§ 14-15b — Motor vehicle rental contracts. Required notice re collision damage waiver. Prohibited sales and advertising practice. Loss of use of a rental motor vehicle.

(a) For the purposes of this section: (1) “Collision damage waiver” means any contractual provision whereby a lessor of rental motor vehicles agrees for a charge to waive any claims against a lessee for any damages to a rental motor vehicle during the term of the rental contract; (2) “Rental motor vehicle” means a private passenger motor vehicle, as defined in subsection (e) of section 38a-363 , which is not the subject of a lease with the option to purchase where the lessee has the right to possession; and (3) “Loss of use” means the deprivation of the use of a rental motor vehicle by the person, firm or corporation leasing or renting such motor vehicle during the period reasonably required to make repairs to the motor vehicle. (b) Any motor vehicle rental contract incorporating a provision for collision damage waiver shall comply with the provisions of chapter 742 and shall provide conspicuous notice that the lessee's personal automobile insurance policy may cover collision damage, fire and theft damage and personal injury incurred while using a rental motor vehicle, and of the annualized rate for the collision damage waiver and any liability provisions. Any such contract shall detail the full extent of its coverage. (c) No person, firm or corporation engaged in the business of renting or leasing rental motor vehicles shall: (1) Make any false or misleading statements either orally or in writing, in connection with the sale, offer to sell, or advertisement of a collision damage waiver; (2) omit any material statement in connection with the sale, offer to sell or advertisement of such waiver; or (3) make any statement that the purchase of a collision damage waiver is mandatory. (d) Any motor vehicle rental contract may incorporate a provision whereby the person, firm or corporation leasing or renting motor vehicles is able to recover the loss of use of a rental motor vehicle because of any damage to such motor vehicle incurred during the term of such contract. Any amount collected pursuant to such a provision shall not exceed an amount equivalent to one day of the daily rental fee stated in the contract for every four hours of labor required to repair such damage, provided such amount does not exceed a reasonable estimate of the actual income lost for the loss of use of such motor vehicle. The limitation on any such amount shall not apply to a person, firm or corporation that, incidental to the conduct of its principal business, rents or leases a rental motor vehicle without a driver in the state. (e) A violation of any of the provisions of this section shall be deemed an unfair or deceptive trade practice under chapter 735a.

Legislative History

(P.A. 88-157, S. 2; P.A. 99-145, S. 1, 23; P.A. 24-21, S. 2.) History: P.A. 99-145 amended Subsec. (b) to substitute “subsection (e) of section 38a-363” for “subsection (g) of section 38a-363”, effective June 8, 1999; P.A. 24-21 amended Subsec. (a) to redesignate existing Subsec. (a) as Subdiv. (1) and existing Subsec. (b) as Subdiv. (2) and add Subdiv. (3) re defining “loss of use”, redesignated existing Subsecs. (c) and (d) as Subsecs. (b) and (c), amended redesignated Subsec. (c) to add Subdiv. designators (1) to (3), added new Subsec. (d) re loss of use provision in motor vehicle rental contract and made technical and conforming changes, effective July 1, 2024, and applicable to contracts entered into on or after said date.