Being in any kind of car accident is stressful, but being in a car accident while driving a rental car adds another layer to what may already be a complex situation. You may know how your personal car insurance will deal with a claim, but the process for rental cars is more complicated. Determining who is liable for damages, including medical expenses, isn’t always straightforward.
Who pays for the damages caused by an accident is typically determined by which driver was at fault for the accident and therefore is considered liable. If the other driver caused the accident, their insurance is responsible for all expenses. This typically includes repairs to the rental car, medical expenses for injuries, and any other damages. It is very important to determine fault quickly if you have been involved in an accident while in a rental car. The rental company will work with the at-fault driver’s insurance to negotiate damages. If the other driver is uninsured or liability cannot be assigned to another driver, insurance coverage will depend on what you have.
Many auto insurance policies include rental car coverage, although the coverage levels can vary. If you don’t have this coverage included in your policy, rental companies offer insurance policies that will cover you for the duration of time you have the car. These policies are typically collision damage waivers or loss damage waivers, and can also include liability coverage for third-party claims.
It is best to talk to your insurance agent before renting a car, to see if your personal auto policy will extend to a rented car. If you don’t have an agent you can call on, it is always recommended to purchase the extra insurance offered when you rent the car. Coverage extended on rental policies is usually just a few dollars per day, which is a small amount of money for peace of mind it brings. The standard collision damage waivers (CDWs) will protect you if the car is stolen or damaged, as well as after an accident, but it will not include liability or medical costs. If you have personal accident insurance, this will likely fill in the gaps for medical treatment that your health insurance won’t cover.
But if these options fail, consider contacting the credit card that you used to rent the car to see if coverage is extended as a card member benefit.
There are several challenges you may face after an accident involving a rental car. The first hurdle may be that your claims are denied. Your personal car insurance company may deny coverage, saying that your accident falls outside of the scope of your rental car rider, while the rental car insurance, if you opted to add it, may claim that your accident doesn’t fall within their scope either. The other party may attempt to dispute fault, especially if they know that you were in a rental car, as they know that you are likely dealing with an insurance process you are unfamiliar with. This only adds to the frustration.
In addition, in many cases, if the negotiation over the settlement drags on beyond a few days, you may find yourself with a bill from the rental car company, asking you to cover the damages to their property. While this charge should ultimately be paid out from the at-fault driver’s insurance company, the rental car company may ask to be paid immediately, telling you that you will be reimbursed later. In addition, if you make a claim through your own insurance, you will likely see a rate increase when your policy renews.
As with any other car accident, regardless of the vehicle, the first step to take after an accident is to make sure everyone involved in the accident is ok and call 911 to report the accident and begin getting necessary medical help. If you are able, the next step is to begin documenting the accident, particularly if you believe you were not at fault. Take pictures, make note of significant factors, and exchange information with the other driver. If there were any witnesses to the accident, try to get their statements early, while memories are still fresh.
Make sure you get a copy of the accident report and the names and badge numbers of any police officers present at the scene. Once you are safely away from the scene of the accident, contact your rental car company and your insurance company immediately to let them know. If you bought additional insurance from the rental company, they will begin their claim process. If not, you will need to file a claim with your own insurance. In most cases, regardless of your insurance, you will complete an accident report form from the car rental agency.
Things can get complicated after any car accident, but when you are dealing with the rental car company as well as your own or the at-fault driver’s insurance, things can quickly get overwhelming. The more insurance companies are involved, the more they’ll attempt to pass off liability to each other, leaving you in a precarious financial situation. Your experienced car accident attorney can take over the negotiations on your behalf to ensure that you get a comprehensive and fair settlement.
Accidents are hard enough without the added stress of dealing with a rental car. Between figuring out liability, navigating multiple insurance policies, and fielding calls from several directions it’s easy to feel overwhelmed. But you don’t have to sort it all out alone. An experienced car accident attorney can help you untangle the red tape, negotiate with the correct insurance companies, and make sure you aren’t stuck paying for damages for which you aren’t liable. When rental car claims get complicated—and they often do—having someone in your corner makes all the difference. If you’ve been seriously injured in a rental car accident that wasn’t your fault, contact Arthur Law Firm right away (419) 782-9881 for a free consultation to discuss your accident.