IL SB3457

Rental companies must obtain written renter agreement before selling a damage waiver at or prior to rental agreement execution.

Rental companies can void damage waivers only for specific reasons including: commercial use of vehicle, racing activities, intentional/criminal acts, auto business operations, fraudulent rental contracts, use outside continental US when prohibited, operation by unauthorized drivers, and operation by drivers convicted of DUI.

Collision damage waiver fees are capped at $12.50 per full or partial 24-hour rental day.

Beginning January 1, 2013, the maximum daily waiver fee increases annually on January 1 by the lesser of: (i) the Consumer Price Index for all Urban Consumers from the previous calendar year or (ii) 5%.

Act takes effect upon becoming law.