Who Pays for a Rental Car After an Accident?

In many cases, a car accident can leave one or both drivers with cars that need repair. Depending on how extensive those repairs are, a rental car is often needed while the drivers wait for their cars to be out of the shop. 

Determining who pays for a rental car after an accident will vary in each state. In states that follow an at-fault process, the driver who is at-fault for the accident is responsible to cover a rental car if necessary for the other driver. Generally, the at-fault driver’s insurance company will provide this coverage. 

Arizona is an at-fault state, which means that if a rental car is needed for the driver who is not at-fault, then the at-fault driver’s insurance will pay for it. 

How to Get a Rental Car After an Accident

There are a few variables that might impact the process you follow for getting a rental car after an accident. Consider the following questions and answers to understand how it might look for you. 

• Have you purchased a car rental option? 

If you are the driver who is at-fault for the accident, then your rental car coverage depends on whether or not you purchased a car rental option with your auto insurance policy. Unfortunately, this is not an option that you can add after the fact. If you don’t have a rental car option with your policy and you are at-fault for the accident, then you are responsible for covering the cost of a rental car should you need one. 

If you are not at-fault for the accident, then the other driver’s insurance policy should provide coverage for a rental car if necessary. 

• How quickly can you get a rental car after an accident? 

The timeframe for getting a rental car after an accident depends on who is covering the rental cost. If you are not at-fault for the accident, then the other driver’s insurance company is responsible for covering your rental car. However, the process for getting that approved could take a week or more while the insurance company evaluates the claim. If you file a claim with your own insurance company, then you will likely be able to obtain a rental car much faster. You should be able to recover the cost of the rental car if you are no at-fault for the accident. 

• Where do you file your claim? 

Again, where you file your claim depends on the needs you have in that particular situation. If you need a rental car immediately, then you might not be able to wait for the other driver’s insurance policy to process your claim. In that case, you might file the claim with your own insurance company. However, if you can wait, and you were not at-fault for the accident, then you should file the claim with the other driver’s insurance company. 

• What type of vehicle should you be given? 

Most insurance companies will have a maximum per diem rate and a maximum coverage rate. If you are using your own insurance company, then the type of rental car you end up with depends on how high those rates are. If you need a rental car that costs more than what the insurance company covers, then you will pay the difference out-of-pocket. Additionally, if you need the rental car longer than what the maximum coverage rate covers, then you will also pay the difference out-of-pocket. 

However, if you are using the at-fault driver’s insurance to cover your rental car, then they will need to provide a car that is comparable to the one you own. 

• What if your vehicle is totaled? 

The needs of the driver are different in the case of a totaled car. In this situation, the at-fault driver’s insurance company will offer a settlement within several days of the accident. This settlement should consist of a sum that represents the fair value of your car before it was totaled. Once the insurance company offers the settlement, they likely won’t cover the cost of a rental car for more than a few days. You are now expected to replace your totaled car with the money from the settlement. 

Get the Auto Insurance Coverage That You Need 

If you want a great car insurance policy at an affordable price, don’t hesitate to contact AZCAL Insurance Services. Our auto insurance agents will ensure that you have the coverage that you need. If you were in an accident recently and have any questions about who is at-fault and what that means for each driver, feel free to give us a call. We are here to answer your questions, and we want to make sure you have insurance coverage that you can rely on. Speak with an AZCAL insurance agent today!