Thursday, July 06, 2006

BVRLA lobbies against MEP’s plan to legislate on car rental contracts

BVRLA lobbies against MEP’s plan to legislate on car rental contracts
http://www.autoindustry.co.uk/news/05-07-06_15
5th July 2006

After London Labour MEP Robert Evans pressed the European Commission to consider legislation to stop holidaymakers and business travellers being caught by hidden car rental costs, including ‘expensive and unnecessary insurance, and being charged retrospectively for damage they had not caused”, the British Vehicle Rental & Leasing Association has argued against statutory regulation of the 40-50 million short-term rental that take place each year across the EU.

The organisation says Evans has released a “bland but ill-informed political declaration” to the European Parliament, and that “while he makes a number of valid points, he is calling for what is effectively car hire Utopia without taking account of the practicalities of delivery of the solutions.”

According to the BVRLA, “A number of issues in the political core of his declaration would be damaging to consumer interests – an intention surely not intended. (Robert Evans) calls for all damage to rental vehicles to be covered by insurance, whether that be body damage, windscreens or even tyres and wheels.

“The great majority of customers treat vehicles responsibly and return them on time and without damage. But to insure against all potential damage would force rental costs up with the net result that the responsible many would pay for the irresponsible few. It cannot be his intention to create an environment of irresponsible use of vehicles by rental drivers.

“While some changes are desirable, in seeking to change the way that car hire operates its present business model, Robert Evans would, for instance, force rental customers to return vehicles only in office hours so that they could be inspected by a member of staff thereby removing the current flexibility enjoyed by many customers.

“The heavy hand of regulation,” says John Lewis, BVRLA Director General, “Is not the answer. What is needed, and what we and others are working towards, is a clear understanding among consumers that if a vehicle is damaged, then it has to be paid for. That should be by the person who causes the damage and him or her alone.”

(www.robertevansmep.net,19 May, www.bvrla.co.uk, 5 July)

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