Will the Insurance Company Pay for a Rental Car During Repairs?

Will Insurance Pay for Rental Car During Repairs

Getting into a car accident can be a stressful and overwhelming experience. While dealing with repairs and insurance claims, it’s easy to overlook the need for a rental car to maintain mobility.

But the good news is that many insurance policies include rental reimbursement coverage, also known as rental car coverage or rental reimbursement.

This coverage can cover rental car costs while your mechanic repairs your vehicle, allowing you to get back on the road without breaking the bank.

Let’s explore the world of rental reimbursement coverage, exploring what it is, how it works, and what factors may affect your coverage.

What to Expect When Your Car Needs Repairs After a Car Accident

Car accidents happen to many drivers. Whether a minor fender bender or a major crash, your vehicle may need to spend some time in the repair shop.

And even if your car is well-maintained, unexpected issues may arise after a minor collision, leaving you stranded and needing repairs.

In these situations, having access to a rental car can be a lifesaver, allowing you to maintain mobility while your vehicle is in the shop.

How Rental Reimbursement Coverage Works

Rental car reimbursement coverage, or rental car coverage, is a type of insurance that can help cover the cost of a rental car while your vehicle is at the mechanic.

This coverage is typically included as part of a comprehensive or collision insurance policy and may also be available as an add-on or endorsement to your existing policy.

Rental car reimbursement coverage typically works like this:

  • Your car is in the repair shop due to a covered loss, such as an auto accident.
  • You rent a car with your own money to get around town or back and forth to work while your vehicle is at the shop.
  • You submit a claim with your insurance company to reimburse you for the cost of the car rental.
  • Your provider reimburses you up to a specific daily limit and for a specified number of days.
  • The daily limit and maximum number of rental days vary and depend on your policy coverage.

Under some circumstances, rental insurance will kick in and pay for a rental car so you don’t incur out-of-pocket expenses. Therefore, reviewing your specific coverage and rental car coverage details is important.

Factors That Determine Rental Car Reimbursement

While rental car reimbursement coverage can be a valuable addition to your insurance policy, it’s necessary to understand that your insurer may not cover all situations. Several factors can affect your eligibility for rental car coverage.

The type of insurance policy you purchased

Typically, insurance will pay rental reimbursement coverage in comprehensive and collision insurance policies, which cover the property damage to your vehicle from accidents, theft, fire, or other non-collision events. However, if you’ve only purchased minimum liability insurance, you’ll most likely need to add rental vehicle coverage to your policy.

The cause of the accident

Your car insurance policy may specify certain events not covered under rental car reimbursement. For example, some policies may exclude rental car coverage when your vehicle requires mechanical repairs not related to the accident or during other non-collision-related issues.

Whether you are at fault for the accident

If your insurer finds you at fault for an accident, it may be less likely to cover the cost of a rental car. And sometimes, the at-fault driver’s insurance company may be responsible for covering rental car costs.

Navigating Rental Car Coverage Policies and Claims

Understanding your specific insurance policy and coverage is crucial for rental car reimbursement.

Here are some tips to help you navigate the process:

  • Review your Insurance Policy: Check your coverage thoroughly, paying close attention to the details of your rental car reimbursement terms. Look for information on daily rental limits, maximum rental periods, and any applicable exclusions or limitations.
  • File a Timely Insurance Claim: When your car needs repairs, file an insurance claim promptly. Provide all the necessary information and documentation to support your claim, including repair estimates, police reports (if applicable), and rental car receipts.
  • Communicate with your Insurance Company: Regularly communicate with your adjuster throughout the claims process. Ask questions about what’s covered or the claims process, and be proactive when issues arise.

Dealing with Denied Claims and Insurance Disputes

While rental car coverage exists after accidents, insurers may deny those claims anyway. If this happens to you, request a written explanation and compare it to your policy’s language. Then, connect with an experienced lawyer to review why your insurance company rejected reimbursement for a rental. They know how policies work and can better determine if the denial seems justified.

Our lawyers can appeal denials through letters explaining exactly how your situation and policy terms align. Our experience pressures insurers to fix improper claim handling.

Representation is key, but know most rejection appeals succeed when backed by legal guidance. Don’t wait until extra court battles to exercise rights.

Contact Held, Held & Held to Get Fair Reimbursement After a Car Accident

Dealing with car repairs and insurance claims feels overwhelming. But knowing your rental reimbursement rights makes the process smoother.

By studying your exact policy details, working closely with rental companies and repair shops, and understanding legal protections, you can confidently navigate getting rental coverage.

Remember – policies vary widely, so professional guidance assists with any questions or issues.

Proper preparation ensures your rental coverage works when your car needs the shop. It helps maintain mobility quickly after accidents.

Need Help Getting Rental Repairs Covered?

If you need support getting an insurer to pay for rentals or you have other claim questions, our attorneys can help.

At Held, Held & Held in New York, our personal injury lawyers fully understand state rights around insurance disputes. We assist New Yorkers in receiving fair claim evaluations and the complete coverage protection they deserve.

Contact us today for a FREE case evaluation.

Author Bio

Edward Held is the founding member of Held, Held & Held, a family-owned multi-practice law firm in Brooklyn, NY. With more than 40 years of experience, he has zealously represented clients in various legal matters, including personal injury, real estate, criminal defense, bankruptcy, and estate law.

Edward received his Juris Doctor from New York Law School and is a former President of the New York Law School Alumni Association Board of Directors. He has received numerous accolades for his work and has been admitted into the Supreme Court of the United States and the New York State Courts.

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