H.B. 342 Enrolled

RECOVERY OF ADMINISTRATIVE FEE FOR DAMAGES
SUSTAINED TO A RENTAL MOTOR VEHICLE
2002 GENERAL SESSION
STATE OF UTAH
Sponsor: Greg J. Curtis
This act modifies the Insurance Code to authorize an administrative fee for damage
sustained to a rental vehicle.
This act affects sections of Utah Code Annotated 1953 as follows:
AMENDS:
31A-22-311, as last amended by Chapter 316, Laws of Utah 1994
ENACTS:
31A-22-312.5, Utah Code Annotated 1953
Be it enacted by the Legislature of the state of Utah:
Section 1. Section 31A-22-311 is amended to read:
31A-22-311. Definitions.
As used in Sections 31A-22-312 , 31A-22-312.5 , and 31A-22-314 :
(1) "Administrative fee" means a fee collected under Section 31A-22-312.5 to offset
expenses incurred in administrating the collection and resolution of a claim.
[(1)] (2) "Authorized driver" means the person to whom the vehicle is rented and includes:
(a) his spouse if a licensed driver satisfying the rental company's minimum age
requirement;
(b) his employer or coworker if engaged in business activity with the renter and if they are
licensed drivers satisfying the rental company's minimum age requirement;
(c) any person who operates the vehicle during an emergency situation;
(d) any person who operates the vehicle while parking the vehicle at a commercial
establishment; or
(e) any person expressly listed by the rental company on the rental agreement as an
authorized driver.
[(2)] (3) "Damage" means any damage or loss to the rented vehicle [resulting from a

collision,] including:
(a) loss of use [and];
(b) any costs and expenses incident to the damage or loss[.];
(c) an administrative fee associated with the loss, as calculated under Section 31A-22-312.5 ;
and
(d) any diminution of value of the rental vehicle as a result of the damage or loss.
[(3)] (4) "Rental agreement" means any written agreement stating the terms and conditions
governing the use of a private passenger motor vehicle provided by a rental company.
[(4)] (5) "Rental company" means any person or organization in the business of providing
private passenger motor vehicles to the public.
[(5)] (6) "Renter" means any person or organization obtaining the use of a private passenger
motor vehicle from a rental company under the terms of a rental agreement.
Section 2. Section 31A-22-312.5 is enacted to read:
31A-22-312.5. Limitation of administrative fee.
An administrative fee may not exceed:
(1) $50 when the estimated damage to the rental vehicle is $250 or less;
(2) $75 when the estimated damage to the rental vehicle is between $251 and $500;
(3) $100 when the estimated damage to the rental vehicle is between $501 and $750;
(4) $150 when the estimated damage to the rental vehicle is between $751 and $1,500;
(5) $200 when the estimated damage to the rental vehicle is between $1,501 and $2,500; and
(6) $250 when the estimated damage to the rental vehicle exceeds $2,501.

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