seen on tv. pat: a "cbs2 news" investigation tonight to rental cars, we found a major company may be over charging customers by forcing them to take expensive insurance they don't need. here is cbs2's investigatist reporter david goldstein.
reporter: search dollar renee renrent a car on yelp you find these, eric said he was told he traveled to l.a. from new mexico for a wedding. i asked, it was mandatory, since i already was covered by my own insurance. reporter: he spoke to us, by
skype, saying that dollar at lax insist he buy additional coverage. they said it was require by law. yes. reporter: he purchased about $100 in coverage he said he did not want, that is more than what he made for the car itself.
this dollar agent does not know she is on hidden camera talking to our undercover producer. do i have to have insurance, can i use my own. we recommend. reporter: a loss damage waive ir, an insurance like product that may be covered by your own
insurance. if anything happens you could walk away without paying for. okay, i don't think i need that. reporter: but agent is not easily dissuaded. they operate on a commission basis.
john is an attorney, and a consumer advocate. if they don't make x amount of up sales they could be terminated. reporter: she violated state law, because she did not utter the magic words required -- may duplicate what you
already have, that is the phrasing is created by the state llealegislature. reporter: a class-action lawsuit alleges for last 4 years that dollar that been ignoring california law, to victimize consumers, to the tune of millions in fees, a similar
complaint is filed in colorado, state law requires that customer signature confirming that anxiety told them that coverage could oppor duplicate their hont is something they did not do and could be hard to find in the 7 pages. david gold stein.
we asked her but she was not talking. she was with you, you never informed hershey did not have to get insurance that is a violation of state law. did you get somebody's permission. no, it is an open door.
let me get the manager. reporter: are people instructed to follow state law. i am not authorized to talk on behalf of the company. reporter: we called hertz the parent company of dollar, saying that we train and manage employees to comply with all
state laws, and meet with highest ethical standards, we apologize that it may be duplicate of similar protect. this is not first time that dollar has got confident trouble for this in 1989, the company was fined $100,000 for a quote, fall and misleading statements
for pressures customers to buy loss damage waivers, behavior to what they are now accused of 26 years later. and the man filed a complaint with the better business bureau. reporter: do you think that company took advantage of you. reporter: and according to
lawsuit, thousands of other customers, "cbs2 news." paul: better business bureau negotiated a $99 credit for that customer.
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