If you`re in the business of lending out vehicles, whether you`re a car dealership or a repair shop, it`s important to have a loaner vehicle agreement template in place. This type of agreement protects both you and the borrower by outlining the terms and conditions of the loan.
So, what should be included in a loaner vehicle agreement template?
First and foremost, you`ll want to clearly state the purpose of the loan. Is the borrower using the vehicle while theirs is being repaired? Are they test driving a vehicle they`re interested in purchasing? Make sure the reason for the loan is clearly stated at the beginning of the agreement.
Next, spell out the terms of the loan. This includes the length of the loan, any mileage restrictions, and any fees or penalties for late returns or damages. It`s important to be specific here to avoid any confusion or misunderstandings later on.
You`ll also want to include provisions for insurance and liability. Make sure the borrower has adequate insurance coverage for the loaned vehicle, and outline who is responsible for any damages. It`s also a good idea to include a hold harmless clause, which protects you from any lawsuits resulting from the borrower`s use of the vehicle.
Finally, include any additional terms or conditions that are applicable to your specific situation. For example, if you`re loaning out a luxury vehicle, you may want to include additional restrictions or requirements.
Having a loaner vehicle agreement template in place can save you a lot of headaches down the road. Not only does it protect you and the borrower, but it also ensures that everyone is on the same page regarding the terms of the loan. If you`re not sure where to start, there are plenty of templates available online that you can customize to your needs. Don`t take any chances when it comes to loaning out vehicles – protect yourself and your business with a loaner vehicle agreement template.