Whether you're setting off on a long-distance road trip or simply driving your daily commute to work, auto accidents can happen unexpectedly. If an accident that wasn't your fault leaves your car needing repairs, you would hope the other driver's insurance company would cover a rental car for use while your vehicle is with a mechanic. Unfortunately, when it comes to certain insurance companies, many auto accident victims have been denied just that.
There are more than 500 car insurance providers in the United States, each with its own prices and policies. Generally, most insurance companies, when offering coverage for vehicles, will include a policy coverage for collision, liability, personal injury, and related expenses, including rental cars. However, recently, victims of car accidents who were hit by other drivers with certain insurance coverage policies have noticed that their insurance companies have failed to offer promised benefits, such as rental cars of equal value to the vehicle that was damaged, for the innocent victims in need of substitutional transportation.
What Is Your Car Insurance Supposed to Offer You After an Accident?
As previously mentioned, many auto insurance companies offer different policies and coverages for when you are involved in an accident. Often, under one of the policies, which in some companies are or can be labeled as "gap insurance" or "loan/lease insurance," when a client signs up to receive said insurance, it will offer coverage that should help protect them with financed or leased vehicles. So, say, in the event of an accident where a vehicle is totaled, the responsible party's coverage should then pay the difference between the actual cash value of the vehicle and the unpaid balance of the auto loan or lease. The same coverage should also go towards the victim's rental car in the event that they would need one.
Recently, however, drivers involved in car accidents with at-fault drivers carrying specific insurance policies have not been receiving rental cars of the appropriate value from them. Typically under the at-fault driver's insurance policy, an accident victim should be entitled to be temporarily placed in a rental car that matches the current vehicle they are financing or leasing.
For example, say someone drives a Tesla® that gets totaled in an auto accident with a driver carrying insurance with a loan/lease coverage policy. Under their policy, they are then required to put that individual in the same Tesla® if it is available at the rental company. If the same Tesla® model is unavailable for some reason, the company must provide the victim with another car that totals the same market value or dollar amount each day, as a Tesla® would. In the case that the rental company is still unable to provide a comparable vehicle to the Tesla® and can only offer one of lesser value, then that insurance company is required to offer, in cash, the daily difference between the two vehicles.
One of Our Class Action Attorneys Can Help You Fight Back
Often, major insurance companies will try to take advantage of people by cutting corners or avoiding offering the full extent of their policy after a car accident has occurred. When this happens, we highly recommend that you speak to an attorney who can help you understand the ins and outs of your case—and has the resources to fight back against these major corporations. That's where we come in.
For over 35 years, we've been fighting for people just like you. Our law firm has amassed a team of over 800 trial-ready attorneys and thousands of capable support team members. We've recovered over $15 billion for our clients, and we want to help you get the justice you deserve when your insurance company tries to leave you high and dry after an accident totals your car.
If you've been involved in a car accident and the at-fault driver’s car insurance has not provided you with the proper vehicle or has not reimbursed you for the difference for your rental car, you may be entitled to compensation. If you're considering joining a class action suit and have questions about how to proceed, it's crucial to speak with a knowledgeable attorney today.
For more information regarding your case, you can connect with one of our class action attorneys today by completing our free, no-obligation case evaluation form.