If you’re in an accident in a rental car, what usually happens is similar to any other car accident: you need to prioritize safety, report the accident to the proper authorities, and document the scene.
However, rental car accidents come with additional steps, such as notifying the rental car company and understanding how insurance coverage applies. Determining liability and navigating the claims process can be complicated, especially if multiple insurance policies are involved.
If you’ve been injured in a rental car accident where you were not at fault, a Charlotte car accident lawyer can help you understand your rights, determine who is responsible, and ensure you receive the compensation you deserve.
How Insurance Coverage Works in a Rental Car Accident
When you’re involved in an accident in a rental car, understanding how insurance coverage applies is critical. Multiple types of insurance policies may come into play, and understanding them can be confusing.
A Charlotte personal injury lawyer can determine which insurer to file a claim with and help you through the process.
Your Personal Auto Insurance
Most personal car insurance policies extend coverage to rental cars. This includes:
- Liability coverage: This coverage is for damage to other vehicles or injuries to others if you are at fault.
- Collision and comprehensive coverage: This applies to damage to the rental car itself (if your policy includes these).
If you have personal auto insurance, it often serves as the primary coverage in a rental car accident. However, you may still be responsible for deductibles or costs that exceed your policy limits.
Rental Car Insurance Policies
When renting a car, the rental company usually offers additional insurance options, such as:
- Collision Damage Waiver (CDW): This waiver protects you from financial responsibility for damage to the rental car. However, it may not cover all damages, such as those caused by reckless driving.
- Supplemental Liability Insurance (SLI): This policy provides additional liability coverage beyond what your personal insurance or state minimums cover.
- Personal Accident Insurance (PAI): This covers medical expenses for you and your passengers.
If you opted for these policies, they may cover some or all of the costs associated with the accident, depending on the terms of the agreement.
The Other Driver’s Insurance
If another driver caused the accident, their liability insurance should cover your damages, including medical bills, property damage, and potentially the cost of the rental car’s repairs.
However, if the other driver is uninsured or underinsured, your personal or rental car insurance may need to step in.
Rental Car Company’s Responsibility
In rare cases, the rental car company may share liability, such as if the vehicle had a mechanical defect that contributed to the accident.
For a free legal consultation, call (877) 333-1000
Common Challenges After a Rental Car Accident
Accidents involving rental cars can present unique challenges that make resolving claims and recovering compensation more difficult. Here are some of the most common issues you may face:
- Overlapping insurance coverage: Multiple layers of insurance—your own and the rental company’s, can create confusion. Insurance providers may argue over who is responsible for covering the damages, delaying resolution.
- Rental company policies: Rental companies often have strict requirements, such as promptly reporting the accident or adhering to the rental agreement. Violating these terms (e.g., allowing an unauthorized driver) can result in denied coverage or additional fees.
- Disputes over fault: Determining fault can be more complicated in rental car accidents, especially in North Carolina, where contributory negligence laws apply. Insurance companies may try to blame you—even partially—to avoid paying damages, which could prevent you from recovering compensation.
- Out–of–state or international accidents: If the accident occurs while renting a car out of state or internationally, you may need to navigate different legal systems, regulations, and insurance processes. Laws regarding liability and coverage vary by state and country, adding to the complexity.
- Uninsured or underinsured drivers: If the at-fault driver lacks sufficient insurance, you may need to rely on your personal insurance policy, the rental company’s coverage, or other sources to cover your damages. This can leave you with significant out-of-pocket expenses if coverage gaps exist.
- Personal injuries: If you or your passengers are injured, recovering compensation for medical bills, lost wages, and pain and suffering can be challenging, particularly when dealing with multiple insurance policies.
After a car accident with a rental car, an attorney can help you prove you are not at fault and recover the compensation you deserve.
Filing a Lawsuit After a Car Accident With a Rental Car
Under G.S. §1-52, the statute of limitations for filing a personal injury claim after a car accident, including rental car accidents, is three years from the date of the accident. If you fail to file within this time frame, you may lose your right to pursue compensation for damages such as medical bills, lost wages, and pain and suffering.
It’s crucial to act quickly and consult a lawyer to protect your rights and meet the deadline.
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We Can Explain More About What Happens if You’re in an Accident in a Rental Car
If you are unsure of what happens if you’re in an accident in a rental car, our team of attorneys can review your case and offer legal support. The team at DeMayo Law Offices has over 250 years of combined legal experience and is ready to help you every step of the way.
We’ll fight to protect your rights and pursue the compensation you deserve. Contact us today for a free consultation—call now or complete our online form to get started!
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