Car accidents can happen at any time, and they can be a stressful experience for everyone involved. It’s especially challenging when the person at fault happens to be driving a rental car or a company vehicle. This scenario raises several questions such as who will be responsible for the damages, and how will the compensation be claimed?
In this article, we’ll explore everything you need to know about being involved in a car accident with someone driving a rental car or a company vehicle.
Table of Contents
Rental Car Accidents
If you’re involved in a car accident with someone driving a rental car, the first thing you should do is exchange your relevant details with the driver. The details include your car registration number, your driving license, and your insurance details.
The rental car company will also be informed of the accident, and the driver should follow their procedures to report the accident. In most cases, they will require a police report and details of any injuries. Often, the rental company will not take any action until they hear from their client’s insurance company.
Determining Liability
The rules of determining liability are more or less the same whether it’s a rental car accident or a regular car accident. In general, the driver at fault is responsible for the damages. However, proving fault and assigning liability can be tricky.
Suppose the person driving the rental car was reckless or negligent in any way which led to the accident. In that case, the liability would fall on the driver and their insurance company. However, suppose the person who caused the accident was not the driver of the rental car, for example, a passenger or pedestrian. In that case, things might get complicated since the rental car company, or their insurance company, might argue that they are not responsible for the damages.
Insurance Coverage
In most cases, the driver of the rental car will have insurance coverage provided by the rental car company. The rental company will offer several types of insurance coverage, including Collision Damage Waiver (CDW), Liability Insurance, and Personal Accident Insurance.
Collision Damage Waiver is a form of insurance that the rental company offers to cover damages to the rental car in case of an accident. Liability Insurance, on the other hand, protects the driver from being held financially responsible for damages and injuries caused to others. Personal Accident Insurance provides coverage for passengers who might be injured in the event of an accident.
If the driver of the rental car purchased any of these insurance policies, they might get some level of coverage in the event of an accident. However, if the driver did not purchase any insurance, they might be liable for both damages to the rental car and damages to other people’s vehicles, including medical expenses.
Company Vehicle Accidents
The same procedures involved in an accident with a rental car apply to company vehicle accidents. If you’re involved in an accident with someone driving a company vehicle, ensure you exchange your details with the driver. You might also need to contact your local police department to file a report.
Determining Liability
When it comes to determining liability in a company vehicle accident, things can get complicated. Essentially, it would help to know whether the driver was on the job or not at the time of the accident.
If the driver was using the company vehicle for work purposes and caused an accident, the company might be held responsible for the damages. The employer can be considered liable under the legal doctrine of ‘vicarious liability’. On the other hand, if the driver was driving the company vehicle for personal reasons, the responsibility might fall on them, and their personal auto insurance policy would come into play.
Insurance Coverage
Like rental car accidents, the liability in a company vehicle accident depends on the circumstances surrounding the accident. Generally, most companies have insurance coverage, which provides a level of protection to the driver and the business in case of an accident.
The insurance policies usually include liability and collision insurance, which cover damages caused to third parties and damages to the vehicle, respectively. Suppose the driver of the company vehicle is not at fault. In that case, the insurance company will pay for the damages of the other party involved in the crash.
Conclusion
Being involved in a car accident can be overwhelming. However, things can get more complicated when the person causing the accident is driving a rental car or a company vehicle. Remember to exchange details with the driver, report the accident to the relevant authorities, and follow the processes outlined by the rental car or company policies.
In most cases, the driver’s insurance policy should cover the damages and injuries resulting from the accident. However, if you’re unsure about anything, you can always seek the guidance of legal professionals.