Insurance on Commercially Leased Vehicles
Highlights
An advance decision was requested with regard to the reimbursement of an employee for the cost of insurance purchased on a vehicle leased for the purpose of carrying out official business while on temporary duty abroad. The employee may be reimbursed for the costs of leasing the vehicle on a long-term basis since the agency determined that the long-term lease was more advantageous to the government than a rental arrangement. The employee may be partially reimbursed for the costs of insurance purchased on the vehicle to the extent necessary for hire and operation of the vehicle on German roads. Excess coverage not required by statute or by industrial custom to enable commercial hire of the vehicle and its operation on German roads was personal to the employee and may not be certified for payment.