Who Pays for a Rental Car After an Accident?

When you are involved in a car accident, it can be a major inconvenience and disruption to your daily life. In addition to the headaches of the expenses of repairs and medical costs, it also leaves you without a vehicle to get around. So, you might be asking yourself, “Who pays for a rental car after an accident?” The at-fault party’s insurance company will pay for a rental car after an accident in most cases. However, if the at-fault party cannot be identified or you were found at-fault, your insurance would cover the costs. Let’s take a closer look at Mutrux Firm today to learn more about rental cars and how the entire process works.

Understanding Rental Car Coverage in Your Insurance Policy

It is first important to understand the rental car coverage terms in your insurance policy. There are a few things to take into account such as:

  • Liability coverage
  • Collision and comprehension coverage
  • Personal Injury Protection (PIP) and Medical Payments
  • Loss of Use Coverage
  • Credit Card Benefits
  • Supplemental Insurance Options

It is very important to review your policy and coverage prior to rental a vehicle to make sure there are no surprise fees or other expenses. So, before renting a car after an accident, you need to make sure that you do the following:

  • Review your policy
  • Confirm coverage
  • Evaluate supplemental insurance
  • Use credit card benefits

By understanding your rental car coverage, you can make the right decision and have peace of mind on the road. 

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When the At-Fault Driver’s Insurance Pays for Your Rental Car

Oftentimes, the at-fault driver’s insurance will pay for the rental car after your accident. If you have been involved in a car accident and the other driver is found at fault, then their insurance will typically cover the costs of the rental car. This means that while your vehicle is being repaired, the at-fault driver’s insurance should provide a rental car for you to use. Here’s how the process generally works:

  1. Claim Filing: After the accident, you’ll need to file a claim with the at-fault driver’s insurance company. This involves providing details about the accident, any damages, and contact information for witnesses, if applicable.
  2. Approval Process: The insurance company will investigate the claim to confirm liability. Once they determine their policyholder is at fault, they will approve your request for a rental car.
  3. Rental Arrangements: The insurance company may either arrange the rental car for you through a partner rental agency or reimburse you for the rental costs if you arrange it yourself. It’s essential to confirm the rental coverage limits, such as the type of car and the duration of the rental, to avoid any unexpected out-of-pocket expenses.
  4. Coverage Duration: The rental car is usually covered for the period your vehicle is being repaired or until the insurance company declares it a total loss. If your car is totaled, the rental coverage may continue for a few days after you receive the settlement check to give you time to purchase a new vehicle.
  5. Additional Costs: While the rental car costs are typically covered, additional charges like insurance for the rental car, fuel, and any upgrades beyond the basic rental car coverage may not be included. You may need to cover these expenses yourself.

Understanding these steps will make dealing with the at-fault driver’s insurance company and getting the rental car costs covered by their insurance a smoother experience.

Utilizing Your Own Insurance for Rental Car Costs

If the other driver cannot be identified, or you are found at fault for the accident, then you might be responsible for paying the bill for the costs of your rental car. This process is similar to if it’s the other driver’s fault, as you would file a claim with your insurance company, go through the approval process, and then learn more about the arrangements for the rental car.

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The Role of Collision and Comprehensive Coverage

When getting a rental car, it is important to know more about the roles of collision and comprehensive coverage. Let’s check this out in more detail below. 

Collision Coverage

Collision coverage covers the costs of repairing or, in some cases, replacing your vehicle if it is damaged in an accident, regardless of who is found at fault. If the other driver is found at fault but their insurance company is dragging its feet when it comes to accepting liability, you can go through your own collision coverage to get your rental car. This is helpful so you’re not left without wheels while waiting for the other party’s insurance to do their due diligence. You might have to pay a deductible when using your own insurance; however, once the at-fault party’s insurance accepts responsibility, you will likely get reimbursed. 

Comprehensive Coverage

When it comes to comprehensive coverage, it actually pays for the damages done to your vehicle from incidents other than collisions, such as theft, vandalism, fire, or natural disasters. If your vehicle is sidelined due to one of these events, comprehensive coverage can help cover the cost of the rental car while your vehicle is being repaired or replaced. 

Out-of-Pocket Expenses and Reimbursement Process

It’s important to know what out-of-pocket expenses you might be responsible for and the reimbursement process. 

Out-of-Pocket Expenses

Some of the most common out-of-pocket expenses you might be responsible for include the cost of the rental car while waiting for the at-fault driver’s insurance to process their claim. Furthermore, you might have to pay for some of the damages to your vehicle if the at-fault driver’s insurance continues to delay any type of process with your claim. The deductible is another expense that needs to be paid before the insurance coverage kicks in to handle the repairs. 

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Reimbursement Process

The reimbursement process helps you get compensated for the out-of-pocket expenses you paid as a result of the accident. This typically starts when you file a claim with the at-fault driver’s insurance. They will then review your claim to see if the expenses are covered under the policy. Now once this is approved, the insurance company will reimburse you for your expenses. The same goes for if you’ve used your own collision coverage, as your insurance company will seek compensation from the at-fault driver’s insurance company. This could mean recovering the deductible you paid initially. To make this process smoother, you should keep detailed records and receipts of all the expenses.

Injured in an Accident? Contact Mutrux Firm Today!

Now that you know who pays for a rental car after an accident, get in touch with Mutrux Firm Injury Lawyers today for a free consultation. Our attorneys are ready and able to fight for your case and get you the compensation you deserve.

Give us a call at (888) 550-4026, or contact us for a free consultation to get your case started. We will fight for you every step of the way while you work to recover from your injuries. When you trust Mutrux Firm, you know you’re in good hands.

Tyson Mutrux