Shifts Liability to a Renter’s Personal Auto Insurance
Both branches have now approved legislation designed to lower car rental costs in Massachusetts by shifting primary liability to a renter’s personal auto insurance.
The Senate unanimously approved its version of the bill (S 2603) in September and the House passed its bill (H 4705) by voice vote on Wednesday, a day after it was released by the House Ways and Means Committee.
The House processed its bill without debate. When the Senate passed its version, Sen. Julian Cyr said it would align laws here with those in most other states.
“We’re one of the only states where rental companies, not your own insurance, are required to carry primary coverage, and the cost of that policy gets passed right along to consumers,” Cyr said.
Senate Transportation Committee Co-chair Brendan Crighton has said the bill removes an “unnecessary insurance requirement” and “takes the burden of covering primary insurance off of car rental companies, which will in turn prevent raised prices for consumers.”
If the branches agree on consensus language, final enactment votes are needed in each branch to send the legislation to Gov. Maura Healey’s desk.
