What Are Your Options When a Rental Car Accident Isn’t Covered by Insurance?
Accidents involving rental vehicles can quickly become complex, especially when insurance issues come into play. Here’s a real-world scenario to consider:
Imagine you’re involved in a car accident where a rental vehicle hits your car — and the driver is found to be at fault. Police reports and video footage confirm their liability. However, complications arise because the individual who was driving the rental had not been added to the insurance policy. In fact, the rental was arranged by her step-father, who did not extend coverage to her, and she was under the age of 25, potentially affecting coverage eligibility.
Despite your own insurance company covering a significant portion of your damages, you’re left with several thousand dollars in out-of-pocket expenses that haven’t been reimbursed. Unfortunately, the rental’s insurance provider refuses to cover your losses, citing inadequate coverage or other policy exclusions.
During the claims process, your insurer has indicated they won’t pursue legal action but will seek reimbursement of their payouts from the responsible party. However, the at-fault driver has attempted to evade responsibility — leaving the scene without exchanging insurance details, failing to notify her insurer or the rental company, and generally showing resistance to accountability.
In situations like this, many are left wondering:
Should I consider legal action against the at-fault party?
Key Considerations:
- Liability and Evidence: Clear evidence of fault, such as police reports and video footage, strengthens your case and may support legal action.
- Insurance Gaps: If the at-fault driver’s insurance doesn’t cover the damages due to coverage exclusions, pursuing legal recourse might be the only way to recover your losses.
- Cost vs. Benefit: Litigation can be costly and time-consuming. Weigh the potential recovery against legal expenses and the likelihood of success.
- Collection Challenges: Given the driver’s attempts to avoid accountability, collecting any awarded damages could be difficult.
Recommended Next Steps:
- Consult with a qualified personal injury or civil litigation attorney to evaluate the strength of your case.
- Gather all supporting documentation — police reports, video evidence, communication records, and estimates of your damages.
- Explore whether local small claims courts are appropriate for pursuing a claim if the amount is within their limits.
In Conclusion:
While legal action can be a viable route to recover your costs, it’s essential to assess the specifics of your case and seek professional advice.
