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Average Length of Replacement Rental Rises Slightly in Q3

The national average length of replacement rental (LOR) rose slightly in the third quarter of 2015 to 11.4 days overall, according to Enterprise’s Automated Rental Management System (ARMS). California saw the largest increase in LOR.

by Staff
December 22, 2015
Average Length of Replacement Rental Rises Slightly in Q3

The Northeast and Southwest region led the nation with the highest LOR at 12.5 days. Photo courtesy of Enterprise Rent-A-Car.

2 min to read


The Northeast and Southwest region led the nation with the highest LOR at 12.5 days. Photo courtesy of Enterprise Rent-A-Car.

Enterprise Rent-A-Car released its replacement rental data for the third quarter of 2015, which is tracked by Enterprise’s Automated Rental Management System (ARMS).

The national average length of replacement rental (LOR) rose slightly in the third quarter of 2015 to 11.4 days overall, a slight increase over the average third quarter LOR for the last five years.

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The quarterly report, gathered by Enterprise’s ARMS data, tracks the length of time replacement vehicles are rented to collision center customers.

“We continue to see a rise in claims frequency, miles driven and registered vehicles per licensed driver, which can all contribute to longer cycle times,” said Frank LaViola, assistant vice president of collision industry relations for Enterprise. “However, the overall severity of claims and number of parts per estimate this quarter were stable compared to the same time period last year. This suggests that an increase in total loss frequency drove the uptick in length of rental for the quarter.”

While the national average LOR increased 0.4 days from Q3 last year, not all U.S. regions experienced a year-over-year increase. In the Pacific, LOR declined 0.3 days while the Midwest came in flat at 10.3 days.

California, as a region, saw the largest increase in LOR — up 0.7 days over the year-ago quarter. With the pending El Nino, the state may also experience record high cycle times in Q4, according to Enterprise.

Enterprise began sharing length of rental information with collision repair centers six years ago in an effort to highlight below-market-average cycle times and provide performance data for consistent industrywide comparisons.

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The ARMS digital management platform enables repair centers to book rental reservations and send vehicle status updates to insurance partners and customers, according to Enterprise.

To learn more about the ARMS Automotive Suite, visit www.armsautosuite.com.


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