§ 18–106
Statutes in effect as of October 1, 2026.
Md. Code Ann., Transp. § 18-106 (2026)
Title 18. Vehicle Laws -- For-Rent Vehicles
Subtitle 1
§ 18–106LinkCopy Citation
(a)
(1)
In this section the following words have the meanings indicated.
(2)
“Authorized driver” means a person, other than the renter, who uses or operates a rental vehicle with the permission of the motor vehicle rental company.
(3)
“Motor vehicle rental company” has the meaning stated in § 17–104.3 of this article.
(4)
“Rental agreement” has the meaning stated in § 17–104.3 of this article.
(b)
(1)
Except as provided in paragraph (2) of this subsection, this section applies only to:
(i)
Rental vehicle transactions originating in the State; and
(ii)
Third–party claims against a renter or an authorized driver of a rental vehicle arising out of the security requirement under § 18–102(a)(2) of this subtitle or § 17–104(e) of this article.
(2)
This section does not apply to a replacement vehicle under § 18–102(a)(2) of this subtitle or § 17–104(e) of this article.
(c)
A motor vehicle rental company shall be responsible for providing the required security under § 17–103 of this article on a primary basis for a third–party liability claim if the motor vehicle rental company:
(1)
Fails to deliver notice of the claim;
(2)
Fails to cooperate with the insurer;
(3)
Prejudiced the handling of the third–party claim before the insurer assumed the handling of the claim;
(4)
Has provided liability, property damage, uninsured motorist, or other coverage to the insured that is applicable to the third–party claim as a benefit under either:
(i)
The rental agreement; or
(ii)
An insurance policy sold to the renter in connection with, and incidental to, the rental of the motor vehicle; or
(5)
Fails to provide the notices required under § 18–102(a)(3) of this subtitle or § 17–104(f) of this article.
(d)
A motor vehicle rental company shall be responsible for providing the required security under § 17–103 of this article on a primary basis for a third–party liability claim if the driver of the rental vehicle is an individual who is not the renter or an authorized driver.