After an accident, life can feel overwhelming. You’re not just handling the immediate aftermath of the crash; you’re also facing questions about rental agreements, insurance coverage, and who is responsible for the costs. If your car is in the shop for repairs or if you are awaiting reimbursement for a totaled car, you will likely need a rental car in the meantime. Knowing who pays for the rental car and the steps you need to take can make a big difference in both your stress level and your finances. However, the question of who is responsible for paying for a rental car after your car is disabled in a crash usually comes down to what type of insurance coverage you have or who was at fault for the collision.
Understanding the Basics of Rental Car Insurance
Before diving into who pays for the rental car after an accident, you need to understand the basics of car insurance. There are a few different ways you can have coverage in place for a rental car after an accident. For example, you might have purchased rental car reimbursement coverage when you bought your car insurance. If you have this type of coverage, you can pay upfront for the rental car. Then, you’ll submit a claim to your insurance company, which will then reimburse you if it is a qualifying expense under the policy. You need to know the daily and total limits of this coverage. The company will only pay the amounts that are provided in the policy. It’s a good idea to review both the declarations sheet and the policy booklet. If you have questions, call your agent. If they’re good, they will set up the rental and all you will need to do is pick it up!
What if you don’t have rental coverage in your policy? You will be limited to going through the other vehicle’s coverage and this will depend upon an acceptance of fault by that person’s carrier. It works like this, the other driver’s carrier will first have to make a decision regarding who caused the collision. If it’s obvious and clear they can make that decision fairly quickly, and will often agree to cover a period of rental reimbursement. The dollar value and length of time are negotiable. If they deny responsibility or try to argue that both drivers are partially at-fault, then it will be difficult to get them to voluntarily and upfront cover your rental needs. Under Kentucky law, the other driver (and their insurance carrier) are only responsible for damages that they caused. If there is a reasonable debate over this question, the carrier can refuse to pay until the matter is either settled by agreement or resolved by a court. It is very common for this to become a point of contention between insurance carriers and people in need of a rental.
Ultimately, if you cannot reach an agreement, the cost of your rental car while your car is either being worked-on or while you are looking for a replacement becomes part of your overall damages claim. If you pursue a car accident lawsuit after the accident, you can list rental car expenses as part of your claim. Thus, if you can establish the other driver’s negligence, the cost of your rental car could be included in your damages award or settlement.
As is the case with all types of car insurance, knowing what coverage you have is crucial before getting behind the wheel of a rental car. It helps avoid unexpected out-of-pocket expenses and protects you adequately if an accident occurs. However, understanding these options isn’t enough. Knowing what to do after an accident is just as important.
How to Get a Rental Car After an Accident
After an accident, your immediate concern might be obtaining a rental car while your vehicle is being repaired or replaced. This process can vary depending on who was at fault and the specifics of your insurance policy. If you were not at fault, the other driver’s insurance should cover the cost of your rental car. However, this often requires waiting until the insurance company confirms liability, which could delay the process of getting the money in hand.
If your insurance policy includes rental car coverage, you can get a car quickly without waiting for the other party’s insurance. This can be especially helpful if you rely on a vehicle for daily activities and can’t afford to be without one. Contact your insurance company as soon as possible after the accident to determine what coverage you have and how to proceed.
Who Pays for Rental Car After Accident
Unless you seek coverage from your own policy, determining who pays for the rental car after an accident will depend on fault and the types of coverage involved. If the other driver is found to be at fault, their insurance should cover the cost of your rental car. However, this coverage is often limited to a specific amount per day, and the total amount might have a certain maximum. You’ll need to choose a rental vehicle within those limits to avoid paying out-of-pocket.
If you’re found to be at fault, your insurance will only cover rental car costs if you have rental car coverage as part of your policy. Without this coverage, you’ll be responsible for paying for the rental car. As part of the car accident settlement process, having comprehensive collision coverage, which often includes rental car reimbursement, can be very helpful during such situations.
How Long Does It Take to Get a Rental Car After an Accident?
The time it takes to get a rental car after an accident can vary. If the other driver’s insurance accepts liability quickly, you might have a rental car within a day or two. However, if there’s a dispute over fault, it could take longer. In such cases, if you have the proper coverage, your insurance may provide a rental car while the issue is resolved.
On average, the process will take anywhere from a few hours to several days, depending on the circumstances. The key is to communicate closely with your attorney, insurance company, and rental car company to ensure you understand the timeline and process.
How Long Will Insurance Pay for Rental Car After Accident?
As stated, if the other driver is found to be at fault, you can include whatever rental car expenses you encountered as part of your claim. The amount paid for the rental for as long as you need it will likely be included in your settlement or award. There is no set period under the law. It is either a negotiated amount or will be up to a judge or jury to determine what amount is reasonable.
If you are relying on your own insurance to cover the rental, that’s another matter. The length of time your insurance will pay for a rental car after an accident depends on several factors, including the severity of the damage, the repair time, and most importantly your insurance policy itself. Typically, insurance companies will cover the cost of a rental car until your vehicle is repaired or declared a total loss up to the limits of your policy.
If your car is repairable, the insurance company will likely cover the rental car cost until the repairs are completed. If your car is totaled, coverage usually extends until you receive a settlement check, which can take a few weeks. Reviewing your policy limits to know how many days of rental coverage you have and the maximum amount the insurance will pay per day is essential. If repairs or settlements take longer than expected, you may need to cover additional rental costs out-of-pocket, especially while dealing with common injuries from car accidents.
Do You Have Questions About Rental Car Reimbursement Insurance Coverage Following Accident?
If you or a loved one was recently in an accident and you have questions about who is responsible for covering your accident-related expenses, including the cost of a rental car, reach out to the dedicated injury lawyers at McCoy & Sparks, PLLC. At our personal injury firm, we have decades of experience recovering meaningful compensation on behalf of accident victims and their families. We’ve recovered over $70 million for our clients. Let us help you. To schedule a free consultation with an attorney, call us or connect with our staff through our online contact form.