EXCLUSIVE Fury grows as Hertz slaps $935 fee on Navy Sailor for tiny dent... as Orwellian X-ray scandal spirals
After nine days, she returned the vehicle to Hartsfield-Jackson Airport in Atlanta, Georgia. Before handing over the keys, she drove through an AI scanner at Hertz's request.
Hours later, she received a message from Hertz and its new AI partner, UVeye, demanding $935: $500 for damage, and $435 in fees. The system had flagged two small dents on the passenger side.
'I know for a fact I didn't cause any of the damages,' she told DailyMail.com. 'I was primarily at my mother's house with the car parked.'
Nadia's experience reflects a pattern emerging among Hertz customers.
DailyMail.com has spoken to scores of drivers who say the scanners are flagging dents, scrapes, and rim scuffs they don't recognize — and charging them with fees between $130 and $935 that are hard to refute.
In April, Hertz announced its partnership with UVeye, an AI-equipped vehicle scanning company. The technology is already in use at five locations, with plans to expand in major airport-based rental spots by the end of the year.
Hertz says the system improves driver safety, standardizes assessments, and catches hard-to-spot damage like undercarriage wear and tire scuffs.
Independent experts said the AI scanners and the customer-facing problems they're creating are raising broader questions about automation — and what rights renters have when disputing a fee.
Hertz initially told DailyMail.com that these scanners were solely safety-focused.
After customers started to complain, the company changed its tune: a spokesperson said 'fees are based on the actual losses and expenses we incur as a result of vehicle damage.'
When DailyMail.com pressed the company about its own policies, Hertz representatives have either ignored questions entirely or claimed not to understand them.
Since July 2, DailyMail.com has asked Hertz representatives five separate times to clarify whether damage charges fund actual repairs or compensate for diminished vehicle value.
Hertz has still not answered this question after multiple follow-ups.
When asked about company policies, Hertz representatives insisted on the publication of 'before photos' from customers rather than addressing questions about charging transparency.
And as the scanners and their fees continue, more drivers are speaking out.
Nadia, a US Navy Sailor, shared this damage charge with DailyMail.com
Hertz is operating at least five scanners across the US and it has plans to launch the tech in other major airports
A customer who rented from Newark Liberty International Airport shared an email thread with DailyMail.com after receiving a $416.95 bill for 'cosmetic damage to the tire rim' from the scanner — damage he says he never noticed.
'We paid the amount only because the online claims page presented legal threats and offered no way to speak with a real person,' the driver wrote to a Hertz representative.
He asked for photo documentation to share with his credit card company. The human-led damage team replied that they 'do not have access' to those files.
Hertz tells DailyMail.com that it is integrating live agents into the UVeye applications to better assist customers with similar issues.
Another renter said he was charged $130 for a tiny dent on a Kia K4 sedan — even though his three-day rental only cost $116 with an AAA discount.
Other drivers claimed they were charged $130 for a dent 'the size of a fingernail,' and $195 for 'a very dubious and minor ding.'
The new stories mirror accusations made by at least four other drivers in the past month.
In early July, Adam Foley spoke exclusively to DailyMail.com after he received a request for $285 after driving his rented Buick through the scanners.
Adam Foley received a notification to 'save big!' if he paid the fine immediately - when he tried to refute the charge, he was only given an option to speak to an AI agent
Like every case DailyMail.com has reviewed, Hertz offered Foley a discount if he paid the fine immediately — and directed his dispute to an AI chatbot.
'It's a shakedown that is extremely off-putting,' Foley said. 'I used to view Hertz as one of the higher tier rental companies and my default, ideal choice.'
While Hertz says live agents will soon come into the app, independent experts have warned that the lack of human agents is concerning.
'It is unacceptable that a resolution with a human is not possible,' said Dr Ramnath Chellappa, a digital market expert and professor at Emory University.
'If anything, AI should be reducing the human effort in assessment and walk-through with the vehicle; therefore, it should end up offering cost savings.'
Collision experts aren't even sure the scanner identified definitive damage.
'There appears to be a very minor dent visible only under enhanced lighting and reflection distortion,' Alex Black, the chief marketing officer of EpicVIN, a vehicle history report company, said after analyzing pictures Foley shared.
'It's plausible that the second fine is a reflection or a smudge, not an actual dent.'
Another Hertz renter said they received a $130 charge for this dent - their three-day rental period only cost $116
Black said he would have quoted $100 to $150 for the fix, not the $285 that Hertz had charged Foley.
Every customer who spoke to DailyMail.com about receiving a charge has said they will no longer use Hertz.
The new claims also mirror accusations made to other major publications.
On July 9, The New York Times interviewed a customer who was charged $195 for a small dent underneath a door handle, according to the article.
'It could have been a shadow,' Kelly Rogers, who rented the car with her husband, told the Times. 'We were pulling it up on the app, and we're like, "This is so bananas."'
Another driver, identified as Patrick, told The Drive he got a $440 damage fee for a tire rash, a common scrape when motorists accidentally hit the curb when parking.
Several people have also taken to Reddit to complain about the charges, including a driver who rented a Toyota Corolla, and claims they got a $190 fee for a small dent.
DailyMail.com asked UVeye about the company's involvement in assessing damage.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Telegraph
13 minutes ago
- Telegraph
Google could steal the entire internet
Google has shown us what the end of the internet looks like. It calls it AI Mode. From Tuesday, instead of seeing ten blue links to third party websites when searching Google, users will see digests of information created by AI. Google says this 'lets you ask nuanced questions that would have previously required multiple searches.' Sometimes there is value in these digests – as demonstrated by AI startup Perplexity. However, the change has catastrophic economic consequences because of Google's dominant position over what we see on the web; AI mode removes the need to visit the site that created the original material. Google, it should be remembered, was found guilty of maintaining a monopoly by an American federal court last summer. An analytics study last week suggested that the top ranking site in blue link Google loses 79 per cent of its traffic after AI summaries are introduced. Other surveys suggest even more: as much as 96 per cent. This is not how the web was supposed to end. Sir Tim Berners Lee's original vision was of a rapid publishing technology, a two way conversation much like the telephone. When Google was young, it promised to get out of our way. 'We wanted people to spend a minimum amount of time on Google. The faster they got their results, the more they'd use it,' said founder Larry Page in 2004. But now Google has become like The Eagles' Hotel California – you can check in, but never leave. That's in keeping with an extractive industry which takes much from publishing but gives little back. AI makes this an order of magnitude worse. Generative AI breaks an informal social contract that has existed since the dawn of business: that a buyer should take a keen interest in the health of its suppliers. AI, though, is replacing suppliers entirely: an analogy is eating the seed corn. For having ingested everything from entire research libraries to newspapers, from YouTube to the works of every gallery, AI can create fine tuned pastiches and continue to produce them forever. Google can also punish sites that refuse to be scraped with a kind of corporate death sentence: making them disappear from Google. A former Facebook engineer, Georg Zoeller, who also advises Asian governments on AI, says generative AI is little more than piracy disguised by hype. 'Large language models are just storage, and all they are doing is compressing knowledge,' he says. 'The industry would have been murdered in its crypt if it had told the truth, and people realised that on the other side of the bot is a Napster'. The magic trick is how AI disguises the theft. Google says the old search results will still be available if you want – or can find them. Britain's Competition and Markets Authority has investigated the company's use of generative AI, but its remedies are so far very tentative, and it is soliciting views. The CMA also finds British business paying a very high toll to maintain Google's advertising dominance: UK publicly listed companies spend £10 billion with Google advertising, which the CMA suggests is far higher than it would be in a competitive digital ad market. The CMA can and should do much more to tame this predatory giant, so British internet businesses can survive.
Reuters
an hour ago
- Reuters
Microsoft in advanced talks for continued access to OpenAI tech, Bloomberg News reports
July 29 (Reuters) - Microsoft (MSFT.O), opens new tab is in advanced talks for a deal that would give the Windows maker continued access to critical OpenAI technology in the future, Bloomberg News reported on Tuesday, citing two people familiar with the negotiations. The companies have discussed new terms that would allow Microsoft to use OpenAI's latest models and technology even if the ChatGPT maker declares it has achieved artificial general intelligence (AGI), or AI that surpasses human intelligence, the report said. A clause in OpenAI's current contract with Microsoft will shut the software giant out of some rights to the startup's advanced technology when it achieves AGI. Negotiators have been meeting regularly, and an agreement could come together in a matter of weeks, Bloomberg News reported. Microsoft and OpenAI did not immediately respond to a Reuters request for comment. OpenAI needs Microsoft's approval to complete its transition into a public-benefit corporation. The two have been in negotiations for months to revise the terms of their investment, including the future equity stake Microsoft will hold in OpenAI. Last month, The Information reported that Microsoft and OpenAI were at odds over the AGI clause. OpenAI is also facing a lawsuit from Elon Musk, who co-founded the company with Sam Altman in 2015 but left before it surged in popularity, accusing OpenAI of straying from its founding mission — to develop AI for the good of humanity, not corporate profit. Microsoft is set to report June quarter earnings on Wednesday, with its relationship with OpenAI in the spotlight, as the startup turns to rivals Google (GOOGL.O), opens new tab, Oracle and CoreWeave (CRWV.O), opens new tab for cloud capacity.
Geeky Gadgets
2 hours ago
- Geeky Gadgets
The U.S. AI Strategy : Can America Outpace China in the Tech Race?
What if the race to dominate artificial intelligence is the defining contest of the 21st century? As nations vie for technological supremacy, the stakes couldn't be higher. The United States, recognizing the fantastic power of AI, has unveiled a bold and comprehensive strategy to secure its position as the global leader in this critical domain. This isn't just about innovation—it's about shaping the future of geopolitics, safeguarding democratic values, and outpacing rivals like China in the race to harness AI's potential. With AI poised to transform everything from national security to healthcare, the U.S. is doubling down on its commitment to lead, not follow, in this new era of technological competition. The question is: can it succeed? Wes Roth looks deeper into the U.S. AI action plan—a sweeping blueprint designed to address everything from fostering innovation to countering authoritarian AI models. You'll discover how the U.S. plans to use AI as a fantastic force while tackling critical challenges like ethical concerns, workforce readiness, and global collaboration. We'll unpack the strategies aimed at outpacing China's growing influence in the AI sector, from modernizing infrastructure to promoting international partnerships rooted in democratic principles. As the world stands on the brink of an AI-driven future, this plan offers a glimpse into how the U.S. intends to shape it—not just for itself, but for the world. What does it mean for the balance of power and the values that guide technological progress? U.S. AI Leadership Strategy Driving AI Innovation To sustain its competitive edge in the global AI landscape, the U.S. is implementing policies to accelerate the development and deployment of AI technologies. Key initiatives include: Restructuring federal regulations to eliminate bureaucratic delays that hinder innovation. Incentivizing states to adopt AI-friendly policies by offering increased federal funding and support. Promoting the use of open source AI models to encourage transparency, collaboration, and adherence to ethical standards. These measures aim to create a fertile environment for innovation, allowing the U.S. to set global benchmarks for responsible AI use. By streamlining processes and fostering collaboration, the U.S. positions itself as a leader in the rapidly evolving AI sector. Aligning AI with Democratic Values The U.S. AI action plan emphasizes the importance of aligning AI systems with democratic principles. By fostering technologies that uphold free speech, protect privacy, and avoid ideological bias, the U.S. seeks to differentiate its approach from authoritarian models. Open source initiatives play a pivotal role in making sure accessibility and accountability, building trust in AI systems both domestically and internationally. This commitment to democratic values not only strengthens public confidence but also reinforces the U.S.'s position as a global advocate for ethical AI practices. AI race U.S. vs China : U.S. Blueprint to Outpace China Watch this video on YouTube. Here is a selection of other guides from our extensive library of content you may find of interest on Artificial Intelligence (AI). Addressing Barriers to AI Adoption Despite its potential to transform industries, AI adoption remains slow in critical sectors such as healthcare, education, and public services. Challenges such as regulatory complexities, public skepticism, and limited access to resources hinder progress. To overcome these obstacles, the U.S. is introducing regulatory sandboxes—controlled environments where organizations can test AI technologies without immediate regulatory constraints. These sandboxes: Encourage innovation by providing a safe space for experimentation. Assist data sharing across industries to improve AI applications. Promote cross-industry collaboration to address complex challenges. By addressing these barriers, the U.S. aims to unlock the full potential of AI and drive its adoption across diverse sectors. Strengthening National Security with AI AI's role in national security is a cornerstone of the U.S. action plan. Recognizing the strategic importance of AI in defense and intelligence, the U.S. is prioritizing efforts to safeguard national interests. Key priorities include: Monitoring adversarial AI advancements, particularly from nations like China, to mitigate potential threats. Expanding AI applications in defense and intelligence to enhance situational awareness and decision-making capabilities. Investing in innovative technologies to maintain a strategic advantage in an increasingly AI-driven global landscape. These initiatives aim to ensure resilience and preparedness in the face of evolving security challenges, reinforcing the U.S.'s position as a global leader in AI-driven defense strategies. Preparing the Workforce for an AI Future Equipping the workforce with AI-related skills is essential for sustaining innovation and making sure economic competitiveness. The U.S. is implementing targeted initiatives to build a robust talent pipeline, including: Integrating AI literacy and technical skills into educational curricula at all levels. Offering upskilling and reskilling programs for workers transitioning to AI-driven industries. Training specialists for critical roles in AI infrastructure, such as data center technicians and semiconductor experts. These efforts aim to prepare the workforce for the demands of an AI-driven economy, making sure that the U.S. remains at the forefront of technological advancement. Advancing AI-Enabled Scientific Research AI is transforming scientific discovery, and the U.S. is committed to harnessing this potential to drive innovation across diverse fields. Key efforts include: Developing automated laboratories equipped with AI technologies to accelerate research processes and reduce human error. Providing researchers with access to high-quality datasets to enable breakthroughs in medicine, climate science, and materials engineering. By using AI to advance scientific research, the U.S. positions itself as a leader in addressing global challenges and fostering innovation. Making sure AI Safety and Transparency The safety and interpretability of AI systems are critical to their long-term success and public acceptance. The Department of Defense's DARPA is spearheading research to: Develop technologies that enhance the transparency and interpretability of AI systems. Mitigate risks associated with opaque decision-making processes and unintended consequences. These efforts aim to build trust in AI technologies, making sure their responsible use and alignment with ethical standards. Expanding AI Infrastructure Modernizing infrastructure is essential to support the growing demands of AI applications. The U.S. action plan includes significant investments in: Energy grids optimized to handle the computational demands of AI workloads. Domestic semiconductor manufacturing facilities to reduce reliance on foreign technologies and ensure supply chain security. Secure and resilient data centers to protect sensitive information and enhance data processing capabilities. These developments lay the foundation for sustained AI growth and innovation, making sure that the U.S. remains a global leader in AI infrastructure. Promoting International AI Collaboration To counter China's influence and shape global AI policies, the U.S. is advancing its AI systems through strategic international partnerships. Key strategies include: Strengthening alliances with democratic nations to promote ethical AI standards and practices. Advocating for international norms that align with democratic values and human rights. Monitoring AI-related technologies to prevent misuse and ensure compliance with export regulations. These efforts aim to foster global collaboration while maintaining a competitive edge in the international AI landscape. Combating Synthetic Media Threats The proliferation of synthetic media, such as deepfakes, poses significant risks to information security and public trust. To address these challenges, the U.S. is: Investing in advanced detection technologies to identify and mitigate malicious AI-generated content. Developing frameworks and policies to combat the spread of disinformation and protect democratic institutions. These measures are critical for maintaining public confidence and safeguarding the integrity of information in an increasingly digital world. Fostering Industry and Stakeholder Collaboration Collaboration between the public and private sectors is a cornerstone of the U.S. AI action plan. By fostering partnerships with industry leaders, researchers, and other stakeholders, the U.S. aims to: Create a robust ecosystem for AI development that balances innovation with safety and ethical considerations. Ensure that diverse perspectives contribute to the advancement of AI technologies, promoting inclusivity and accountability. This collaborative approach ensures that the U.S. remains at the forefront of AI innovation while addressing societal and ethical concerns. Media Credit: Wes Roth Filed Under: AI, Top News Latest Geeky Gadgets Deals Disclosure: Some of our articles include affiliate links. If you buy something through one of these links, Geeky Gadgets may earn an affiliate commission. Learn about our Disclosure Policy.
