Hertz's New AI Damage Scan Could Mean Surprise Fees for Renters
The new inspection system, developed in partnership with Israeli tech firm UVeye, uses advanced cameras and machine learning to automatically scan cars for damage before and after a rental. It's already in place at the Atlanta airport and is expected to reach 100 Hertz locations by the end of 2025.
Hertz claims the move is about transparency, efficiency, and accuracy, but a report from The Drive raises concerns that the system may also lead to costly and hard-to-contest damage charges, especially for minor scrapes.
According to The Drive, a reader renting through Hertz's Thrifty brand returned a vehicle at Hartsfield-Jackson Atlanta International Airport. Minutes later, he received a digital damage report flagging a one-inch scuff on a wheel.
Then came the charges: $250 for the repair, $125 for processing, and $65 in administrative fees - a total of $440. Hertz offered discounts if the customer paid quickly, but when he tried to dispute the claim, he ran into another problem: the company's automated system wouldn't connect him with a human representative. The chatbot only logged the case for review, which could take up to 10 days, well after the payment deadline. The customer could have called Thrifty's hotline, but he says that option wasn't clearly presented.
Hertz defends the scanners as a step forward. A spokesperson said most rentals are incident-free, but when damage does occur, "our goal is to enhance the rental experience by bringing greater transparency, precision, and speed to the process."
The company argues that the digital inspections reduce disputes by offering clear documentation and that it's fairer to charge customers responsible for damage directly, rather than increasing prices for everyone. However, it's unclear whether a human inspector would have found the same wheel scuff or levied the same repair and administrative fees. The rapid turnaround and automated communications raise concerns about renters' ability to understand or challenge the charges.
The use of AI for car inspections isn't inherently bad. If implemented with care, it could reduce human error and eliminate subjective judgments. But for now, it appears that Hertz's rollout may leave some customers feeling blindsided.
What's more, without a straightforward way to reach a real person to contest a claim, renters are left navigating chatbots and delays while the clock ticks down on payment discounts. For travelers, the lesson is clear: document everything. Take photos and videos before and after your rental, especially if you're renting from a location with these new scanners. With AI watching every angle, even a tiny scratch could turn into a big bill.
Copyright 2025 The Arena Group, Inc. All Rights Reserved.
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