Ensuring the safety of employees using their vehicles for official purposes.
Regulate the reimbursement process for the use of vehicles.
Encourage efficient and economical use of vehicles for business purposes.
Outlining the guidelines for Grade based Entitlements.
Scope
Employees whose work involves extensive field travel for official work are covered under the policy.
Field employees in the defined grades from specific departments shall be eligible for this policy & the applicability shall be need-based.
Definition
Value of Car : Road Value which is the total of Invoice value (including the registration charges, insurance, ex showroom price of vehicle) and all the taxes payable at the time of purchase of the car excluding value of car accessories.
Pre-used car: This refers to the existing car under use.
Date of Purchase: The actual date of purchase as mentioned in the Tax Invoice
Policy Entry Date: The date of entry of employee in the policy i.e. Date of Joining or Date of Promotion
Policy Effective Date: The date on which policy becomes effective to employee i.e date of document submission
Life of Vehicle: The Vehicle shall be covered in this scheme for a maximum of 2,52,000 claimed kms, used for business purposes.
Applicability
Grade & Department:
Department
Grade
Sales, Production, Parent Seed, Trialing & PD (need based, as per the business requirements)
M1 to M5
Date: The Policy shall be effective from 01st April, 2025
Documentation: The employees must provide all documentary proofs of the Vehicles as outlined in the below, in the Employee Portal.
Vehicle Registration Certificate (RC)
Vehicle Invoice Copy (Road tax and vehicle insurance receipts, if not a part of invoice)
Reimbursement Table:
Grade
M1-M3
M4-M5
Value of Car
9,00,000
11,00,000
Rate Per Kms
14
15.50
Maximum Admissible Kms (Annually)
36,000
36,000
Maximum Admissible Kms in total under this Policy
2,52,000
2,52,000
Reduced Rate after maximum admissible km limit
10
11
Extensive Running Assistance is available @ Rs.4/Km, in addition to the above applicable rates for, M4 & M5 grades, with compulsory self-declaration
Other Guidelines:
The vehicle must be under the name of the employee only in all cases
The employee should preferably purchase a new car under this scheme.
If vehicle value is more than the specified limits, the reimbursement rate shall be restricted to the rate applicable to the respective grade bracket.
The employee cannot opt for a model whose value is below the specified limit. However, a difference in vehicle value ( upto 50,000 from specified limit ) shall be considered for coverage under this policy.
In case of vehicle value beyond coverage as per grade eligibility, a lower grade eligibility can be considered, subject to fulfillment of other conditions of that grade eligibility.
Once the limit of 2.52 Lakh kms is reached, the vehicle shall exit from this policy & reduced rate (as mentioned in the reimbursement table) shall be applicable.
For employees joining on or after 01.04.2025 (Old vehicle being used) : Previous running kilometers will be reduced from maximum admissible km limit of 2.52 Lakh kms
If the employee is promoted in between or becomes eligible for the policy, they shall be eligible for the rates as per his revised grade, only when the vehicle value meets the eligibility criteria as provided in the policy. Else, the migration clause is applicable. Additionally, the claimed kilometers, upto date of promotion, or the utilized kms, upto date of eligibility, shall be reduced from the maximum limit of 2.52 L km.
In case of any transfers from Field work to office, the employee will no longer be eligible for coverage under the policy (refer Migration Clause)
Any running beyond the annual limit of 36,000 kms (Monthly 3000 km) shall require approval (based on geography & area coverage).
Any unutilized annual kms will be carried forward to subsequent years, till the max km limit is reached i.e. 2.5L kms
In case the car is self-driven, the general limit for equivalent grade shall be applicable. The team member shall be declaring for every month whether the vehicle was self-driven (Yes) or (No) in the expense claiming tool.
Claiming the ‘with extensive running assistance’ rate without appointing the driver shall be treated as a Financial integrity issue leading to disciplinary action.
Second hand car shall not be covered in the policy
The day wise km run shall be verified by the finance department on submission of odometer reading photographs in the expenses software.
Precautions:
It is mandatory for the employee to strictly adhere to the VNR Vehicle Safety and Maintenance Policy. Disciplinary action may be taken in case any violation is found.
Every Employee under this scheme should be possessing a Driving license.
Employees are expected to keep the car in good, clean and running condition. Company does not take any responsibility for breach of traffic rules, violation of any traffic laws, rash driving and/or car driven by any other person
The company is not responsible for any damage to property or loss of life while an employee is using a vehicle for business purposes. It is recommended to have mandatory third-party insurance.
Migration Clause:
Incase of Promotion/ Transfer from Office work to Field work- Employee will be migrated based on repayment of fixed component, calculated over remaining life of vehicle
Incase of Promotion/ Transfer from Field work to Office work- To support the employee to cover his EMI/fixed portion of vehicle, following amount will be paid over the remaining life (Monthly) of vehicle – “Unpaid Fixed portion(Before Tax) (-) Realizable value of vehicle“
