A customer rented a hammer drill to prepare a wall at his father’s home to install a handrail. During the course of drilling the holes, the drill allegedly fell apart, causing the top part to spin, pinning the renter’s hand against a door frame. The renter claimed he was injured as a result of this incident and filed a claim for his injuries against the rental store.

After an investigation, it was determined that the drill rented to the customer was brand new and this rental was the first, so there were no maintenance records or issues. It also was determined that the renter signed a ready-to-rent form and a complete rental contract prior to the rental. He also was shown the proper way to operate the equipment and admitted in his statement that he had used this type of equipment before. This, coupled with strong contract language that held the rental store harmless for any injuries, the renter’s claim was denied and the file was closed. There were just too many holes in the customer’s story.

When every aspect of a rental is handled appropriately, you can protect your interests if a liability issue presents itself. Proper instruction, ready-to-rent tags, a signed rental contract and adequate records provided a quick and easy resolution in this case. 

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This item, provided by ARA Insurance, Kansas City, Mo., is the story of a real-life insurance claim involving a rental store and is intended to help readers better understand and manage risk. For more safety and risk management information, customers of ARA Insurance can log on to ReSource. Access is free, so if you haven’t signed up yet, contact your agent or call 800-821-6580.