
[file photo]
The Fiji Rental Car Association has raised concerns over growing industry challenges, including the lack of insurance coverage and restrictions on vehicle age limits.
Vice President Jyoti Lal highlighted this issue at last night’s Town Hall meeting, saying that many major providers have declined to offer insurance policies to rental operators.
She adds many rental operators have been unable to obtain insurance, despite approaching major providers.
“No one wants to take our insurance, and we have very big stakeholders in insurance. But all have declined our insurance policy.”
Lal is also calling for the Land Transport Authority to review the age limit imposed on rental vehicles.
In response, LTA Manager of Regulation Samuela Veitala says they have extended the age limit of vehicles.
“Just to answer your question on the age limit for rental vehicles, this has been renewed lately, and it was extended from three years to five years for secondhand vehicle. And further review is coming. This will be based on an audit on all the rental vehicles in Fiji.”
Veitala also confirms that discussions are ongoing with the Consumer Council regarding insurance challenges faced by rental operators, noting that insurance companies are reluctant to provide coverage due to the higher risks and lower bond rates in the rental industry.
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