Vehicle Abuse Carries High Cost for South African Car Rental Industry

The Southern African Vehicle Rental and Leasing Association reports that road accidents in South Africa are costing that country’s car rental industry more than 500-million rands (about $65 million) a year due to the abuse of rented vehicles, according to the South African Web site IOL.

Abuse and neglect of more than 12,000 vehicles per month cost the industry about R50-million (about $6,500,000) a month, according to association statistics. Car rental industry statistics show that the average repair costs for each vehicle was about R4,000 (about $570), which leads to an average downtime of four days per vehicle.

Avis South Africa managing director Wayne Duvenage said the industry recorded a 51 percent increase in the number of accidents, resulting in a hike in accident repair costs last year. He said challenges included the deterioration of roads, the malfunctioning of traffic lights and faded road markings, and lack of funding for repairs, were behind the sharp increase in accidents.

Poor law enforcement also encouraged lawless driving, according to the IOL site.

Comment On This Story

Name:  
Email:  
Comment: (Max. 10000 characters)  
Please leave blank:
* Please note that every comment is moderated.

Newsletter: Sign up to receive latest news, articles, and much more.

Read the latest

Auto Focus Blog: A blog covering fleets, auto rental and the business of cars

Five Business Model Trends for 2017

As new forms of mobility take flight, the borders with traditional car rental are starting to erode.

Are Commercial Drone Deliveries Eminent in the U.S.?

Amazon just delivered its first package by drone in England. Will U.S. delivery fleets be able to take advantage soon?

Autonomous Vehicles and the Changing Role of the Fleet Manager

With fewer drivers and substantially longer fleet lifecycles, fleet managers will pivot to new job functions.

Job Finder: Access Top Talent. Fill Key Positions.