Auto Rental
Auto Rental companies have come to rely on a technology called telematics – which combines satellite-based Global Positioning System tracking, wireless communications and vehicle monitoring systems – to keep tabs on their auto rental. About a quarter of rental cars in the United States are equipped with tracking technology, analysts estimate. The industry views telematics as a way to enforce its contracts, but some customers regard it, at best, as a means to make more money and, at worst, as an invasion of privacy.
The $259.51 bill you had expected ballooned to $3,405.05 – most of it a result of a $1-a-mile fee for each of the 2,874 miles driven. It turned out that by crossing the state line, you had violated the contract.
The auto rental industry already has a reputation for high gasoline-refill charges and airport-use fees, among other items, and business travelers are concerned that telematics will offer yet another opportunity for companies to impose additional charges.
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