The Lender Guarantee protects lenders in case of non-return or damage to their items. Coverage limits vary by country:
UK: Up to £25,000 per rental request.
US: Up to $30,000 USD per rental request.
Canada: Up to $40,000 CAN per rental request.
There is no excess for claims made under the Lender Guarantee. However, if you are a VAT-registered user, VAT is not covered.
Please note:
If you have commercial insurance, you must first file a claim with your provider. If your claim is rejected or not covered, you can then claim under the Fat Llama Lender Guarantee.
What happens if the Borrower does not return my item?
You are covered. As per our Terms of Service, borrowers who fail to return an item are liable to pay the full replacement cost of the item, depending on the circumstances of the non-return. Regardless of the circumstances, in the event that the borrower is not cooperating and this payment is delayed, a claim may be made on the Lender Guarantee.
If a claim is successful, you will be compensated for the cost of repair, replacement or the original value, whichever is less.
What is not covered?
The Lender Guarantee does not cover:
Late returns
General wear and tear, including minor superficial or cosmetic damage (e.g., small dents or scratches that do not affect functionality)
Lack of maintenance or preventative care, e.g. punctured soft (pneumatic) tyres on electric scooters (only hard tyres are covered)
Real estate, such as houses or land
Vehicles, including campervans and motorhomes
Restricted items, including:
Chemicals, liquids, consumables
Weapons
Software or internal components of rented machinery (e.g., a computer's GPU/CPU/Motherboard)
Public liability
Loss of earnings due to unfulfilled rentals or work disruptions
Items exceeding coverage limits:
You're not covered for items exceeding the total value limit per rental request. If the total value of all items in a single rental request exceeds £25,000 in the UK, $30,000 in the US, or $40,000 in Canada, it will not be covered under the Lender Guarantee.
Lenders must have their own insurance to cover any excess value beyond these limits.
Items in transit with third-party services:
You're not covered for items in transit using third-party services. If an item is lost, damaged, or not returned while in transit using a third-party service (such as a courier or shipping provider), it will not be covered under the Lender Guarantee.
Please contact the third-party service directly, as they may have their own insurance policy.
Am I eligible to claim?
To be eligible, you must be able to answer the following statements truthfully:
I haven't been convicted of, or charged with, any offence other than motoring offences in the past 5 years.
I've never been subject to a county court judgement (CCJ), a small claims court judgement, a debt relief order (DRO), an individual voluntary arrangement (IVA) or to bankruptcy proceedings.
I've never had insurance cancelled, refused or declined or had any special terms imposed.
I've not made more than 2 insurance claims in the past 5 years.
What evidence do I need to make a claim?
Click here to learn about the criteria for claiming on the Lender Guarantee.
To see the details of the Lender Guarantee, please see The Full Lender Guarantee Terms