Specific legal insurance question

[mactube]

Hi, I haven't been on here for a while.. hope everybody in the community has been great since..

My question Is very specific and I haven't had to much success addressing this with the carrier.

I have a car rental agency and a rental car policy for my fleet, which also provided me with a rental car contract which I'm using between me and the renters of my cars in hopes that in case of a claim this contract provided by the insurance itself provides the best basis for a claim.

There is a section called " Notice About Your Financial Responsibility and Optional Collision Protection " which I attached here below.
The Renter hast the option to purchase Renters Collision Protection ( RCP) though me. ( I'm assuming this an option for me to sell the insurance coverage to the renter for a daily rate).

My question is, am I even legally authorized to sell / forward insurance or insurance coverage since I don't have a license and I'm must a rental car company ?

 

[DHK]

Tagging @adjusterjack and @Markthebroker

 

[adjusterjack]

You can confirm this with your insurance company.

It's not insurance so you don't have to be licensed to sell it.

It's a Collision Damage Waiver where you are charging the renter a fee so that they are free of any responsibility for collision damage to the vehicle.

By doing so you and your insurance company are giving up the right to go after the renter for the damage and loss of use.

Any time I have rented a car, the rentacar places actually call it a Collision Damage Waiver in the rental contract.

Rentacar companies make a great deal of money with those waivers.

For example, a fleet of 20 cars, rented every day with a $5 fee for the RCP:

20 x 365 x 5 = 36,500 revenue per year. Makes your insurance premiums a lot less painful.

 

[rousemark]

Hi, I haven't been on here for a while.. hope everybody in the community has been great since..

My question Is very specific and I haven't had to much success addressing this with the carrier.

I have a car rental agency and a rental car policy for my fleet, which also provided me with a rental car contract which I'm using between me and the renters of my cars in hopes that in case of a claim this contract provided by the insurance itself provides the best basis for a claim.

There is a section called " Notice About Your Financial Responsibility and Optional Collision Protection " which I attached here below.
The Renter hast the option to purchase Renters Collision Protection ( RCP) though me. ( I'm assuming this an option for me to sell the insurance coverage to the renter for a daily rate).

My question is, am I even legally authorized to sell / forward insurance or insurance coverage since I don't have a license and I'm must a rental car company ?

Suggest you consult a good attorney.

 

[Markthebroker]

Hi, I haven't been on here for a while.. hope everybody in the community has been great since..

My question Is very specific and I haven't had to much success addressing this with the carrier.

I have a car rental agency and a rental car policy for my fleet, which also provided me with a rental car contract which I'm using between me and the renters of my cars in hopes that in case of a claim this contract provided by the insurance itself provides the best basis for a claim.

There is a section called " Notice About Your Financial Responsibility and Optional Collision Protection " which I attached here below.
The Renter hast the option to purchase Renters Collision Protection ( RCP) though me. ( I'm assuming this an option for me to sell the insurance coverage to the renter for a daily rate).

My question is, am I even legally authorized to sell / forward insurance or insurance coverage since I don't have a license and I'm must a rental car company ?

I was going to give some input on this, as I do have some experience with it, but rousemark gave even better advice. Call an attorney.

 

[mactube]

You can confirm this with your insurance company.

It's not insurance so you don't have to be licensed to sell it.

It's a Collision Damage Waiver where you are charging the renter a fee so that they are free of any responsibility for collision damage to the vehicle.

By doing so you and your insurance company are giving up the right to go after the renter for the damage and loss of use.

Any time I have rented a car, the rentacar places actually call it a Collision Damage Waiver in the rental contract.

Rentacar companies make a great deal of money with those waivers.

For example, a fleet of 20 cars, rented every day with a $5 fee for the RCP:

20 x 365 x 5 = 36,500 revenue per year. Makes your insurance premiums a lot less painful.

@adjusterjack Thank you ! That clarifies alot ! .. I can sell it for a fee because it's a Waiver not insurance .. got it! Yes I'm also more familiar with the term Collision Damage Waiver which can be as high as $30-$40 on an $35 economy car. I just rather use the renters Collision Damage Waiver with their own insurance since these rental car insurances are very hard to get and I'm afraid of cancellation.

 

[mactube]

I was going to give some input on this, as I do have some experience with it, but rousemark gave even better advice. Call an attorney.

I was hoping to the some " not binding " advice here rather then getting an attorney involved. What kind of experience do you have if you don't mind sharing ?

 

[Markthebroker]

I was hoping to get some free advice here rather then spending money on an expert. What kind of experience do you have if you don't mind sharing ?

I fixed that for you.

I'm a commercial insurance broker that's dealt with aspects of this situation before.

Get an attorney.

Getting an attorney will be expensive. Trying to go on the cheap and get free advice from people on the internet will cost you much more in the long run.

 

[Ashmeade]

I fixed that for you.

I'm a commercial insurance broker that's dealt with aspects of this situation before.

Get an attorney.

Getting an attorney will be expensive. Trying to go on the cheap and get free advice from people on the internet will cost you much more in the long run.

Brutal, but honest.

 

[Allen Trent]

Brutal, but honest.

can you imagine how brutal his honesty could be dished out if he had 2 normal size hands to serve up the honesty?