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Small businesses ignore duty of care issues

More than 80% of small business owners are unconcerned by the risks of private cars for business.
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24 October 2007

Small business owners believe risks associated with using private cars on business are not relevant to them. That’s according to a report from Arval.

Over 62% of business owners said they didn’t feel at risk from duty of care. While 20% said their businesses were not exposed to any risk – such as the forthcoming Corporate Manslaughter legislation.

Yet small businesses have more private vehicles being used for business than any other sector. Which could leave them open to legal action through negligence and failure to meet duty of care obligations.

These include ensuring cars are covered by business insurance; are roadworthy; and that drivers have the appropriate driving licence.

“We think small businesses believe they are not at risk, because there’s a lack of awareness of the issues,” commented Corrine Harrison, head of small business services, Arval.

“They are a very capable bunch of people running their businesses well. But they need more communication and advice on the issues they potentially face, which could be very serious,” she said.

Among the report’s findings were:

Small business fleets using private cars on business

  • Only 20% conducted MoT checks
  • 58% do not conduct insurance checks
  • Only 13% check that a vehicle is regularly maintained
  • Less than half provide rental cars as an alternative

Source: The Grey Fleet – the origins, risks and impact of non-company car business driving in the UK, by Arval.

More information

We’re not at risk of prosecution reckon business owners

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Ralph Morton

Ralph Morton

Ralph Morton is an award-winning journalist and the founder of Business Car Manager (now renamed Business Motoring). Ralph writes extensively about the car and van leasing industry as well as wider fleet and company car issues. A former editor of What Car?, Ralph is a vastly experienced writer and editor and has been writing about the automotive sector for over 35 years.

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