Federal employees who must travel for work end up with various costs, most of which can be reimbursed. If you’re traveling with your job and use rental vehicles, here’s what you need to know.
To use a rental vehicle, the agency must determine that such use is advantageous to the Government and must specifically authorize such use. With respect to being reimbursed for the cost of collision damage waiver (CDW) or theft insurance, the general rule is that the employee will not be reimbursed for CDW or theft insurance for travel within the continental United States (CONUS) for the following reasons: (1) The Government is a self-insurer; (2) Rental vehicles available under agreement(s) with the Government include full coverage insurance for damages resulting from an accident while performing official travel; (3) Any deductible amount paid by the employee may be reimbursed directly to the employee or directly to the rental agency if the damage occurred while the employee was performing official business.
There is an exception to this rule, however. The employee will be reimbursed for collision damage waiver or theft insurance when he or she travels outside the continental United States (OCONUS) and such insurance is necessary because the rental or leasing agency requirements, foreign statute, or legal procedures could cause extreme difficulty for an employee involved in an accident.
Additionally, the employee may not be reimbursed for personal accident insurance. That is a personal expense and is not reimbursable.
The employee is responsible for any additional cost resulting from the unauthorized use of a commercial rental automobile for other than official travel-related purposes.