Every time an employee operates a vehicle while carrying out job responsibilities, your organization faces a specific set of risks. Because of the legal concept of vicarious liability, an employer can be held responsible for the damaging actions of an employee.
Car accidents happen by the hundreds daily in America. If an employee causes one, the company’s insurance could be on the hook. Or, even worse, the company could face a negligent entrustment lawsuit.
This raises one important question:
But those aren’t the only risks associated with people who drive on behalf of their employers, or “mobile employees” for short. State labor codes as well as the federal tax code can create costly complications for companies with mobile employees.
This raises another important question:
How familiar are you with the tangle of laws governing the proper reimbursement of mobile employees for vehicle-related expenses?
When it comes to protecting the company from general liability for car accidents, from negligent entrustment lawsuits, from labor code violations, and from class action lawsuits, there’s no such thing as being too informed or too prepared.
That’s why we at mBurse have created a concise but comprehensive guide to the risks associated with mobile employees. In Mobile Employees and Risk: A “Crash” Course, you’ll find clear and detailed analysis of these risks, along with helpful recommendations of best practices to manage these risks.
Through this eBook, you’ll gain helpful information about
- The level of insurance coverage your employees should carry
- Properly verifying employee insurance coverage
- What qualifies as negligent entrustment, and how to avoid it
- Checking motor vehicle records and using these to the company’s advantage
- Establishing a risk profile for each employee and improving driver safety
- California’s strict labor laws (Labor Code Section 2802) and how to comply
- The Tax Cut and Jobs Act (2017) and how it will impact your company
You can’t prevent car accidents 100%, and you cannot control employee behavior. But you can reduce the chances that a car accident will lead to legal action against your company. You can increase the overall safety of your drivers. And you can make your company fully compliant with state labor codes—it’s not as hard as it may sound.
By fully understanding the kinds of risks you face from vicarious liability, labor laws, and the tax code, you can equip yourself to create policies that will protect your organization in the long run.
Don’t wait for an accident to happen. Don’t wait for a lawsuit to be filed. Don’t wait for your employees to realize that the tax reform may have compromised your compliance with labor laws.
Instead, download Mobile Employees and Risk: A “Crash” Course and learn the steps every company should take to protect itself today.