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Rental‑car industry and small operator urge H.1301 to make personal policies primary for rentals
Summary
Backers including the American Car Rental Association and a Massachusetts rental‑car owner told the Joint Committee on Financial Services that H.1301 would require personal auto insurers to be primary for accidents involving rented vehicles, aligning Massachusetts with most other states and easing financial burdens on rental operators.
Don Lefebvre, executive director of the American Car Rental Association, and a Massachusetts rental‑car operator testified in support of H.1301 before the Joint Committee on Financial Services, urging the committee to report the bill favorably.
Lefebvre said the bill “is common sense legislation that would require personal auto insurers to provide primary coverage when they're insured causes an accident while driving a rented vehicle.” He told the committee that most other states already adopt the same principle and that “47 states already followed this principle,” leaving Massachusetts as one of the outliers.
Lefebvre said rental‑related claims account for a very small share of overall auto claims and that states adopting the change did not see premium increases. He told the committee that the legislation “does not relieve rental car companies of their responsibility” and that rental firms “would still be liable for their own negligence and must guarantee minimum financial responsibility when a renter lacks valid insurance.”
A small Massachusetts operator identifying himself as the president of Jay Harling Corporation, doing business as Black Mobility Ace Rent A Car, also testified in support. He told the committee the change would put Massachusetts “in line with 95% of the country” and said the current law imposes a significant financial burden on small operators. He said claims involving rental cars make up “less than half a percent of all auto claims,” and that the change would not drive up premiums based on experience in other states.
Both witnesses urged the committee to report H.1301 favorably. The transcript does not record a committee vote or any formal amendment during the hearing.
Testimony by the two witnesses emphasized two recurring points: that personal policies should be primary for rental crashes and that doing so would align Massachusetts with other states while protecting small rental businesses. The record shows slightly different numerical claims by witnesses (one cited 47 states; the other cited 95% of states).
