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Rental car company refuses to pay insurance claims

Rental car company refuses to pay insurance claims

(KUTV) When Ben Davis was rear-ended last November, he wasn't too worried. The driver of the other car said the car was a rental and she had paid extra to the rental car company to make sure the car was insurred.

“It says [on the contract] that she's got road hazard protection for two days for 19.99 a day,” Ben's wife, Lisa, showed.

Lisa says she called the car rental company and was surprised with what she was told.

“He told me I could get it fixed at his shop and it would take about a month,” she said.

When Lisa told the worker she just wanted the insurance company information to file a claim she was hung up on.

For months thereafter, Lisa and Ben have tried to get Discount Rent-A-Car to hand over their insurance information, but they always ran into dead ends.

“I've just tried to talk to them frankly but they won't even deal with me,” Lisa said.

Frustrated, Lisa and Ben asked Get Gephardt to investigate and thus began a long list of seemingly contradictory excuses.

When Get Gephardt contacting Discount Rent-A-Car, they stated they didn't even own the SUV that had been in the wreck.

That differs from what the company told Salt Lake City Police. According to the police report, cops found the SUV that had been in the accident on Discount Rent-A-Car's lot but with a "different license plate.”

There was no mention to the cops that Discount Rent-A-Car didn't own the SUV. Rather, the officer was told Ben and Lisa should "file a claim," which, of course, is exactly what they've been trying do.

The odd excuses continued when Get Gephardt brought all of this to the attention of the Utah department of insurance. They tell Get Gephardt Discount Rent-A-Car is not licensed to sell insurance.

According to public Insurance Department records, Discount Rent-A-Car told state investigators they don't have to be licensed to sell insurance because it's "not insurance" they sold, rather it's "road hazard protection."

"The insurance statutes do not apply to Discount Rent-A-Car,” the company told state regulators.

The state disagrees and have now slapped Discount Rent-A-Car with a cease and desist, barring them from selling insurance unless the get licensed to do so.

In the end, Ben and Lisa say their insurance company agreed to pay for the damages and will go after Discount Rent-A-Car and the other driver for reimbursement.

Get Gephardt attempted to follow up with Discount Rent-A-Car, but the rental company is now refusing to comment stating that it's become a legal matter and their lawyer told them to keep quiet.

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