Covid-19 Is Increasing Grey Fleet Risk
As we enter the fourth quarter of a very strange year, one of the lesser known impacts of Covid-19 is the increased collision risk on roads in Ireland and elsewhere.
According to An Garda Síochána, 112 people have lost their lives on Irish roads year to date, an increase of eight (7.7%) on the same period in 2019. This is despite a signiifcant reduction in traffic during the past six months.
In the USA, the estimated mileage death rate - fatalities per million miles travelled - for the first six months of 2020 is up 20% from the revised 2019 figure. This is due to 1% increase in reported fatalities and a 17% reduction in vehicle miles travelled.
When it comes to driving for work, one of the consequences of Covid-19 has been an increase in grey fleet - people using their own vehicle for work purposes.
In the UK, the Department for Transport reported on transport use during Covid-19. Up to August, “private car usage was 90% of a normal week, while National Rail was 25%, the London Underground was 28%, TfL buses 53% and other buses 39%”. Also, auction companies reported a surge in demand for older, cheaper cars shortly after lock-down. Valuation specialist CDL increased its prices of five-to-ten-year-old models by 5% in June, which is attributed to the demand for cheaper cars to dodge public transport.
Why does all this matter to businesses?
Businesses are exposed to a combination of legal responsibility coupled with a lack of awareness of associated risks. A 2019 survey by Driving for Better Business (DfBB) quizzed 1,006 UK employees and 255 executive directors about their driving for work policies. 75% of the latter said they ensured employees were aware of their legal obligations around driving for work - which means 25% didn't do so. DriverFocus has not seen any evidence to support a more favourable situation in Ireland.
DfBB are also clear about where responsibility for grey fleet lies: "the ownership of the vehicle is irrelevant as far as risk management is concerned. If a car is being used to make a business journey, whether owned by the company or the driver, the company has a responsibility to ensure that it is suitable, is roadworthy and is driven safely."
While current HSE guidance is to "work from home if possible", changes to contracts that define employees as based from home is an added exposure. As DfBB campaign manager Simon Turner explains, "if somebody has their contract changed so they are now classed as being based at home, any journey is a business journey".
"Even if they are driving into the office, even if it us one or two days a week, that is now a business journey, so they are now grey fleet. That is not covered by private insurance and the employer has got to make sure their staff are aware, because it is not always fair to assume they would even think about it."
And unfortunately, the list goes on. For example, a backlog of NCT/CVRT testing is another potential risk factor for both company-owned and grey fleet vehicles.
Businesses are encouraged to continue to manage fleet safety effectively by reviewing their current processes, addressing new gaps and seeking advice from reliable sources and contacts.
Top Tips For Tackling Grey Fleet Risk:
1. Driving for Work Policy - as duty of care and hence corporate risk exposure is the same for grey fleet and company-provided vehicles, ensure your policy and practices include appropriate “instruction, information, training and supervision” elements.
2. Use a Survey to gather relevant information from all staff who drive for work. If you’re not sure who does, ask all employees in a survey whether they drive or not. Ask those who do drive for work, questions covering driver, vehicle and journey risks.
3. Anyone who drives for work should make an annual declaration regarding the status of their driving licence and grey fleet users should also confirm they have business-class motor insurance and if applicable, their vehicle has an up to date NCT.
4. Support staff in becoming more aware of what good, safe and environmentally efficient driving looks like through communications, targeted/pulse training and ideally, behavioural feedback tools such as telematics app ALLY.
5. Find out how other employers address grey fleet and driving for work. Best practice guidance can be found from Sources and Previous Articles below.
Sources:
Driving for Better Business (DfBB) UK
Related Articles From DriverFocus:
ETSC Focus On Managing Grey Fleet Safety - 2016
GDPR - An Excuse Not To Manage Grey Fleet - 2019