Rental Vehicles

Employees may rent vehicles for University travel when the vehicle is needed to conduct University business.

Arranging Rental

The University has negotiated discounted corporate rate programs with major car rental companies, which provide for significant savings over standard rates. These programs should be used whenever possible and practical.

Travel Agencies

Employees may arrange to rent vehicles through the contracted travel agencies.

Eligible Expenses

Eligible expenses include only those expenses that are necessary to conduct University business, such as the rental fee plus other mandatory charges and gasoline. Reimbursement of car rental insurance will be made under limited circumstances identified below.

Claiming Expenses

You may only claim expenses to the extent they are necessary to conduct University business.

• You may claim expenses only up to a full size vehicle, unless you document a business need for a more expensive vehicle.
• If you use a vehicle partly for personal travel, you must prorate the cost based on number of days of use.
• If you rent a vehicle for a conference/meeting, you may claim expenses only to the extent you document a business need for the vehicle.

Requesting Reimbursement

Request reimbursement for rental vehicles on a Travel Trip Expense Detail Form (UM 11). Submit the payment receipt and documentation of payment. If the payment receipt is not itemized with a breakdown of charges and fees, you must also submit the rental agreement. The Travel Expense Detail form must be approved by the traveler's administrative superior.

Travel Card Insurance

The vehicle rental should be charged to a University Travel Card which provides $50,000 of Collision Damage Wiaver/Limited Damage Waiver coverage. Use of the corporate card is encouraged since this shifts the initial burden of loss to the credit card company rather than the University’s self insurance fund.

Insurance

Three types of insurance are typically offered by car rental companies: Personal Accident Insurance, Liability Insurance, and Collision Damage Waiver/Limited Damage Waiver. Under most circumstances, University employees and authorized guests are sufficiently covered by the University's self-insurance program and the purchase of insurance form car rental companies is not recommended and will not be reimbursed by the University. [See also 9:020 Rental Vehicle Damage Insurance.]

Personal Accident Insurance (PAI)

Personal Accident Insurance coverage is not necessary. Employees in accidents arising out of their employment have death and bodily injury coverage under the University's self-insured workers' compensation program. Coverage will not be reimbursed by the University under any circumstances.

Liability Insurance

Reimbursable by the University only if the vehicle is to be driven outside the U.S. or Canada, or the driver or renter is not a U.S. or Canadian resident. In these cases, the renter should purchase liability coverage offered by the rental agency, not to exceed $500,000 combined single limit for bodily injury and property damage.

• For all other rentals, University employees and guests renting a vehicle for authorized University business purposes are covered under the University's self-insured auto/general liability program.
• If you drive the rental vehicle for personal business, such as taking vacation time in conjunction with a business trip, you are personally liable. You will need to determine whether your own insurance covers you or whether you should purchase liability coverage from the rental agency. This expense is not reimbursable.

Collision Damage Waiver/Limited Damage Waiver (CDW or LDW)

Since the University's corporate card provides full value of CDW coverage (excluding cargo vans and trucks), you should use the corporate card when renting a vehicle The entire rental should be charged to the corporate card and the collision damage waiver offered by the rental agency should be declined.

Collision Damage Waiver/Limited Damage Waiver coverage should only be purchased when:

The vehicle is to be driven outside the US or Canada, or

The driver or renter is not a US or Canadian resident, or

The vehicle has a passenger capacity greater than eight (8), or

Trucks or similar vehicles are rented for the primary purpose of transporting any type of cargo or property, or

Sports or utility vehicles are to be used off of maintained roads.

Reporting Accidents and Injuries

If an accident or injury occurs with a rented vehicle, the UM Office of Risk and Insurance Management is to be notified immediately by telephone (573-882-6205), regardless of the amount of damage. [See also 9:020 Rental Vehicle Damage Insurance, if the damaged vehicle was rented using a corporate card.]