North Dakota House of Representatives Rejects Rental Car Insurance Proposal
North Dakota car rental agencies' insurance companies will be responsible for all damages to rental cars if someone gets into an accident.
The North Dakota House of Representatives voted down a proposal that would have affected the state’s insurance laws for people who rent cars, according to the Associated Press.
According to North Dakota law, if someone gets into an accident in a rental car, the rental agency’s insurance is responsible for any damages. However, the proposal suggested that should a renter get into an accident, the driver’s insurance policy would be responsible for damages.
Advocates of the proposal said the bill would make rental car insurance less expensive without affecting the cost of regular car insurance.
The opposition maintained that the North Dakota drivers would have to pay for the insurance risks of rental car companies, even if they don’t rent vehicles.
The proposal was rejected in a 53-40 vote.
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