MyDrive Car Scheme Guide for employees

Transcription

1 MyDrive Car Scheme Guide for employees This guide outlines how an eligible employee can source a car through the MyDrive scheme and what the procedures are for using and maintaining the car. Main topic areas Overview Eligibility Applying for a MyDrive car Returning the car Maintenance of cars Accidents and insurance Driving licences and penalties Use of car Tax implications Other costs & information Getting help Contact the HR Services Advice Centre or the account management team at Zenith if you have any queries about this policy. HR Services Advice Centre: T: Zenith account management team: T: E: cars@zenith.co.uk For web access go to: mybundle.myroyalmail.com Where to go for further information Motor insurance key facts VERSION 6 - November 2016 Page 1 of 21

2 MyDrive Car Scheme Guide for employees Overview This is the guide to the MyDrive car scheme offered to eligible employees by Royal Mail Group. It provides details of how to apply for a MyDrive car, how to maintain the car and return the car. It also covers accidents, driving licences and penalties and the tax implications of a MyDrive car. This should be read in conjunction with the MyDrive car policy Eligibility The scheme is open to employees employed by Royal Mail Group in the UK (excluding the Channel Islands) who meet the following criteria: Age 18 and above 12 months or more continuous service Not on unpaid leave Not on career break Have sufficient salary from which to exchange the amount required for the chosen car (please note: you cannot exchange your salary below the level of the National Minimum or National Living Wage); Insurance eligibility criteria, that can be found in the Insurance section of the Scheme Guide; and Have a valid driving licence Ordering a MyDrive car You must place all order requests for a MyDrive car on the Zenith MyDrive website. You need to access the Zenith website through the Royal Mail Group MyBundle website: mybundle.myroyalmail.com Zenith can be contacted on or at cars@zenith.co.uk. Ordering Process: Click on the Flexible Benefits tile on your MyBundle homepage Click on the Cars link Click on the Car 1 or Car 2 link You will then be routed through to Zenith MyDrive website; click into Vehicle Ordering Select the vehicle you want and click Obtain a Quote Once you have chosen a vehicle and submitted the online order form you will be re-directed back to your MyBundle site where you must confirm your selection and checkout. An affordability check will take place when you checkout on the MyBundle website, and if the check passes your order will be passed to Zenith for processing. When your order has been placed you will receive an from the Zenith confirming your order. All quotes are valid for 14 days. To avoid having to re-quote please ensure, after selecting your car on the Zenith MyDrive website, you checkout on the MyBundle site within 14 days. If you don t you will VERSION 6 - November 2016 Page 2 of 21

3 be prompted to quote your vehicle again on the Zenith MyDrive website. Amending an order Once you have placed your order there is no guarantee that you will be able to amend it. Zenith will make all reasonable efforts to accommodate any changes but you will be liable for any costs incurred as a result. What is included in the scheme? The cost of the car Routine servicing and maintenance in line with manufacturers guidelines Maintenance required due to wear and tear Replacement of all tyres, both worn and damaged Fully comprehensive motor insurance for you and any named drivers Breakdown cover in the UK and Europe Accident management service, including a replacement vehicle Road tax Cover in the event of you leaving Royal Mail Group and you not wanting to keep the car A managed service available 24/7 by phone, or online to deal with all your motoring needs Selecting a MyDrive Car You will have the choice of taking up to two vehicles, as well as your company car (if you are eligible for a company car) for a period of 24, 36 or 48 months. You will be required to confirm the annual mileage you will drive and you can chose from 5,000 miles per annum to a maximum of 120,000 over the period you select. If your actual mileage changes from your original estimate, you will be allowed to adjust it in the 11th month, 23rd month and 35th month after you have taken delivery of the car. Please contact the Zenith account management team for further information and instructions. If you intend to use the vehicle for Royal Mail business purposes, when selecting the vehicle you should consider how often you travel, whether you meet a lot of clients off site and what the practical requirements are, e.g. carrying a number of files. The vehicle should reflect an appropriate business image. Returning the car Early termination of car contract A car may be returned prior to the end of the period you commit to it for. Early termination costs may apply. Listed below are reasons for leaving Royal Mail Group and returning the car early. It should be noted that you can opt to buy the car and take it with you when you leave, if you so wish. Resignation VERSION 6 - November 2016 Page 3 of 21

4 Upon giving notice of resignation to Royal Mail you must call Zenith immediately who will advise you of your options which are: Return the car. If you give notice of your resignation to Royal Mail on or after 90 days from the date when the vehicle was delivered to you a VAT administration fee will be applicable, plus any excess mileage and/or damage charges. Return the car. If you have given notice of your resignation to Royal Mail in a period of less than 90 days from the date the vehicle was delivered to you an early termination charge and a VAT administration fee will be applicable to you plus any excess mileage and/or damage charges. The early termination charge will be 40% of the outstanding lease payments associated with the vehicle. You can buy the vehicle for the current market value once the early termination fee and any excess mileage charges have been settled. If you opt for this then you will need to arrange your own insurance, maintenance and repairs, road fund licences etc. Please note: If you return your vehicle earlier than its agreed period of use your actual mileage will be pro-rated on a daily basis and compared to the mileage you selected. If you have driven more miles than you originally selected you will incur an excess mileage charge at a cost per mile rate, which will be stated on your order. Redundancy If your role is unfortunately made redundant during your salary exchange period then you will have two options: Buy the vehicle outright for the current market value, once any excess mileage charges have been settled. If you opt for this then you will need to arrange your own insurance, maintenance and repairs, road fund licences etc. Return the car. You will not be charged an early termination charge, but may still be charged a VAT administration fee. You may still be liable for excess mileage and/or damage charges if applicable. Please note: If you return your vehicle earlier than its agreed period of use your actual mileage will be pro-rated on a daily basis and compared to the mileage you selected. If you have driven more miles than you originally selected you will incur an excess mileage charge at a cost per mile rate, which will be stated on your order. Dismissal If you are dismissed by Royal Mail for any reason during the salary exchange period you must call Zenith immediately who will advise you of your options which are: VERSION 6 - November 2016 Page 4 of 21

5 Return the car. If you are given notice of your dismissal by Royal Mail less than 90 days from the date when the vehicle was delivered to you an early termination charge and a VAT administration fee will be applicable to you, plus any excess mileage and/or damage charges. The early termination charge will be 40% of the outstanding lease payments associated with the vehicle. Return the car. If you are given notice of your dismissal by Royal Mail on or after 90 days from the date the vehicle was delivered to you a VAT administration fee will be applicable, plus any excess mileage and/or damage charges Buy the vehicle outright for the current market value, once the early termination fee and any excess mileage charges have been settled. If you opt for this then you will need to arrange your own insurance, maintenance and repairs, road fund licences etc. Please note: If you return your vehicle earlier than its agreed period of use your actual mileage will be pro-rated on a daily basis and compared to the mileage you selected. If you have driven more miles than requested you will incur an excess mileage charge at a cost per mile rate, which will be stated on your order. Maternity, Paternity, Shared Parental and Adoption Leave Factors you may want to consider if you are planning to take maternity/shared parental or adoption leave are: Participation in the MyDrive scheme could reduce the amount of Statutory Pay, e.g. Statutory Maternity Pay (SMP) that you are entitled to, if your gross salary is reduced to less than 112 per week. If you do take maternity, shared paternity or adoption leave and are in receipt of statutory maternity pay (SMP) or Statutory Adoption Pay (SAP), although salary exchange amounts cannot be deducted from SMP or SAP the benefit will remain in place. You will therefore continue to be responsible during payment of SMP/SAP for any charges incurred outside of the regular salary exchange as a net deduction, (e.g. parking fines, penalties etc.). If you elect to take maternity leave for a period of longer than 52 weeks then you will be classed as taking a career break and as such you will have to return the car, or buy it. If you elect to return it a VAT administration fee will be applicable, plus any excess mileage and/or damage charges. If you go on Maternity, Paternity, Adoption or Shared Parental Leave and subsequently leave the employment of Royal Mail, you must notify Zenith immediately upon giving notice to or receiving notice from Royal Mail who will advise you of your options which are: If you commence Maternity/Paternity/Shared Parental Leave or Adoption Leave after a period of 90 days starting from the date the VERSION 6 - November 2016 Page 5 of 21

6 vehicle is delivered to you and you subsequently leave the employment of Royal Mail directly because of that Maternity/Paternity/Shared Parental or Adoption Leave and you wish to return the vehicle a VAT administration fee will be applicable, plus any excess mileage and/or damage charges. Return the car. If you commence Maternity/Paternity/Shared Parental Leave or Adoption Leave within 90 days of the date of the vehicle being delivered to you and subsequently you leave the employment of Royal Mail directly because of that Maternity/Paternity/Shared Parental or Adoption Leave and you wish to return the vehicle you will have to pay an early termination charge, an administration fee of VAT plus any excess mileage and/or damage charges. The early termination charge will be 40% of the outstanding lease payments Buy the vehicle outright for the current market value, once the early termination fee and any excess mileage charges have been settled. If you opt for this then you will need to arrange your own insurance, maintenance and repairs, road fund licences etc. Please note: If you return your vehicle earlier than its agreed period of use your actual mileage will be pro-rated on a daily basis and compared to the mileage you selected. If you have driven more miles than requested you will incur an excess mileage charge at a cost per mile rate, which will be stated on your order. Long Term Sickness If you are in receipt of reduced, statutory or zero pay due to long term sickness, the salary exchange arrangement will remain in place and your salary exchange amounts will accrue for the duration of the unpaid leave (to the extent they cannot be deducted as this would take you below National Minimum or National Living Wage). You will need to repay this amount when salary is in payment again or on leaving Royal Mail if you do not return to work. You will also continue to be responsible during this period for any charges incurred as a net deduction (i.e. fines). You will need to repay any charges and accrued salary exchange amounts in full when salary is in payment again. In the event that you have insufficient pay to fund this, you agree to reimburse Royal Mail for the outstanding balance. If you do not return to work following your long term sickness then you will have the following options: Return the car. If your period of sick leave started on or after 90 days from the date when the vehicle was delivered to you a VAT administration fee will be applicable, plus any excess mileage and/or damage charges plus any excess mileage and/or damage charges. Return the car. If your period of sick leave started less than 90 days from the date when the vehicle was delivered to you an early VERSION 6 - November 2016 Page 6 of 21

7 termination charge and a VAT administration fee will be applicable to you plus any excess mileage and/or damage charges. The early termination charge will be 40% of the outstanding lease payments associated with the vehicle You can buy the vehicle for the current market value once the early termination fee and any excess mileage charges have been settled. If you opt for this then you will need to arrange your own insurance, maintenance and repairs, road fund licences etc. Please note: If you return your vehicle earlier than its agreed period of use your actual mileage will be pro-rated on a daily basis and compared to the mileage you selected. If you have driven more miles than requested you will incur an excess mileage charge at a cost per mile rate, which will be stated on your order. No matter when you leave in relation to the vehicle delivery date in addition to the termination costs (if applicable) you will be required to pay any charges and salary exchange amounts that accrued during your long term sickness or unpaid leave and you agree to reimburse Royal Mail for the outstanding balance before you cease employment. Loss of licence on medical grounds If you lose your licence for medical reasons you have the following options: Return the car. If the date you were notified of the loss of your licence was 90 days or more from the date the vehicle was delivered to you then you a VAT admin fee will be applicable, plus any excess mileage and/or damage charges. Return the vehicle. If the date you were notified of the loss of your licence was less than 90 days from the date the vehicle was delivered to you then you will be responsible for an early termination charge and a VAT administration fee plus any excess mileage and/or damage charges. The early termination charge will be 40% of the outstanding lease payments associated with the vehicle. If you wish to continue using the car, you must provide written confirmation to Zenith of that and also identify who you wish to become the primary driver for motor insurance purposes. This option is only allowable on acceptance of the change of primary driver from the motor insurance provider. Buy the vehicle outright for the current market value, once the early termination fee and any excess mileage charges have been settled. If you opt for this then you will need to arrange your own insurance, maintenance and repairs, road fund licences etc. Please note: If you return your vehicle earlier than its agreed period of use your actual mileage will be pro-rated on a daily basis and compared to the mileage you selected. If you have driven more VERSION 6 - November 2016 Page 7 of 21

8 miles than requested you will incur an excess mileage charge at a cost per mile rate, which will be stated on your order. Loss of licence due to driving convictions If you lose your licence due to your negligence, i.e. accumulation of penalty points, drink or drug driving and you wish to return the car you will be responsible for an early termination charge and a VAT administration fee. The early termination charge will be 40% of the outstanding lease payments associated with the vehicle. If you wish to continue using the car, you must provide written confirmation to Zenith of that and also identify who you wish to become the primary driver for motor insurance purposes. This option is only allowable on acceptance of the change of primary driver from the motor insurance provider. Buy the vehicle outright for the current market value, once the early termination fee and any excess mileage charges have been settled. If you opt for this then you will need to arrange your own insurance, maintenance and repairs, road fund licences etc. Please note: If you return your vehicle earlier than its agreed period of use your actual mileage will be pro-rated on a daily basis and compared to the mileage you selected. If you have driven more miles than requested you will incur an excess mileage charge at a cost per mile rate, which will be stated on your order. A reduction in your working hours If you elect to request a reduction in your working hours for any reason and this is granted, your salary will be reduced accordingly. This may create the situation where the salary exchange causes your gross salary to fall below the National Minimum or National Living Wage, which will mean you will no longer be eligible to participate in the scheme as you will not be able to make the salary exchange amounts. In this situation you have the following options: Return the vehicle. If the request to reduce your working hours is made in a period of 90 days or more after the date the vehicle is delivered to you a VAT admin fee will be applicable, plus any excess mileage and/or damage charges. Return the vehicle. If the request to reduce your working hours is made within less than 90 days of the date of the vehicle being delivered to you an early termination charge and VAT administration fee will be applicable plus any excess mileage and/or damage charges. The early termination charge will be 40% of the outstanding lease payments associated with the vehicle. You may elect to buy the vehicle outright for the current market VERSION 6 - November 2016 Page 8 of 21

9 value once the early termination fee and any excess mileage charges have been settled. If you opt for this then you will need to arrange your own insurance, maintenance and repairs, road fund licences etc. Please note: If you return your vehicle earlier than its agreed period of use your actual mileage will be pro-rated on a daily basis and compared to the mileage you selected. If you have driven more miles than requested you will incur an excess mileage charge at a cost per mile rate, which will be stated on your order. Retirement If you choose to retire you will no longer be in receipt of any salary from Royal Mail and therefore your options are: You can buy the vehicle for the current market value once the early termination fee and any excess mileage charges have been settled. If you opt for this then you will need to arrange your own insurance, maintenance and repairs, road fund licences etc. If you wish to the hand the car back you will be responsible for an early termination charge plus any excess mileage and/or damage charges. The early termination charge will be 40% of the outstanding lease payments associated with the vehicle. The exceptions to this are Compassionate Retirement or Ill Health Retirement. In these situations, you have the option of buying the vehicle (as detailed above), or if the date on which your Compassionate or Ill Health Retirement starts is 90 days or more from the date on which you took delivery of the vehicle a VAT administration fee will be applicable to return the vehicle early, plus any excess mileage and/or damage charges. If the date on which your Compassionate or Ill Health Retirement starts is less than 90 days from the date on which the vehicle was delivered to you, you may be responsible for an early termination charge as detailed in the point above. Please note: If you return your vehicle earlier than its agreed period of use your actual mileage will be pro-rated on a daily basis and compared to the mileage you selected. If you have driven more miles that requested you will incur an excess mileage charge at a pence per mile rate, which is stated on your order Career breaks If you wish to the hand the car back and have given notice of your career break to Royal Mail in a period of less than 90 days from the date when the vehicle was delivered to you an early termination charge and a VAT administration fee will be applicable to you plus any excess mileage and/or damage charges. The early termination charge will be 40% of the outstanding lease payments associated with the vehicle. VERSION 6 - November 2016 Page 9 of 21

10 If you give notice of your career break to Royal Mail after a period of 90 days or more starting from the date the vehicle was delivered to you a VAT admin fee will be applicable, plus any excess mileage and/or damage charges. You can buy the vehicle for the current market value once the early termination fee and any excess mileage charges have been settled. If you opt for this then you will need to arrange your own insurance, maintenance and repairs, road fund licences etc. Please note: If you return your vehicle earlier than its agreed period of use your actual mileage will be pro-rated on a daily basis and compared to the mileage you selected. If you have driven more miles than requested you will incur an excess mileage charge at a cost per mile rate, which will be stated on your order. Handing the car back early If you are not leaving the employment of Royal Mail but want to return the car before the end of the agreed period then an early termination charge and a VAT administration fee will be applicable to you plus any excess mileage and/or damage charges. The early termination charge will be 40% of the outstanding finance elements of the lease payments Collection of Terminated Vehicles In the event of an early termination, a collection fee would apply to return the vehicle to one of Zeniths de-fleet centres. This movement would be charges at 0.80 per mile + VAT (minimum charge of 100 miles). Please contact your account manager to confirm the closest location and movement costs. Return condition of cars It is your responsibility to keep the car in good condition. Rectification costs may be imposed for the following: If a car is returned damaged Unauthorised specification changes have been made There are missing items and/or documentation (such as locking wheel nuts, spare tyres, tools, service books) The car is in a condition worse than compatible with its age and mileage The agreed definition of acceptable condition is described in the British Vehicle Rental and Leasing Association, (BVRLA) Booklet Fair Wear and Tear Guide which is available on the Zenith MyDrive website or from the Zenith account management team. You are not permitted to make any changes to the car without the prior written consent of Zenith. For example: permission to fit a tow bar after the vehicle has been delivered to you. If you do make any changes to the car without permission, you may be VERSION 6 - November 2016 Page 10 of 21

11 asked to remove them at the end of the contract and to return the vehicle to its original state at your own cost. Personalised registration plates Personalised or cherished number plates are permitted to be placed on MyDrive scheme vehicles, but all costs incurred as a result will be your responsibility. The applicable charges can be obtained from the Zenith team. At the end of the contract or early termination, if you wish to retain the personalised registration number it must be removed prior to the collection or return of the vehicle. If the personalised registration number is not removed before the end of contract or earlier termination, the title to the personalised registration number will be deemed to have been passed to Zenith. Zenith will sell the vehicle with the personalised registration number, and it will pass to the new owner of the vehicle. Maintenance of cars Car maintenance You must make sure that regular servicing is carried out in keeping with the manufacturers guidelines. It is your legal responsibility to ensure the car is safe to drive before use, however short the journey, and ensuring that any issues are rectified as soon as possible. The following areas should be checked on a weekly basis: Engine oil Coolant levels Washer fluid levels Tyre pressure and tread depth Windscreens Brake and clutch fluid levels should also be checked monthly. In the event of requiring a service you should call the following number: Zenith Service Booking Line: , or go to the Zenith MyDrive website. A courtesy car can be requested, if required, when booking the MyDrive car in for a service. You are responsible for all documentation relating to the car and must keep this intact, up-to-date and available. All documents must be in the car on its return to the lease company. If they are not you will be charged. Breakdown and recovery In the event of a breakdown you should call the following number: Breakdown and Recovery (24hrs): VERSION 6 - November 2016 Page 11 of 21

12 Replacement tyres To arrange a tyre repair or replacement you should call the following number: Zenith Tyre Booking Line: or go to the Zenith MyDrive website. Or book online using the link on the Service and Maintenance page of the Zenith MyDrive website. Windscreen repair or replacement To arrange a windscreen repair or replacement you should call the following number. Zenith Windscreen Line: MyDrive website or go to the Zenith The Zenith windscreen line is provided by AA Auto Windscreens. The motor insurance cover provides for windscreen repair or replacement. Excess for replacement windscreens is 75.00, or free for repair. Repairs not covered by the scheme Any repair/maintenance work that is attributed to your error, neglect or abuse or excessive wear and tear is not included, i.e. mis-fuelling the car, engine issues due to oil not being topped up etc. These repairs will have to be paid for by you. You should liaise directly with Zenith and the repairing dealership to pay for these repairs directly, but you must use Zenith s approved repairers. Car appearance To ensure a good appearance, the car should be cleaned internally and externally at regular intervals. Royal Mail Group will not pay for the cost of valeting or car washing. Tax discs On 1 st October 2014 the paper tax disc was abolished. This means that from this date, although there is still a legal requirement to tax vehicles and pay the road tax, the DVLA will not issue paper tax discs, and therefore paper tax discs no longer need to be displayed in a vehicle. Zenith will tax the MyDrive car each year; you are not responsible for that. If you require proof or evidence that a vehicle you are using has valid road tax in place, then you can check this by entering the vehicle registration number and make of vehicle at or by contacting Zenith. Accidents and insurance Accidents, breakdowns and foreign cover UK breakdown cover is provided at all times and is available via the Zenith VERSION 6 - November 2016 Page 12 of 21

13 dedicated phone line. All accidents and insurance incidents, including theft must be reported as soon as possible to Zenith: Zenith Accident Management: Breakdown cover for European use is provided by Zenith on request and at least ten days notice should be provided when taking the car abroad. You can request the necessary documents from the Zenith MyDrive website or on You are responsible for meeting the legal requirements of the country you are visiting. Driving laws and regulations vary across Europe and often differ to those in the UK. You should check the up to date rules that are applicable to each country that you are travelling through. The Foreign and Commonwealth Office produces advice on a country by country basis which can be found in the 'Travel Advice' section at: Replacement cars Zenith will arrange a free courtesy car for the period the MyDrive car is off the road being repaired following an accident (subject to availability within Zenith s repair network). You will be provided with a 48 hour relief vehicle following a breakdown, should you require one. This must be requested at the time of initially reporting the breakdown to the AA or Zenith. If you require a car for a longer period, or a different type to that provided then you may hire one at your own cost. Please note If the car you use under the MyDrive scheme is unusable for any reason, such as an accident repair, or scheduled or unscheduled maintenance your salary exchange deductions will continue. Motor insurance Vehicles ordered through the scheme are covered on a fully comprehensive basis arranged through Aviva and brokered by Lloyd Latchford. If you are the main driver the car is classed as a primary car ; you will automatically be covered for business use including social, domestic and pleasure. Subject to the occupation of additionally nominated and approved drivers being within the insurer s acceptance criteria, business use may also be included for those nominated drivers too. If you are not the main driver the car is classed as a secondary car ; (i.e. your spouse/partner or dependant will be the main driver) the insurance policy covers your spouse/partner or dependant for all social domestic and pleasure use including driving to and from their permanent place of work. Subject to the occupation of your spouse or partner (or additionally nominated and approved drivers) being within the insurer s acceptance criteria, business use may also be included for those drivers. Please note - Dependants are only covered for social, domestic and pleasure use, it is NOT possible to insure a dependant for business use. In the event of a claim Aviva will impose an excess of 250 (doubled to 500 for VERSION 6 - November 2016 Page 13 of 21

14 all claims for damage to and theft of a demonstration vehicle and increased to 450 if you are under the age of 25). You will be liable to pay the excess amount for each claim. Zenith will notify you when the charge is to be made and it will be deducted from your net salary. If the incident is the fault of a third party a claim for recovery of the uninsured loss, i.e. the excess amount, will be made by Zenith through the chosen third party provider. Any amounts recovered will be subject to an administration charge of 12.5% inclusive of VAT. This will be deducted from the recovered amount. The policy provides cover against certain clearly specified events but in common with other insurances only against those events. Please see the Motor Insurance Key Facts at the back of this guide and also the insurance policy document on the Zenith MyDrive website, for further details. Nominated drivers You can request up to 2 permanent additional drivers such as partners and children. Nominated drivers must be over the age of 18. Please note that there may be an additional premium cost payable for any additional drivers if applicable this cost will be advised by the scheme insurance broker upon receipt of the request. Stolen vehicles In the event that your car is stolen or broken into you should report the incident immediately to the police and make a note of the crime incident number. You should also contact Zenith on who will take all the relevant details and if necessary arrange recovery of the car. Following notification of the theft of your vehicle to our accident management team, a period of 4-6 weeks is required by the insurer to allow the Police time to try and recover the vehicle. During this period no further action is taken by the insurer and you will still be required to make your salary exchange amounts. If the vehicle is not recovered after this 4-6 week period it is passed to our Accident Management team who will begin the total loss proceedings. A settlement figure is agreed and at this point the lease is settled and the vehicle is taken off contract. Your salary exchange payment ceases at this point and you can order a new vehicle through the MyDrive scheme if you wish to. During this period no alternative car is provided under the MyDrive scheme. Driving licences and penalties Driving licences Driving licences for you and any nominated drivers will be checked at least on an annual basis, following receipt of the required Data Protection Mandate (DPM). VERSION 6 - November 2016 Page 14 of 21

15 This process will be managed by Intelligent Data Systems UK Ltd (IDS) who work directly with the DVLA to check individual licences. You and any nominated drivers will be required to complete a data protection mandate on ordering a car under the scheme, which will enable IDS to work directly with the DVLA to check the licence. Information received from the DVLA will be disclosed to Zenith and Royal Mail Group to ensure that the terms of the insurance policy are met. You must notify the account management team at Zenith if: either you or any of your nominated drivers become disqualified from driving if you have a medical condition which a doctor advises may affect your ability to drive if you or any of your nominated drivers receive any endorsement to your or their licence, such as penalty points Fixed penalty notices and traffic offences Zenith will make available information to the requesting authority in respect of any notice or traffic offences. You are expected to pay any fixed penalties incurred within the time limit. International driving licences You can only drive in the UK on an international driving licence for 12 months from the date you became resident in the UK. After 12 months you will need to apply to the DVLA and pass a driving test to drive legally in the UK. Use of car MyDrive cars can be used for business trips and personal trips. Business mileage and associated costs The arrangements for claiming reimbursement for business travel costs are set out within Royal Mail Group s Business Travel and Expenses Policy. Royal Mail Group fuel pumps or fuel cards must not be used and business mileage must be claimed at fuel-only and not private car mileage rates. Consumable costs not arising from a specific journey (for example top-up oil or replacement light bulbs) must not be claimed as incidental expenses. Please note: If you choose to take a car under the MyDrive scheme, or take a car for a family member, the business mileage claimed must be at the fuel only rate. This same rate will also apply regardless if you are not the primary driver of the vehicle. VERSION 6 - November 2016 Page 15 of 21

16 Tax implications HM Revenue & Customs (HMRC) declaration Royal Mail is required to inform HM Revenue and Customs of MyDrive cars. Whilst Royal Mail will notify HMRC as soon as possible the onus is on you to ensure that HMRC is aware of your details and the car(s) you are driving in the MyDrive scheme. It is important to make HMRC aware that you have a company car because the tax due on the MyDrive car(s) is collected by an adjustment to your tax code. The sooner your tax code is updated by HMRC, the sooner the correct amount of tax will be collected and this will prevent arrears of tax accumulating. To do this contact Royal Mail s Tax Office as follows: HM Revenue & Customs PAYE & Self-Assessment PO BOX 1970 Liverpool L75 1WX Royal Mail Tax Reference Number: 120/XA56466 Tel No: Alternatively you can advise HMRC of your new car details on this website: Calculation of company car tax Cars used in the MyDrive scheme are liable to company car tax as they are provided to you by Royal Mail Group for private use. The basic calculation is as follows (each car requiring a separate calculation): Car list price x appropriate CO 2 % = Car benefit For a part year: Car list price x appropriate CO 2 % x days available in tax year/365 (366 in a leap year) = Car Benefit The list price (or P11D value) is the manufacturer s published list price on the day prior to first registration of the vehicle The CO 2 value % is the percentage corresponding to published CO 2 figure for that particular make and model (refer to the Company Car Tax Table at the back of this document) Once the car benefit value has been ascertained (and the value has been pro-rated to reflect the number of days the car has been used in a tax VERSION 6 - November 2016 Page 16 of 21

17 year), tax payable is determined as follows: Car benefit x your rate of income tax = amount of tax payable Your rate of income tax will depend on your total income and personal circumstances but, as a general guide, if total income exceeds 40,000, you are likely to pay tax on the car(s) you use in the MyDrive scheme at the higher rate (currently 40%), otherwise the tax rate is likely to be basic rate (currently 20%). Other information: Demonstrator vehicles You are able to book demonstrator vehicles through the Zenith MyDrive website. You are allowed a maximum of 3 demonstrator vehicles and only if you are eligible to order or renew a vehicle under the MyDrive scheme, and/or have less than 2 vehicles in use under the scheme. Other costs In addition to the regular salary exchange amounts, there are other costs which you may become liable for under the scheme: Order cancellation, unless due to a change in the vehicle price, after the order has been placed Any traffic penalties incurred whilst driving the car Uninsured excess for ALL accidents/incidents that result in a claim Maintenance repair costs not covered by the maintenance service please check with Zenith before arranging any repairs Documentation for overseas travel ( 6.50 for each request, and the documents are valid for 12 months) Increases in the cost of a Road Fund Licence, changes made by HMRC to Capital Allowances or VAT during the period Data protection In order to provide the services required to operate the scheme Zenith will need to collect and hold certain personal information about you and other individuals who are authorised to drive the vehicle. Only information about you that is necessary for the purposes of your participation in the scheme will be collected by or passed to Zenith, and, except to the extent that Zenith is required or permitted by law, Zenith will only process this information (and other information collected by it) as required for the administration of the scheme and for no other purpose. Please note that as part of Zenith s Services, it may disclose your personal information to: Other companies in the Zenith group Royal Mail Group VERSION 6 - November 2016 Page 17 of 21

18 Anyone from whom Zenith obtains finance for the purpose of the scheme Zenith s agents, service providers and/or subcontractors used by it in connection with the Services The supplier or purchaser of the vehicle Zenith s insurance provider To conduct other transactions or services that you request in connection with the Services HMRC Such persons as required by law By participating in the scheme, you consent to the above use of personal information and to the processing of any sensitive personal information such as driving conviction or health issues that might impact on your driving ability. Please see Zenith s Privacy and Cookie Policy for further information which can be found at You must not give Zenith personal information about someone else (such as your spouse/partner) without first getting his or her consent for it to be used and disclosed in the ways described above. When providing Zenith with this information, you confirm that you accept the obligation to inform them about this use of their personal information and that you have their authority to consent to the processing on their behalf. Zenith will assume he or she has consented to the use of their personal information as set out above. Smoke-free cars Legally the MyDrive car is classed as a company car, therefore you or your passengers must not smoke in the car at any time. A no smoking sign must be displayed at all times in the car and failure to do so is an offence and may result in a fine and/or prosecution. Health, safety and security All passengers aged 12 and over or over 1.35m in height MUST wear a seatbelt at all times in both the front and the rear of the vehicle. Seatbelts must be maintained in proper working order. You must ensure that all children under 12 years of age or under 1.35m in height sit in an approved child restraint. Rear-facing baby seats must not be used in the front passenger seat where frontal airbags are activated. Royal Mail Group has a duty of care towards its employees and members of the public to ensure that all cars are driven safely and responsibly. You should ensure that you are fully awake and alert before commencing a journey. At least one 15 minute break should be taken after every two hours travelling time or 100 miles when VERSION 6 - November 2016 Page 18 of 21

19 driving on long journeys. If you feel drowsy, then drive safely off the road and have minutes sleep and strong coffee or similar before restarting journey. Get out of the car and walk about for at least 15 minutes. Mobile phones in cars must only be used when the vehicle is fitted with a properly installed hands free kit. It is an offence to use a hand-held mobile phone or other similar device while driving. Offenders will be liable to a 100 fixed fine rising to a maximum 1,000, if the matter goes to court. Offenders will also receive three points on their licence. For the avoidance of doubt, you must not pick up or use any type of phone or other device that sends or receives data and which must be held to operate it. You must not use the device: o o o When driving When you are stopped at traffic lights When queuing in traffic You must not use the device to receive calls, view pictures, read texts messages or to access the internet in any of the above situations. Outgoing calls or the writing down of details from a received call should only be made when you have brought the vehicle to a standstill in a safe environment and the vehicle engine is turned off. The only exception to this is if you need to call 999 or 112 in response to a genuine emergency when it is unsafe or impractical to stop to make a call. You must adhere to current legislation on alcohol and drug consumption and be particularly aware of alcohol levels that may still be in the bloodstream on the day following consumption. You should also take appropriate care when taking prescription and non-prescription drugs. If driving is not recommended while taking medication, e.g. where a side effect may be drowsiness as in the case of certain anti-histamines, then you must take appropriate action. It is an offence to drive while unfit through alcohol or drugs (both prescriptive and illegal). Where to go for further information The Getting help box on the front page tells you where to find further information. The Royal Mail account management team at Zenith can be contacted on Tel No: or cars@zenith.co.uk VERSION 6 - November 2016 Page 19 of 21

20 Company Car Tax table Company Car Tax - CO 2 Emission Rates (2016/17 to 2019/20) 2016/ / / /20 CO₂ g/km P A D P A D P A D P A D % 7% 10% 9% 9% 12% 13% 13% 16% 16% 16% 19% % 11% 14% 13% 13% 16% 16% 16% 19% 19% 19% 22% % 15% 18% 17% 17% 20% 19% 19% 22% 22% 22% 25% % 16% 19% 18% 18% 21% 20% 20% 23% 23% 23% 26% % 17% 20% 19% 19% 22% 21% 21% 24% 24% 24% 27% % 18% 21% 20% 20% 23% 22% 22% 25% 25% 25% 28% % 19% 22% 21% 21% 24% 23% 23% 26% 26% 26% 29% % 20% 23% 22% 22% 25% 24% 24% 27% 27% 27% 30% % 21% 24% 23% 23% 26% 25% 25% 28% 28% 28% 31% % 22% 25% 24% 24% 27% 26% 26% 29% 29% 29% 32% % 23% 26% 25% 25% 28% 27% 27% 30% 30% 30% 33% % 24% 27% 26% 26% 29% 28% 28% 31% 31% 31% 34% % 25% 28% 27% 27% 30% 29% 29% 32% 32% 32% 35% % 26% 29% 28% 28% 31% 30% 30% 33% 33% 33% 36% % 27% 30% 29% 29% 32% 31% 31% 34% 34% 34% 37% % 28% 31% 30% 30% 33% 32% 32% 35% 35% 35% 37% % 29% 32% 31% 31% 34% 33% 33% 36% 36% 36% 37% % 30% 33% 32% 32% 35% 34% 34% 37% 37% 37% 37% % 31% 34% 33% 33% 36% 35% 35% 37% 37% 37% 37% % 32% 35% 34% 34% 37% 36% 36% 37% 37% 37% 37% % 33% 36% 35% 35% 37% 37% 37% 37% 37% 37% 37% % 34% 37% 36% 36% 37% 37% 37% 37% 37% 37% 37% % 35% 37% 37% 37% 37% 37% 37% 37% 37% 37% 37% % 36% 37% 37% 37% 37% 37% 37% 37% 37% 37% 37% % 37% 37% 37% 37% 37% 37% 37% 37% 37% 37% 37% VERSION 6 - November 2016 Page 20 of 21

21 Eligibility - All drivers must be between 18 and 75 years of age (a maximum age of 78 at the end of contract) - All drivers must hold a full licence from the UK, EU, EEA or one of the following countries; Andorra, Australia, Barbados, British Virgin Islands, Canada, Falkland Islands, Faroe Islands, Hong Kong, Japan, Monaco, New Zealand, Republic of Korea, Singapore, South Africa, Switzerland, USA or Zimbabwe - You must have been a permanent employee for a minimum of 6 months - All drivers must be a permanent UK resident - No more than 2 category 'A' convictions disclosed and no more than 1 FAULT claim per driver disclosed in the last 3 years - Claims or category A convictions over 3 years old from the car delivery date are acceptable. Convictions that are shown below in red, which are over 5 years of age from date of delivery, are also acceptable - No drivers have a non-motoring conviction that is not spent under the Rehabilitation of Offenders Act - No drivers are employed by the emergency services unless explicitly agreed. - No drivers are celebrities or otherwise in the public eye including professional sportspersons, actors and musicians Category A Convictions show on online licence checks beginning with the following codes: CU or LC or MW or PC or SP or TS Please note: If you have any of the following then you DO NOT meet the eligibility criteria for the scheme. - Any conviction which has resulted in a ban in the last 5 years (including any of the minor conviction codes above) - A conviction in the last 5 years with any of the following letters on your licence; AC BA CD DD DR IN MS TT - UT Policy Excesses - Accidental Damage excess Fire, Theft and Malicious damage excess Replacement windscreen excess No excess if the windscreen is repaired. - An additional excess of 200 applies to drivers aged 18 to 24 for accidental damage. What's covered - Social, domestic, pleasure and commuting cover, including use by the Policyholder in connection with their Employer s business is covered as standard. Other forms of business use for the policyholder and/or spouse/civil partner may be considered on a case by case basis but do not order a car without checking first. - Unlimited cover for audio and navigation equipment that is permanently fixed to your vehicle and has no independent power source - Personal belongings in your car up to Replacement locks (see full policy wording for details.) - Damage to your vehicle following incorrect fuelling (No cover for removal of incorrect fuel and refuelling of the car) - Emergency medical treatment - Medical expenses, up to 350 per person - Accident transport/vehicle recovery - Child car seat cover, up to 100 per seat - Free extended use of your car in the EU, up to a period of 60 days VERSION 6 - November 2016 Page 21 of 21