By Ryan P. AndersonOctober 21, 2018 06:23:11The rental of a car in Arizona has long been covered under the Affordable Care Act.
That is until the Affordable Car Rental Fairness Act, a.k.a.
“CARFAX” became law in 2020.
The law requires that the state insurance commissioner issue a written notice if the rental is canceled by a car owner.
The notice states that the rental could be denied if a driver was injured in an accident.
The state insurance commission will issue a final decision on the cancellation within 30 days of the notice, which will also be available on the state website.
The new law has caused a lot of confusion in the rental industry.
The car rental industry has struggled to adapt and find a solution to the new requirements.
Some rental car companies have been quick to adopt CARFAX.
Others have faced a backlash from drivers.
A group of drivers have filed a lawsuit in federal court against the state, the insurance commissioner, the state’s attorney general and the Arizona Department of Insurance.
The lawsuit asks for a permanent injunction to stop CARFAXP.
The drivers have also filed a complaint in the U.S. Court of Appeals for the Ninth Circuit, asking for a similar injunction to block CARFAEX from taking effect.
Arizona’s insurance commissioner has been a vocal critic of CARFAx.
She wrote a letter to President Donald Trump and the U,S.
Department of Justice on March 12, 2018, urging them to halt CARFA.
The letter specifically targeted the provision that allowed the state to deny a car rental application, but not a vehicle registration application.
“It is unconscionable that the federal government would use a state law to impose regulations on an industry that has already adopted state policies on insurance coverage and liability coverage,” the letter stated.
“The state has already developed policies to protect drivers and has taken steps to protect the public from fraud, not to regulate this industry.”
A few days later, on March 14, the Arizona Supreme Court issued an order blocking the implementation of CARNAX, which is a similar provision to the one being challenged in the lawsuit.
The lawsuit alleges that the insurance commission, Arizona’s attorney generals and the Department of Attorney General have failed to comply with the state law.
“It is clear that the Attorney General, the Attorney Generals office and the Insurance Commissioners office have failed in their duties to implement CARFA,” the lawsuit states.
The insurance commission did not immediately respond to a request for comment.
In an email to The Arizona Republic, an attorney for the car rental company told the newspaper that it had not yet received the letter from the court.
“We are reviewing the legal action and will make an announcement on any further developments in the case when appropriate,” the attorney said.