Auto Insurance Coverage for Rented Vehicles
The University Treasurer's Office responds to inquiries about the University's auto insurance programs for auto rentals for University business travel. Contact Matthew Wamback at (774) 455-7588, firstname.lastname@example.org if you have any questions.
When University employees rent vehicles for University
business, if possible, the vehicle should be rented in the name of the
University. Please note, the below guidelines and
referenced protections only pertain to University
Employees and University sponsored groups. Non-employees and groups that
are not sponsored/approved by the University are not covered under any
applicable policy or protection.
Employees renting vehicles will most likely be given the
option of buying the following two types of rental insurance:
When renting cars for University business, employees should
follow the following guidelines:
- Liability Insurance which covers bodily injury or property
damage to a third party.
- The University has a Hired and Non-owned Liability Insurance
policy for vehicles rented for University business. The University's policy is
only an excess policy. This policy has a $1,000,000 combined single limit for
bodily injury and/or property damage to others.
- Physical Damage Insurance, often referred to as a Collision
Damage Waiver (CDW) or a Loss Damage Waiver (LDW), which overs property damage to
- Within Massachusetts:
- Decline the Liability Insurance offered by the
rental company, if you are renting the vehicle in Massachusetts and you will
only be driving the vehicle Massachusetts.
- Outside of Massachusetts:
- Purchase the Liability Insurance offered by the
rental company, if not already included in an existing contract, if renting a
vehicle outside of the State of Massachusetts or for use outside of Massachusetts.
- Paying with University issued business credit
- Decline the Physical Damage Insurance (CDW/LDW)
offered by the rental company. Please
note that it is important for the employee to carefully review the terms of
their University credit card to make sure that it does provide primary Physical
Damage Insurance when renting a vehicle. The employee will also want to make
sure that the type of vehicle he/she is renting is not excluded from the
coverage provided by the credit card
- Paying with a purchase order or personal credit
- Purchase the Physical Damage Insurance (CDW/LDW)
offered by the rental company if paying with a purchase order, personal credit
card, or any other means of payment that does not provide primary Physical
Damage Insurance coverage. Also,
purchase the physical damage insurance if renting a van that carries more than
If in doubt as to whether or not the employee's University
issued business credit card provides primary physical damage coverage, it is a
good idea to purchase the coverage from the rental company. The Physical Damage
Insurance coverage offered by the rental company is a good protection at
usually a low daily rate.
If involved in an
If there is damage to the rental vehicle, and a University
issued business credit card/procard/travel card is used, the employee needs to
contact the credit card company immediately to report a loss.
If there is third party damage, the employee
should contact Matthew Wamback in the University's Treasurer's Office at email@example.com.
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