Bill > S2603

This bill modifies Section 32E of Chapter 90 of the Massachusetts General Laws related to car rental insurance requirements. Specifically, the bill clarifies the insurance obligations for car rental companies (lessors) when leasing vehicles. Under the proposed amendment, rental car companies must provide and maintain a motor vehicle liability policy or bond on a secondary or contingent basis, which would cover damages and personal injuries if the person renting the car (the lessee) does not have their own insurance coverage. This secondary coverage is required for vehicle rentals of 30 days or less. If the renter already has a valid liability policy that meets the minimum financial requirements for vehicle owners in Massachusetts, the rental company's insurance obligation would be considered fulfilled. The bill aims to ensure that there is always some form of financial protection in place during short-term vehicle rentals, providing an additional layer of security for both renters and potential accident victims.