Hertz Global Holdings, Inc. on Dec. 5 announced the settlement of 364 pending claims brought against the company by customers falsely accused of stealing their rented cars.
The company will pay approximately $168 million by year-end to resolve these disputes, bringing resolution to more than 95% of its pending theft reporting claims.
The company believes it will recover a meaningful portion of the settlement amount from its insurance carriers.
"As I have said since joining Hertz earlier this year, my intention is to lead a company that puts the customer first. In resolving these claims, we are holding ourselves to that objective," said Stephen Scherr, CEO of Hertz. "While we will not always be perfect, the professionals at Hertz will continue to work every day to provide best-in-class service to the tens of millions of people we serve each year.
"Moving forward, it is our intention to reshape the future of our company through electrification, shared mobility and a great digital-first customer experience."
Hertz does expect the resolution of these claims to have a material impact on its capital allocation plans for the balance of 2022 and 2023.
Source: Hertz Global Holdings, Inc.
