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By Christopher Elliott | October 5, 2009 Gordon Houston prepaid $97 for a rental car in Cancun through Hotwire a rate that was supposed to include all required fees. But then his car rental company, Europcar, added a mandatory insurance charge to his bill, leaving royal palm plaza hotel and raquet club guaruja him with a $268 bill.
Hotwire Hot Rates include all applicable tax-recovery charges and fees there are no hidden charges. For regular-rate rentals, Hotwire calculates estimated charges based on the agency s published rates, taxes and fees. All rentals include unlimited mileage unless otherwise noted.
Upon arrival in Cancun, the Europcar agent insisted that it was company policy that I take the extra insurance (otherwise royal palm plaza hotel and raquet club guaruja he could not rent me the car). He even insisted that this would have been on the Hotwire agreement page.
On Hotwire s website, I reserved a Hertz car for a week in Mexico for an estimated $113.85 a flat $90 for the rental of the car, and an estimated $23.85 in taxes and fees. I did not pay Hotwire at the time of the reservation and understood that I would pay Hertz directly when I rented the car.
At the Hertz desk in Mexico, I was presented with an entirely different set of charges. There, I heard for the first time about the mandatory Mexican liability insurance that you discussed in your October 11, 2008 post .
I did not have the option of declining the insurance, which amounted to approximately $110 for the week. But that wasn t the only surprising charge. The price of the car had mysteriously royal palm plaza hotel and raquet club guaruja risen to around $108, and I was assessed a SERV.CHRG of approximately $135. No one at Hertz or Hotwire has yet been able to tell me what that s about. Together with two smaller fees (about $44), my total bill was for $397.41.
If insurance is required by a supplier for a particular booking, Hotwire will provide that information up front during the purchase process. In this case, neither Europcar nor Hertz seem to require additional insurance for car rentals at these branch locations in Mexico.
It appears that the customers may have been hard sold by the branch representatives when they arrived to pick up their cars. In many cases, it can be a good idea for customers to get some form of additional coverage, but it shouldn t be positioned as mandatory when it s not.
Because this charge was coming from the supplier and was not required, this would normally need to be worked through the supplier and the customer directly. However, in some cases our customers can t get a satisfactory resolution, at which point we will try to help as well. Both customers were contacted and compensated in the total amount of the cost of their insurance, and now both suppliers are aware of these specific cases so that they can work with their two branches to solve the problem for future car rentals.
You can almost understand why car rental companies are doing this on deep-discounted Hotwire rentals. They re making almost nothing off these cheap rentals. Hard-selling insurance can turn an unprofitable rental into one that makes a little money (even if you have to tell a lie to do it).
Christopher royal palm plaza hotel and raquet club guaruja Elliott is an author, journalist and consumer advocate. You can read more about him on his personal website or contact him at *protected email* . Got a question or comment? You can post it on the new forum .
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