car hire agreements Tag

Refund Policies & Damage Compensation on Self Drive Car Rentals in Uganda

Every business has its own Policies when it comes to agreements between two or more parties and so Car Rentals in Uganda. Car Rental in Uganda is among the most popular online businesses in the country though some times faces setbacks due to lack of proper understanding of the Agreements and Policies mostly those regarding Insurance, Refund and Damage Compensation.

This results into either parties (Car Hire Agency and the client ) making unnecessary losses, as well as Bad Reviews to the Agency. This article is specifically to highlight these major issues that some times hinder the success of the business of Car Rental in Uganda.

Insurance and Damage Compensation

The Insurance section is the most confusing part in Car Rental Agreements. Most of the Cars offered on Self drive basis to hirers are comprehensively insured. This means that the Vehicle is covered in Case of any kind accident be it caused by Fire or something else.

However, the comprehensive Insurance doesn’t apply/ cover to;

• Damages caused to the Car beyond 7pm, the reason why most of the Agreements prohibit the Hirer from driving at night or very early in the morning when the skies are not clear i.e before 6:30am.
• The life of the People in the Car. Hirers are always advised to come with their Life Insurance Policies.
• Damage to the tyres. In case of a flat tyre, some Agencies need the client to pay full amount of the tyre while others demand for a compensation of half the amount.

Meanwhile, there are areas where client is 100% responsible for damages on the car and these include;

Single Vehicle Accidents/ Rollover

1. 1 Driving in excess of speed limits is the major cause for single vehicle accidents which call for huge fines on the side of clients. For-instance, any kind of rollover caused by a client calls in a fine of US$1000 USD for small vehicles such as a Rav4, Toyota Corollas, Premios among others. Bigger vehicles such as Land Cruisers for this case are fined $1500. This fine is used for towing services to transport the vehicle from where it involved in an accident to Kampala where Good Garages are found but not repair. The comprehensive Insurance only covers the Car repair part therefore clients are always advised to drive at a speed limit- 50Km/hr in Towns and 80 km/hr. on highways.
2.  For this case of Single Vehicle Accidents, to limit more fines, the client is entitled to get police Report and make Police Statement since it is what most company insurance policies base on to compensate. When the client does not get this letter, he/ she meets all the expenses of repairing the Vehicle.
3. Clients who have involved in a single vehicle accident are assigned a driver (a must) to offer chauffeur services for the rest of the rental period. Here, the Clients have to meet between the driver fees that are about $30 to $40 per day.

Off-Track Driving

1. Driving on restricted roads / areas like off- tracking in Uganda National Park calls for a $150 fine to the Uganda Wildlife Authority (UWA). This is fully paid by the client.
2. Other areas where the client is fully liable to the damages on the Car include damages to the vehicle caused by careless, willful or reckless driving, driving under the influence of drugs or alcohol, use of fuel from restricted petrol stations and damages to the under-body of the vehicle. Therefore Clients are always advised to drive with a lot of care during weather conditions like rainy season and in muddy areas.

Mechanical Repairs and Refund

Some times, Vehicles can get mechanical breakdowns during the rental period. For this case, well established Car Rental Agencies always offer roadside assistance using one of their nearby net-worked mechanics to make sure that the Vehicle gets back on the road in time.

You just need to inform Agency officials so they assign you a mechanic for help. Some times clients pay the mechanic and this amount is refunded by the Company/ Agency. However, the amount to pay the mechanic should first be agreed upon with the Agency official since some take advantages of Foreign clients to impose kinda much more charges than supposed to be.

Clients for Long rental periods are always advised to make full service to the Vehicle every after 4 weeks of usage and this always between $20 to $40. This amount is also refundable to clients as it is the case to the replacement of simple parts of the vehicle that appear to have got faulty or damaged during the rental period such as faulty headlamps, battery, Brakes, Clutch among others.

What to Do In Case of a Vehicle Breakdown.

Before renting a vehicle, you need to first get detailed information about what to do in case of accidents, Vehicle break down among others. You can always get first hand information about such by reading through Frequently Asked Questions about Car Hire In Uganda that you can always find online.

• If the Vehicle is involved in an accident, is damaged, breaks down or requires repair regardless of cause, the Client/ Hirer must notify the Operator of the full circumstances immediately. He must not arrange or undertake any repairs or leave the scene of accident before police inspection or without the Operator’s authority.
• If the vehicle requires repair or replacement, the rental agency arranges repairs to the vehicle or arrange a replacement vehicle within a reasonable time frame( 24Hours), provided that the operator will not be required to repair or replace the vehicle if it was damaged while being operated in a manner which breaches the earlier agreement
• In case of mechanical breakdown, most rental agencies provide replacement of the car and are responsible for the fuel to drop the replacement car and the client provide the fuel to return the broken-down car.