yeah this sounds suspiciously dodgy on behalf of your employer.
    The fact they expect you to cover any excess is very poor form if not outright illegal.
    The fact that they've saved themselves money (in insurance premium) by electing to put more risk on to you is even more poor.
    I'd start looking for a new job!

  • indium on 27/11/2015 - 10:24
    +13

    Recently the company has raised their excess from $500 to $2500 claiming that they were not going to be insured unless they did this.

    Sounds like BS. There are many companies to choose insurance from and typically the higher the excess the lower they are paying per year for the insurance. Sounds like they are cutting corners and putting it on the staff when something goes wrong. I don't know your legal rights but $2500 excess sounds unreasonable.

    • Jnr202 on 27/11/2015 - 10:34
      +3

      This is what I think too. Idont mind paying for an accident that was my fault. But to have excess go from $500 to $2500 claiming the company was un-insurable due to the amount of accidents from the year prior is very rough. But there is no way of me proving this.

      • ESEMCE on 27/11/2015 - 10:45
        +10

        Insurance is part of the cost of doing business especially when you have company cars. That cost should not be pushed onto the employee without adequate compensation.
        I'd question whether it's even legal for them to push it onto you at all.
        If it was your car and you were working as a contractor, different story.

      • donbot on 28/11/2015 - 08:18
        +10

        I manage our insurances and broker relationship at my work… Our motor policy is for approx 40 vehicles.

        A few years back, our claims history was horrendous (claims costs 2.5-3.5 times our annual premium).

        Literally no insurer wanted us as the risk was too great. Our incumbent insurer was the only one that would, with a hefty premium jump (double) and our excess going up to $2500 from $750.

        I've seen first hand that its definitely not BS where your employer has a poor claims history.

        Edit: having said that, we do not push excess onto our drivers.

    • Jnr202 on 27/11/2015 - 10:56

      So the accident occurred in Geelong a few weeks ago whist the weather was terrible. I was performing a u-turn at an intersection. I preformed the turn at the lights assuming there was no more median strip. There was and I went over it. I have put a claim into vicroads as the 'keep left' sign that is meant to be standing on the extra bit of median strip after the lights had been knock down previously so I was unable to see the strip. However fighting vicroads will more than likely result in a loss.

      • geek001 on 27/11/2015 - 11:20

        Sucks man.. hard to avoid accidents in terrible weather. So is the $2300 damage to the car or the median strip?

        • Jnr202 on 27/11/2015 - 11:22
          +1

          Unfortunately the car. The median strip survided as its made to do. I noticed vic roads there the next day putting back up the sign that was meant to be there.

        • geek001 on 27/11/2015 - 11:34

          @Jnr202: Probably too late now, but you can probably ask around to see if anyone can fix it for cheaper. I am not sure what you can do regarding the $2300 bill, maybe talk to your employer and see if they are willing to cover half of it? I mean 40% of your pay will probably put you in financial hardship. Regardless of what they say, then at least you know how much/little the company values you as an employee and act accordingly. Talk to Legal Aid like others have mentioned to see what your legal options are with both your employer and Vic Roads. Threaten to go to the media, government organisations don't like that. I have a friend who had sewerage come up from their toilets and damaged their house. Yeah I know, big eww… The water company initial response was that they were not responsible for people throwing stuff down their pipes and blocking the sewerage pipes. Anyway, the water company agreed to compensate them after they threaten to go the media. I think if it is not a big claim, they will just settle with you. $2300 is really small compared to Vic Road's budget.

      • emibel19 on 27/11/2015 - 19:47
        +2

        I didn't know it was legal to make a u-turn at an intersection controlled by traffic lights in Victoria (unless a sign indicates otherwise). In SA, it's the other way round; illegal unless a sign says otherwise.

        • picket23 on 29/11/2015 - 06:59

          Yeah illegal in the NT as far as I'm aware too

  • Jnr202 on 27/11/2015 - 11:12
    +1

    So this is the email we received and were told to sign. Can't remember if I sign it.

    Every staff member that drives a company vehicle is required to read, understand and sign the Motor Vehicle Policy prior to driving a company vehicle. If you have not signed this document, see your supervisor immediately. You are not permitted to drive until you have read, understood and signed this document.
    Part of the Motor Vehicle Policy identifies that the staff member driving the car is responsible to pay any excess due if they are involved in an accident and are at fault or where an excess cannot be obtained from another party if the other party is at fault.
    The excess payable up to 30 June, 2014 was:

    Standard excess (everyone to pay)- $550
    If aged between 21 and 25 – standard excess plus an additional age excess $550
    If aged 21 or under – standard excess plus an additional age excess of $1100

    Due to the excessive and very costly vehicle accidents that occurred between 1 July, 2013 and 30 June, 2014, our insurance policy premium has increased dramatically, and our excess has increased dramatically.
    From 12.00am on 1 July, 2014, the excess payable for a motor vehicle accident will be:

    Standard excess (everyone to pay)- $2500
    If aged between 21 and 25 – standard excess plus an additional age excess $550
    If aged 21 or under – standard excess plus an additional age excess of $1100

    If we all work to reduce the number of accidents, we are advised that this excess may reduce to lower levels in the years to come.
    By signing below I understand and agree to the changes in excess outlined above.

    • tomsco on 27/11/2015 - 13:40
      +1

      Not sure on the law in relation of if they can pass the cost on to you, but…

      Just because they get you to sign a contact like that does not mean it will be enforceable. Basically, if it has been determined that employers are not allowed to pass on the cost to employees driving in a car they are authorised to drive, during work hours, doing their required tasks, than that contract is not worth the paper it is written on.

      • ninetyNineCents on 28/11/2015 - 21:09
        +4

        Not to mention a disadvantage has been given to the employer without compensation or some form of negotiation.

    • garetz on 29/11/2015 - 12:10

      that does not look like a contract at all, it just looks like an amendment to their company policy, if you are signing it, i would assume legally, that it just means you are confirming that you received and read it, not that you agree to be legally bound by it.

    • infinite on 29/11/2015 - 13:26
      +1

      The policy is worthless regardless of if you signed it. No policy or even contract can ever actually over-rule the actual law. It's a complete and utter slam dunk of an issue, where your employer is 100% liable to the law of vicarious liability. You are not liable to pay a cent. Speak to any one at your state's Fair Work equivalent and you'll be advised exactly why.

  • elvino on 27/11/2015 - 11:14

    It really comes down to whether you broke the law, or are guilty of serious negligence. You also need to check your employment contract to see if there are any clauses in there for the payment of excess etc.

    There is nothing stopping the employer from requesting the excess from you, but the amount could be negotiated. As an aside, you could argue that the excess is far in excess of what you would pay if you insured your own vehicle, bearing in mind that they are requiring you to drive their sign written vehicle for marketing etc.

    EDIT: Just saw the above that you have clearly received

    • Jnr202 on 27/11/2015 - 11:19
      +1

      I would assume I signed it but not 100%. Basically that email forces me to sign it or not work their so its not like there's a choice when I need work. At the time I was casual so needed work. Not I'm full time.

    • Jnr202 on 27/11/2015 - 11:35

      Absolutely. I'm not arguing the fact I damaged the car and I said I'm happy to pay, I'm just to gain advice weather the ridiculously high excess is allowable and weather costs can be reduced. Unfortunately I'm not made of money.

      • whooah1979 on 27/11/2015 - 11:37

        How old are the majority of drivers in company? Under 25?

        • Jnr202 on 27/11/2015 - 11:52

          Yea I'd assume under 25

        • ykwon10 on 27/11/2015 - 11:53

          @Jnr202: if its under 25, I am not surprised your company has such high excess

        • ESEMCE on 27/11/2015 - 12:01

          @ykwon10:
          There's an age excess on top of the high excess.

        • whooah1979 on 27/11/2015 - 17:16

          @Jnr202:

          is this your first time?

        • Jnr202 on 27/11/2015 - 18:32

          @whooah1979: yea first accident in a company car.

      • tomleonhart on 27/11/2015 - 13:53
        +1

        Sorry to be an a** crack but it's whether*

        • Charity on 29/11/2015 - 03:30
          +2

          OP is focusing on his accident that happened during bad weather.

          Spelling is not a high priority to him at the moment; OP probably feels like a confused wether already.

          His main concern is whether or not he has to pay the insurance excess.

          BTW, One question OP, why is insurance even getting involved at all when the excess exceeds the coverage??
          ($2300 damage < $2500 excess + inevitable premium increases)… just worked it out as I was typing…
          Employer can arguably make you pay the excess yet has 0% chance of making you pay for the actual repairs without insurance. Bingo, right?! Quit!

        • Jnr202 on 29/11/2015 - 10:10

          @Charity: insurance isn't involved at this time. I have the choice to pay $2300 or go through a claim and pay $2500. My anger is with the extremely high excess. This should cost me no more than $500 but know the excess was raised so high that we are stuffed either way.

      • SlickMick on 28/11/2015 - 12:28

        It's a tough call. On one hand, people need to be accountable. I'm sure some people would drive less responsibly if there was no potential cost to themselves. On the other hand, I don't want to take any responsibility on behalf of a company. Eg would you have been driving personally in those conditions?

        I don't consider the excess to be ridiculous - I max out the excess for all my insurance because I don't intend on claiming, but can't risk that slight chance of something terrible happening.

        Sorry, no help I know, but just a bit of perspective.

    • ykwon10 on 27/11/2015 - 11:40
      +1

      I think OP is asking ways to reduce payment rather than getting away with payment.

  • cyrax83 on 27/11/2015 - 12:19
    +11

    I wouldn't pay. Car accidents should be covered by them. It's part of your job to use the car. If they refuse, just quit. Sounds like they are taking advantage of people who need a job

    • diddy50 on 29/11/2015 - 09:28
      +1

      Easy to say just quit, have another job for him? He might need this job. So that's a hard call.

  • Jnr202 on 27/11/2015 - 12:57
    +1

    Just another question. Would I be able to claim this on tax? I'm guessing it's an expense arising from making an income?

    • ESEMCE on 27/11/2015 - 13:06

      You'd need to speak to an accountant, but I agree.

      • ChickenTalon on 27/11/2015 - 21:10

        Find out if the employer is taking the money out of pre-tax or post tax income.

        I'd assume pre-tax. In which case there is nothing to claim. But definitely check this.

  • snook on 27/11/2015 - 13:29
    +4

    Their premiums may have gone up BUT, they have most definitely reduced them by increasing the excess. That excess is worse than rental car excess and it's a dirty move but when people are desperate for work, they'll accept anything.

    The issue with this that I see is you signed the agreement.

    So you need to ask whoever knows about this (who in Victoria do you go to?) whether that was ok of them to ask (you to sign) or not. If it was, you signed it, and it's done. If it wasn't, then whole new ball game eh :)

    • Jnr202 on 27/11/2015 - 13:40

      Yea this is my thinking, but wouldn't have a clue who to ask to see weather it was legal of them to inforce such a cost

    • tomsco on 27/11/2015 - 13:42
      +4

      Exactly. You can't contract an employee out of their basic entitlements/protection.

      • TheBird on 28/11/2015 - 09:55
        -3

        I'm relatively sure you can, though it cannot be one sided. There usually needs to be some Quid Pro Quo for the contract to be binding.

        • tomsco on 29/11/2015 - 22:54
          +1

          https://www.fairwork.gov.au/awards-and-agreements/employment…

          An employment contract cannot provide for less than the legal minimum set out in:

          the National Employment Standards (NES)

          awards, enterprise agreements or other registered agreements that may apply.

          All employees are covered by the NES, regardless of whether they’ve signed a contract. A contract can’t make employees worse off than their minimum legal entitlements.

  • Wampus on 27/11/2015 - 15:16
    +5

    I work for a multinational company and manage techs who drive company cars on a regular basis. There have been some minor accidents about the level you're describing. My company has NEVER asked its employees or even its contractors to pay a cent towards excess, whether or not they are at fault. If you did something incredibly stupid you might run the risk of having your contract terminated, but you'd never have to pay for the car.

    I can't help you with the legalities of this 100%, but I'm pretty sure it's illegal to charge you for it. I'm in QLD but my company is in every state.

  • Mrgreenz on 27/11/2015 - 16:27
    +4

    I would open up by saying you never agreed to pay 2.5k excess. See if they even have your signature on it.

  • userid007 on 27/11/2015 - 17:18
    +2

    so if some employee works on a millon dollar equipment(eg: air plane) and there is a excess for claiming the damage , how funny and irrelevant it looks when you are asked to pay a million $ excess when your salary is 5k a month….

    • ThadtheChad on 29/11/2015 - 13:22

      ^^ Precisely my thoughts.

      Having worked in large organisations; with gear costing several-fold my salary, I would be absolutely buggered if somehow I was held "financially responsible" for accidents within reason.

      I would have thought that these costs (insurance excess; costs of replacement etc) are part of the cost of doing business. An 'OPerational EXpense' (OPEX) that is catered for in the financials of the company.

      Why in the f****** world would they make an employee pay for reasonable damages to equipment incurred as part of their regular duties? If the company's claim history is poor which results in an exorbitant excess, the financial burden should not be shifted to the employees.

      An apt analogy would be a company making employees pay for "business support" for hardware of their workstation/laptop fleet. Or, making airline pilots pay for the cost of maintenance of the aircrafts.

  • cantstanzya on 27/11/2015 - 18:29

    Take this job and shove it

  • CLoSeR on 27/11/2015 - 18:57
    +6

    Nup, regardless of fault your company should pay the excess.

    • whooah1979 on 27/11/2015 - 19:06

      I've had a car accident resulting in $2300 in damage
      Company basically says I have to cover anything up to $2500 or claim insurance and pay excess.

      the the employer is asking op to either pay for the damage or pay the excess. may op can ask their employer if op can find repairer that can do it cheaper.

      • CLoSeR on 27/11/2015 - 19:25
        +1

        Yes I am aware, it is not right for the company to dock his pay for damages or excess. Company car, driven on company business during company time they are liable for any damage regardless of at fault driver. This is the first time I've heard such a ludicrous thing; all companies I have worked for paid for any damage under excess or claimed insurance for any accident.

        • ThadtheChad on 29/11/2015 - 13:23

          Absolutely. Seems like the employer is absolutely scum.

  • Vieira4 on 27/11/2015 - 19:23
    +2

    Strewth ! What's next? They will be asking you to pay to fill up the tank next, or pay for the servicing, and new tyres !
    Poor form from this employer.

  • Lequ83 on 27/11/2015 - 19:33
    +6

    Don't agree to pay. BTW they cannot legally deduct money from your pay without your agreement.

  • jlogic on 27/11/2015 - 19:37
    +5

    Poor form. The vehicle is a tool of trade. If the OP consistently has accidents then different story. Once off one like this company should wear this.

    I smell some smart ass cost cutting account/manager thought of this you beaut scheme to raise the excess to lower premiums and boom almost immediately it hasn't paid for itself.

  • Jnr202 on 27/11/2015 - 20:03

    It's a tough one to work out. I've never worked for a company driving a company car so I just thought this was normal. I'll give fair work a call and see what they think.

    Work has said that I can find another repairer for the damage but the company labels are done by a particular company and that makes up $850 of the $2300.

    • WhyAmICommenting on 29/11/2015 - 22:53

      Any chance your own insurer will cover it?

  • tryagain on 27/11/2015 - 20:29

    I'd probably start by telling them you don't remember signing their motor vehicle policy and see if they come up with one you have signed, without signing it I am pretty sure they can't make you pay. Either way I'd contact Fair work to see what they say but I suspect that it will depend on if you have signed it or not.

  • Hirolol on 27/11/2015 - 20:46

    Sounds like the insurance company has offered two premiums.
    An expensive one which means less excess incase of an accident
    Or a lower premium which means a higher excess.
    Stating that they cant get insurance if they dont agreed sounds like total bs.

    Maybe you can workout a compromise and pay half?
    If they werent willing to agree then its time to find a new job.
    As you were using the car for company matter in company time i think any reasonable person would agree to go halves.

    • [Deactivated] on 27/11/2015 - 22:42
      +1

      Stating that they cant get insurance if they dont agreed sounds like total bs.

      Why does it sound like BS? OP caused $2,300 damages by driving over a median strip. OP's company claims there were "excessive and very costly vehicle accidents".

      Insurance companies are in business to make money, not give it out. Too many claims and it's very likely the insurance company would tell the business to cough up a lot more or get lost.

      • BartholemewH on 28/11/2015 - 00:30

        I don't think it's very likely at all. One of our sales reps rolled a $70k van at 100k's an hour last month to give you an example. We are a SME and there is no way our insurers would 'force' us onto a higher excess. It is a cost cutting measure and is designed to foist the liability onto the employees.

        • [Deactivated] on 28/11/2015 - 00:54

          Have you had many claims per year?

        • BartholemewH on 28/11/2015 - 23:47

          @Thrift:
          I'd say 50% of our vehicles have had some sort of claim with kangaroo strikes and what not.

  • [Deactivated] on 27/11/2015 - 23:13

    Don't pay it, they have insurance for a reason.
    They can not force this on you, if it was a fine of some sort like speeding them you would need to pay for the fine but if they can prove it was you.

    Like the first part said look for another job.

  • Randxyz123 on 27/11/2015 - 23:52
    -7

    Hate to say this OP but you had an accident, it was clearly your fault why the hell shouldn't you pay?

    Why should your employer pay for damage you caused??

    • BartholemewH on 28/11/2015 - 00:34
      +4

      Because it's their vehicle and the damage occurred during the course of business. Does the forklift driver pay for the twisted pallet racking he runs into? Does the manager that forgot to turn the alarm on pay for the burglary? Where does the liability for the business begin? Must it be the business owner that causes damage for it do be payable by the business?

  • captobvious on 28/11/2015 - 01:26
    +5

    Can you use the Company credit card to pair for the excess? LOL

  • johncumberland on 28/11/2015 - 09:15
    +6

    The Motor Vehicle policy talks about the employee paying for the $2,500 excess. Since the repairs are less than the excess, you would not involve the insurance company hence payment of an excess is not relevant.

    Does the policy that you signed talk about paying for repairs between 0$ to $2,499 ?

  • johncumberland on 28/11/2015 - 09:19
    +4

    Also, could the signing of the policy be void as you were forced to sign under duress? Ie you were already an employee, they updated their MV policy with terms unfair to the employee. This meant that you had no choice but to agree to the policy or risk losing your job. Several laws are being breached here .

    • TheBird on 28/11/2015 - 09:57

      Absolutely.

  • navegante88 on 28/11/2015 - 09:52
    +1

    Wow, that is absolutely horrible. Can't believe an employer can do this to you. If they don't pay for the excess, they shouldn't have work vehicles end of story.If I was told I had to pay an excess, I wouldn't drive at all. Way too risky.

  • nanonoise on 28/11/2015 - 11:52
    +4

    It's pretty damn scummy. I would be seeking legal advice. I would also be looking at the National Employment Standards https://www.fairwork.gov.au/pay/deducting-pay-and-overpaymen…

    An employer can only deduct money if:

    the employee agrees in writing and it’s principally for their benefit
    it’s allowed by a law, a court order, or by the Fair Work Commission, or
    it’s allowed under the employee’s award or registered agreement.

    This first I would think is out, it doesn't benefit the employee. The second, well is there a law that says yes specifically? and as there has been a separate memorandum to sign I doubt the third applies. All pointing me to seek legal advise…and to start looking for another job.

    Maybe start with a phone call to: https://www.fairwork.gov.au/contact-us/call-us

    Also, were you injured in any way?

  • Sweetnsour on 28/11/2015 - 13:21

    Now I know why some companies allow work cars under lease or travel via taxi. So ownership/onus would be onto the drivers.

  • JH100 on 28/11/2015 - 17:38
    +3

    Tell your boss you're going to ask ACA to look into it?

    • mrham on 28/11/2015 - 22:48

      This works..

  • ninetyNineCents on 28/11/2015 - 21:02

    If your required to pay excess do they also give you the no claim bonus ?

    Ask them are all other techs getting the no claim bonuses for xmas and retrospectively for all years everyone has worked.

  • gstfree on 28/11/2015 - 21:50

    Do not agree to salary deduction. Your boss can not deduct your salary without your approval. (In the worst case for example, they overpaid you, they can't deduct from next pay without your consent).

    Tell your boss you were travelling for work while the accident happened. You should not be liaibe for anything. In case your boss insist you have to pay, then tell your boss that you will notify Worksafe and report accident while working.

    In the mean time, find another job.

  • xsacha on 29/11/2015 - 09:49
    +2

    This business is in a whole world of hurt. Even mentioning you are getting anyone involved should make them change their tune. They did so many dodgy things it is difficult to count.

  • eggboi on 29/11/2015 - 10:45
    +1

    The company's insurance costs have gone up as a result of claims by the company. this is the OP's first accident in a company car, why should he have to pay a huge excess because of other people's accidents? screw that. if the drivers are being forced to pay insurance excess, it should be based on each driver's rating. but even then, the company should pay because its a company car being used for work purposes by an employee.

  • gravel on 29/11/2015 - 13:51

    You are not responsible to pay anything assuming you are an employee ( not a contractor ), which you say you are. As long as you were working at the time of the accident and were authorised to drive the car. It is the same as an employer asking an employee to pay for any tool you break that used in your work. As long as it was an accident i.e. you were not doing wheel spins at 150KPH, they have to pay. If you loose your job as a result I suspect there would be a claim for unfair dismissal. You would need to check this. Employees in some restaurants are asked to pay for customers that do a " runner " this is BS and similar to your situation.

  • zealmax on 29/11/2015 - 17:34

    Employee paying for the excess for a company car? This doesn't add up in my head. The company gives you a tool to do your work, they are aware of the risks before they gave you the tool, and hence insurance was taken out. Unless you were blind drunk when the accident happened, I wouldn't of thought you would be liable for the excess.

  • stephendt on 29/11/2015 - 20:03

    I'm more interested in the specifics of the crash. What if the car was being used for private use at the time of the crash? Or if the employee was breaking laws (speeding, etc)? I could understand this would be tricky if this was the situation.

    • Jnr202 on 29/11/2015 - 21:49

      Crash occurred performing a u turn during work hours on the way to my next job. Nothing illegal involved.

      • eatwell365 on 30/11/2015 - 12:28

        did you file an incident report and have a health check after the accident? just in case. You have physical and psychological damage from the car accident during work hour.
        unless you drive without a valid licence or DUIA, I do not think the employer can ask you for damage even you are at fault in an accident. Exception is that you have agreed and signed some "stupid" car policy.
        honestly, if a company is like this, play hard ball and requires you to personally cover the damage, it is not worth to work for in a long run. for the benefit of your health, you may consider to take some paid stress leave when "looking around" and "resolving" the matter.

        • Jnr202 on 30/11/2015 - 12:44

          So yea they have forced us to sign a car policy. Just an update, I've spoken to fairwork. They told me its a workcover or legal matter. Rang worksafe, they said its a fairwork matter as no one was injured. I don't know what to do.

        • eatwell365 on 30/11/2015 - 13:48

          @Jnr202: can you get a copy of e signed document - any part mention about worker's liability on car/property damage?

          Tell us - then decide the next move based on your desire to continue to work there or not under the condition.

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