State of Illinois
92nd General Assembly
Legislation

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92_HB5819

 
                                               LRB9214022LDtm

 1        AN ACT in relation to vehicles.

 2        Be it enacted by the People of  the  State  of  Illinois,
 3    represented in the General Assembly:

 4        Section  5.   The  Renter's  Financial Responsibility and
 5    Protection Act is amended by changing Sections 10 and  15  as
 6    follows:

 7        (625 ILCS 27/10)
 8        Sec. 10.  Definitions.  As used in this Act:
 9        "Rental  Company"  means  a  person  or entity that rents
10    private passenger vehicles to the public for 90  30  days  or
11    less.
12        "Renter" means a person or entity that obtains the use of
13    a private passenger vehicle from a rental company under terms
14    of a rental agreement.
15        "Rental  Agreement"  means an agreement for 90 30 days or
16    less setting forth the terms and conditions governing the use
17    of a private passenger vehicle provided by a rental company.
18        "Authorized  Driver"  means:  the  renter;  the  renter's
19    spouse if the spouse is a licensed driver and  satisfies  the
20    rental   company's  minimum  age  requirement;  the  renter's
21    employer, employee, or co-worker if that person is a licensed
22    driver,  satisfies   the   rental   company's   minimum   age
23    requirement,  and  at  the time of the rental is engaged in a
24    business  activity  with  the  renter;  any  person  who   is
25    expressly   listed  by  the  rental  company  on  the  rental
26    agreement as an authorized driver;  and  any  person  driving
27    directly  to a medical or police facility under circumstances
28    reasonably believed to constitute an emergency and who  is  a
29    licensed driver.
30        "Damage Waiver" means a rental company's agreement not to
31    hold  an  authorized  driver  liable for all or a part of any
 
                            -2-                LRB9214022LDtm
 1    damage to or loss of a rented vehicle for  which  the  renter
 2    may  be  liable pursuant to Section 6-305.2.  "Damage Waiver"
 3    shall encompass within its meaning other similar  terms  used
 4    by rental companies, such as "Collision Damage Waiver", "Loss
 5    Damage Waiver", "Physical Damage Waiver", and the like.
 6    (Source: P.A. 90-113, eff. 7-14-97.)

 7        (625 ILCS 27/15)
 8        Sec. 15. Prohibited practices.
 9        (a)  A rental company may not sell a damage waiver unless
10    the renter agrees to the damage waiver in writing at or prior
11    to the time the rental agreement is executed.
12        (b)  A rental company may not void a damage waiver except
13    for one or more of the following reasons:
14             (1)  Damage or loss while the rental vehicle is used
15        to carry persons or property for a charge or fee.
16             (2)  Damage  or  loss  during an organized or agreed
17        upon racing or speed contest or demonstration or  pushing
18        or  pulling  activity  in  which  the  rental  vehicle is
19        actively involved.
20             (3)  Damage  or  loss  that  could   reasonably   be
21        expected  from  an  intentional  or  criminal  act of the
22        driver other than a traffic infraction.
23             (4)  Damage or loss to any rental vehicle  resulting
24        from  any  auto  business  operation,  including  but not
25        limited  to  repairing,  servicing,   testing,   washing,
26        parking, storing, or selling of automobiles.
27             (5)  Damage or loss occurring to a rental vehicle if
28        the  rental  contract  is based on fraudulent or material
29        misrepresentation by the renter.
30             (6)  Damage or loss arising out of the  use  of  the
31        rental vehicle outside the continental United States when
32        such   use  is  specifically  prohibited  in  the  rental
33        agreement.
 
                            -3-                LRB9214022LDtm
 1             (7)  Damage  or  loss  occurring  while  the  rental
 2        vehicle is operated by a driver not permitted  under  the
 3        rental agreement.
 4        (c)  A  rental  company shall not charge more than $9 per
 5    full or partial 24 hour rental day  for  a  collision  damage
 6    waiver  if  the  manufacturer's suggested retail price of the
 7    rental vehicle type is not greater than  $30,000.   A  rental
 8    company shall not charge more than $12 per full or partial 24
 9    hour  rental  day  for  a  collision  damage  waiver  if  the
10    manufacturer's  suggested  retail price of the rental vehicle
11    type is greater than $30,000. On January 1, 2000, the maximum
12    charges in this subsection (c) shall be  increased  to  $9.50
13    and $12.50, respectively, and shall be subsequently increased
14    to  $10  and  $13 on January 1, 2001 and $10.50 and $13.50 on
15    January 1, 2002.
16    (Source: P.A. 90-113, eff. 7-14-97.)

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