Rental cars are an efficient and easy way for individuals to get from point A to point B. Oftentimes, rental cars are used to go on work trips, road trips, or other excursions. However, rental car accidents may cause serious legal and insurance challenges for individuals and other parties that may be involved. Understanding rental car accidents and the necessary steps to take to work towards recovery is important the next time you need to rent a car.
Rental Car Collision
The state of California usually follows a fault-based system for automobile accidents. This means that a driver whose negligence causes a collision may be responsible for resulting injuries and property damage. For example, a rental car driver may potentially be liable if the driver causes an accident by:
- Speeding or driving too fast for conditions
- Running a red light or stop sign
- Following another vehicle too closely
- Driving while distracted
- Making an unsafe lane change
- Driving while impaired
- Otherwise failing to use reasonable care
When another driver causes the accident, an injured person may pursue a claim against that driver and the applicable liability insurance policy. California currently requires standard auto policies to carry minimum liability limits of the following.
- $30,000 for injury or death to one person
- $60,000 for injury or death to multiple people in one accident
- $15,000 for property damage
However, the involvement of a rental vehicle may introduce additional insurance and liability questions.
Auto Insurance
A renter's personal automobile insurance may provide coverage while the policyholder is driving a rental vehicle, but coverage should not be assumed. The California Department of Insurance advises consumers that not every automobile insurance policy automatically covers rental vehicles. Some policies may provide rental coverage only under specific circumstances, such as when a rental is temporarily replacing an insured vehicle undergoing repairs. Depending on the policy, available coverage may include, but is not limited to, the following.
- Bodily injury liability
- Property damage liability
- Collision coverage
- Comprehensive coverage
- Medical payments coverage
- Uninsured or underinsured motorist coverage
Rental Companies: Liable?
People sometimes assume that a rental company is automatically responsible because it owns the vehicle. Federal law generally limits that type of liability. Under the federal Graves Amendment, rental and leasing companies generally cannot be held liable for a renter's negligence solely because the company owns the vehicle. That does not necessarily mean a rental company can never face liability. The facts may require further investigation when allegations involve the rental company's own behavior rather than ownership alone.
Other Parties and their Involvement
If another motorist causes a collision involving your rental vehicle, that driver's liability insurance may be a potential source of compensation. A bodily injury claim may sometimes address losses such as the following.
- Medical expenses
- Future medical care related to the accident
- Lost wages
- Reduced earning capacity in appropriate cases
- Pain and suffering
- Other accident-related losses recognized under California law
The availability and amount of recovery depend on the evidence, applicable law, insurance limits, causation, and the circumstances of the specific claim.
Don’t have Insurance?
Uninsured and underinsured motorist coverage can become especially important when the responsible driver has no insurance or insufficient coverage. The California Department of Insurance explains that uninsured/underinsured motorist bodily injury coverage may provide benefits for injuries to an insured person and passengers when the responsible driver lacks adequate insurance.
When a rental vehicle is involved, determining whether this coverage applies may require reviewing the injured person's personal policy, the rental agreement, and any additional coverage purchased for the rental.
Necessary Steps to Take
The steps taken immediately after a collision may affect the insurance and claims process. When possible, victims should consider the following.
- Obtaining medical attention
- Reporting the accident to law enforcement when appropriate
- Exchanging information with other drivers
- Photographing the vehicles and the accident scene
- Gathering contact information from witnesses
Victims should also consider keeping copies of the rental contract, insurance information, photographs, medical records, repair documents, and receipts associated with the accident.
Seeking Legal Support
Individuals may need to seek legal guidance and support after suffering the consequences of a rental car accident. Oftentimes, these types of accidents may cause severe or life-threatening injuries in addition to the legal challenges that may follow. Speaking to a professional after being involved in a rental car accident can help you understand your personal injury case moving forward.
Our Legal Team: KAASS LAW
Our qualified personal injury attorneys at KAASS LAW are determined to help victims who have suffered from the aftermath of a rental car accident. Our legal team may review the specific facts surrounding your case, speak to insurance companies, and help you understand your rights throughout the claims process. Call KAASS LAW today for a confidential consultation and to learn more about your potential options.