Rental Car Realities – Quincy Mutual Article

Posted on April 5, 2016

Rental Car Realities

No one ever expects to be in an accident. No one ever thinks they are going to need a rental vehicle. But when it does happen everyone needs a rental! Suddenly, saving a few bucks isn’t such a smart idea. While the laws have not changed, the way in which many carriers now handle your customer’s rental claims sure has.

Some carriers insist that your insured make a third party property damage claim. Otherwise, they will not authorize a direct bill. Some carriers have a very strict daily rate as low as $24.00 a day no matter what type of vehicle your customer was driving. We’ve heard that four tires and a steering wheel are good enough! The hassle involved with getting a rental is the last thing your customers need to deal with after an accident, especially when they are not at fault. 

Oftentimes, you or your insured will call our office and ask for assistance in setting up a rental authorization with another carrier or to assist in extending the length of rental. Many carriers insist that they will only talk to the customer directly, making what was once a simple task much more difficult.    Some carriers will not begin their investigation until their insured reports the loss, which can complicate the problem if there is a delay with the repairs.   This results in upset customers, which is something none of us want!

So what is the best way to protect our customers when they actually have a loss?  Add rental to their policy. In most cases, $30.00 a day will get you a reasonable rental vehicle. However, rental companies add on fees and sales tax, which increases the cost to $35.00 to $40.00 a day.