7 October 2024

Risky business: One in six drivers skipping insurance for work miles.

A growing number of drivers who use personal vehicles for work-related travel, known as ‘grey fleet’ drivers, are at risk due to a lack of proper insurance coverage. Recent findings reveal that one in six (16%) of these drivers have failed to inform their insurance providers about the business miles they drive, while an additional 6% are unsure if they have declared it.

This failure to disclose work-related driving puts drivers at significant risk, as standard car insurance policies typically do not cover business trips, especially those that involve multiple client visits or work sites. To be adequately covered, drivers must upgrade their insurance policies to include business use or be part of a company-provided insurance scheme.

The problem is compounded by the fact that many drivers may also be underestimating the distances they travel for work. While 75% of drivers claim to have informed their insurers about business miles, 16% admit to underestimating how far they drive. This can create further gaps in coverage, potentially leading to denied claims if an accident occurs during a business trip.

Employers can mitigate this risk by offering insurance schemes, but it is the responsibility of the driver to register for these programs. In some cases, companies may require employees to complete additional steps, such as online learning modules, to ensure they are fully covered.

Drivers who fail to declare their business miles or upgrade their insurance risk being uninsured during work trips, exposing themselves to legal and financial consequences. At Activa, ensuring employees properly report business miles is key to protecting both their safety and the company’s interests.