Insurance for Rental Vehicles

Insurance for Rental Vehicles

This memo updates the information about departmental responsibility for physical damage to and third-party liability related to vehicle rental.

In the United States and Puerto Rico, departments avoid the deductible when vehicles are rented through one of the University's two corporate rental car contracts: National Car Rental and Enterprise Rent-a-Car.  Below is the information about the insurance coverage available for these rentals.

National Car Rental (National) and Enterprise Rent-A-Car (Enterprise)

The University has a master agreement with National and Enterprise that offers attractive rental rates. The agreement also includes physical damage and third-party liability coverage within the business rental rates at participating locations. Not all National or Enterprise locations participate in the corporate program and may offer discounted rates instead. Those locations that do not participate may not honor rates that include coverage for physical damage or third-party liability. A list of participating locations can be found on the respective websites. Renters should inquire about coverage when making their reservation.


  • (Best practice) For self-service on line reservations, click here for the GEMS Concur Travel booking tool or  
  • University's National & Enterprise Car Rental website click here:
  • For agent-assisted telephone reservations, call Fox World Travel, (888)-209-7881 or (773)-693-1908

Additional Rental Vehicle Information

Before you travel on behalf of the University, review the below rules and qualifications:

  • Renters must apply the University’s Customer ID# when making a business travel reservation. Failure to do so will result in the for forfeiture of benefits under the corporate agreement.
  • The University does not cover physical damage or third-party liability for rental vehicles when for personal or non-business use.

Explanation of Business Use vs. Non-Business Use

Eligible Renters for business use include the following. Rental rates will include physical damage and third-party liability coverage.

  • Any employees of the University of Chicago
  • Consultants, contractors, and students, at least 18 years of age, whose rental expenses are being reimbursed by the University of Chicago

Eligible Renters for non-business use may include the following, at the discretion of the University of Chicago. Rental rates will not include physical damage and third-party liability insurance nor will damages or liability be covered under the University’s automobile physical damage and liability insurance.:

  • Any employee of the University of Chicago for personal use only
  • Immediate family members of employees of the University of Chicago, age 21 or older, living in the same household
  • Students over the age of 21 for personal use only
  • Alumni Organizations
  • Student Organizations or Clubs*
  • Intramural Sports Organizations or Clubs*
  • Retirees

All eligible renters may be required to provide evidence of eligibility at the time of rental, if requested by rental companies.

*The rental rates will not include physical damage or third party liability, however, the University will extend its insurance coverage when the rental is made for University’s business as defined by the respective department/division of the University of Chicago subject to terms of the Automobile Insurance program.

Car Rental Expenses

For information regarding allowable expenses related to car rentals please visit the links below:

Policy 1202: Travel Policies and Procedures