You Asked We Answered: Rental Fees for Young Drivers

Administrator
Administrator

USAA-Member-Community-Underage-Driver-Fee.png

It is our hope in community, to be a knowledge base where our membership comes when they need clarification or have questions on any military life topics or if they have a questions or a concern regarding a service USAA provides.   Each month, in our “You Asked We Answered” series, we look at the trending topics driven by your questions and comments.

 

Last month, we answered some of the Zelle comments you all have been asking in community and this month we want to address your questions and concerns about the Young Driver Fee when using USAA’s car rental services. To address your questions, I spoke with Richard Rathman, the project manager for our rental car programs. Richard answers some of your more frequently asked questions.

 

Q: Richard, can you clarify what we need to know about the Young Driver Fee when using USAA’s rental car services?

 

A: “USAA negotiated with the rental car companies participating in the USAA Rental Car Program to waive the Under-Age Driver Fee for our military servicemen and women.  Specifically, those going to military schooling such as trade schools and military academies.  Unfortunately, our program has become inundated with non-qualified people taking advantage of getting a USAA member number and renting via our program. 

 

To be good stewards and to ensure we keep the under age 25 waiver benefit for our military, we will be implementing systems changes over the next year that will help ensure that our military members continue to receive the benefit.  This will mean those that aren’t qualified may have to rent without the under 25 waivers that we provide. However, they will still get the waiver of the additional driver fee and, in case there is an accident, waiver of admin fee, loss-of-use fees and depreciation fees. 

 

Since these changes require numerous system changes in all the rental car companies, we will be rolling out the changes via different channels throughout the year.  The announcement is just to let members know that the benefit is for USAA Insurance eligible members only.”

 

Q: What are the fees at the different rental companies?

 

A: Here is the fee breakdown:

 

Avis: $27 per day for Young Driver- This fee is waived for 18- to 24-year-olds.

Budget: $27 per day for Young Driver-This fee is waived for 18- to 24-year-olds.

Enterprise: $20 per day for Young Driver- This fee is waived for 21- to 24-year-olds.

Hertz: $30 per day for Young Driver- This fee is waived for 18- to 24-year-olds.

 

Thank you all for asking questions in community and we hope this helps clear up the young driver fee waiver questions. If you have additional questions or concerns, please let us know in the comments and we will get the answer!

  

 

About the Blogger: Briana Hartzell is a Navy spouse, mother to two beautiful girls (3 years and 1 year), a former full time USAA employee and a graduate of Texas A&M University. Briana writes at Being Briana, a blog focused on the joys that military life and parenthood can bring.

 

 

1 These program benefits apply only at participating locations in the United States. Program benefits do not apply to rentals outside the United States. Note 2 Waived fees vary by region but typical average value of non-USAA rental fees charged. Note 3 Enterprise does not have the pay now feature at this time. Note 4 Primary liability coverage included with rental and Limits as follows: Avis and Budget: $25K — bodily injury or death per person / $50K — bodily injury or death per accident / $10K — property damage. Enterprise: $25K — bodily injury or death per person / $50K — bodily injury or death per accident / $10K — property damage or applicable state minimum whichever is greater. Hertz: $25K — bodily injury or death per person / $50K — bodily injury or death per accident / $10K — property damage or applicable state minimum whichever is greater. Specifically for Hertz: These benefits apply provided there is no violation to the terms and conditions of the rental agreement. Valid at all corporate and participating franchisee locations. Applicable terms and restrictions apply. Use of the term "member" or "membership" refers to membership in USAA Membership Services and does not convey any legal or ownership rights in USAA. Restrictions apply and are subject to change. Alliance services provided through USAA Alliance Services, L.L.C.

Use of the term “member” or “membership” refers to membership in USAA Membership Services and does not convey any legal or ownership rights in USAA. Restrictions apply and are subject to change. To join USAA, separated military personnel must have received a discharge type of Honorable. Eligible former dependents of USAA members may join USAA.

 

246497 - 1017

11 REPLIES

I would like some clarification in regards to the Underage policy. I am an Insurance eligible member, and I am also 20. I am not military yet. Under the new rules will I still be able to rent from Hertz, Budget, and Avis without paying any Underage driver fees. This is especially important to me and these companies will NOT rent to anyone under 21 unless it is through USAA. 

 

Thank you. 

Thanks for commenting zebrastripes.

As an insurance eligible member, you should be able to rent without paying the underage fees. I recommend before renting, calling the company you plan to secure the rental with to confirm. Thank you

Thanks for the reply. I spoke with Budget, and Avis and they told me under no circumstance will they rent to under 21 even with USAA agreement. Hertz is the only one that confirmed they will rent to under 21, and they do this only for USAA. Would it be possible to get some clarification to this policy regarding Budget and Avis? It seems that the rental companies (Budget, Avis) may need to be reminded of their agreement. 

How can I tell if I am an insurance eligible member? 

Hi @member122! Thank you for your interest in USAA! USAA membership and products are available to military members, veterans who have an honorable discharge and their eligible family members. To process a quote, just enter keywords "Auto Insurance Quote" in the search field. Thanks! ~ Stacy

What about this case... I am NOT insurance eligible but am a USAA member. ..  I am a cosigner on a car loan for a friend that is 21 and is full usaa member with car insurance thru USAA.   I want to rent a car via hertz and add him onto the rental as an authorized driver.  Would the young drivers fee be waived in this cause for him under my car rental? 

@ JEP8821,

If you are renting the vehicle than your insurance would be responsible for liability as well as first party coverage.  Also, USAA negotiated with the rental car companies participating in the USAA Rental Car Program to waive the Under-Age Driver Fee for military members or cadets (USAA eligible). Many of these cadets, while old enough to join our military forces, are unable to rent a vehicle either due to age restrictions or finances. In order to keep this benefit for those we strive to serve, we are taking steps in the next year to ensure the waiver is limited to USAA insurance eligible members only. Thanks ~Mike

 

Mike,

 

Thanks for the reply.  Can I ask for you to pass this suggestion on..  With AAA, they now waive young and additonal driver fees for Hertz.   How about offering non-insurance qualifying members the option to add the car rental services you offer for an addional yearly fee?  Similar to AAA but maybe a little cheaper?  Why not look try to make this a win win for everyone.  Your core members would get it for free while your making money off of other members that would like this option.  

 

Thanks.

 

Jason

My 19-year-old is active duty military (USMA cadet) and we are going on vacation together. Could you advise me on how we go about renting a car that would allow both of us to be authorized drivers? We are both USAA members and since he is active duty, it seems we should both be able to on the rental agreement. Should I just call the different companies directly (Budget, Avis, etc) and hope that they know their policies for renting to active duty minors? Could you remind us one more time which rental car companies will rent to a 19-year-old who is active duty?  Thank you!