Subject: Questions About Property Damage Limits in California
I was recently involved in an accident where I was hit by a driver renting from Enterprise, and that driver has accepted full responsibility for the incident.
Enterprise’s insurance did their own assessment of the damages and sent me a check that was quite low. However, when I took my car to a body shop for repairs, they found significantly more damage—over five times the amount that the insurance initially provided.
The other party’s insurance informed me that they have a cap of $5,000 for property damage in California. This limit includes costs for the rental car, towing, and storage. Any damages that exceed this amount would need to be claimed through my own insurance, despite the fact that I was not at fault.
I’ve already been in a rental car for nearly two weeks, which I’m sure is consuming a substantial portion of that $5,000 limit.
I find it hard to believe that a large company like Enterprise has such a low limit for property damage claims.
What options do I have besides going through my own insurance?
I’m sorry to hear about your situation; it sounds quite frustrating. Here’s some information that may help you understand your options:
Understanding the $5,000 Limit: In California, while there’s no specific cap on property damage for all insurance claims, some companies do set limits on the coverage they offer for liability claims. This amount can sometimes be lower for certain types of policies or specific incidents, especially if it’s a commercial policy.
Body Shop Estimates: Since you’ve received a significantly higher estimate from the body shop, it might be worth getting a second opinion or additional estimates. Having multiple opinions could strengthen your case when negotiating with the insurance company.
Negotiate with Enterprise or Their Insurance: Since the driver was at fault and has accepted liability, you should pursue the full cost of the damage. You can present the body shop’s estimate to Enterprise’s insurance and negotiate for a higher payout. Make sure to document all communication and requests.
Discuss Rental Costs: Clarify with the insurance adjuster how rental car expenses are being handled. Sometimes, rental fees are covered separately, but it can depend on the specifics of the policy. Make sure they understand how long you’ve needed the vehicle and its associated costs.
Consider Your Own Insurance: If the at-fault party’s insurance ultimately doesn’t cover your damages, you may need to file a claim with your own insurance company, especially if you have collision coverage. They can often recover costs from the at-fault driver’s insurance later (subrogation).
Consulting an Attorney: If you’re finding it difficult to navigate the negotiations or if you’re not receiving a fair payout, consider consulting with a personal injury attorney or one who specializes in auto accidents. They can advise you on your rights and potential legal actions that can be taken.
Keep Records: Ensure that you keep detailed records of all correspondence, expenses related to repairs, rental cars, and other incurred costs. This documentation could be crucial if you pursue a higher claim or legal action.
In essence, you do have choices. Engaging in thorough negotiations with the at-fault party’s insurance is your first step, and involving your own insurance might become necessary if that doesn’t yield satisfactory results. Good luck!