Car insurance customers who are driving their cars for business use might not have adequate protection, Gocompare.com has warned.

The comparison website has identified a rise in the number of workers being asked to use their personal cars for business use, without necessarily warning them of the car insurance implications.

Gocompare has found that 72 per cent of UK workers have used their own car for business use in the last 12 months, but only 35 per cent do not have business cover included in their low cost car insurance policy and therefore risk driving without sufficient protection.

Whilst workers are usually covered for commuting, they would need to extend their policy to cover using their car for purposes directly linked to their job other than getting to and from work.

Some of the business events that workers have used their cars for include travelling to training courses, going to the bank or post office on behalf of their employer, driving to another office or attending company away days.

If employees were to have an accident while driving for work purposes without adequate insurance, they might find themselves having to pick up the bill for any repairs and third party claims.

The recession has driven some of the drivers currently using their own car for business, as five per cent did have a company can but have had it withdrawn.

Commenting on the potential risk of a car insurance gap, Lee Griffin, business development director of Gocompare.com explained: “More flexible working habits and multi-location workplaces mean that many workers now use their own vehicles for informal or ad-hoc company business. However, companies shouldn’t assume that workers with private car insurance are covered for driving their vehicle while at work.”

Mr Griffin would remind employers that they have a legal responsibility to ensure that vehicles used for business purposes are safe to use, which includes having adequate car insurance in place.

“Extending your motor insurance cover to include business use can be relatively inexpensive, and some insurers do not even charge an additional fee for this cover,” he added. “If workers use their own cars while on company business, no matter how infrequently, we would urge them to check their policy to make sure they are properly insured. And employers should talk to workers about the necessity of having the correct level of cover before they undertake any business journeys in a private car.”

© Fair Investment Company Ltd