Accidents involving rental cars can be complicated.  Did you know that rental car companies are only required to carry $10,000 in insurance coverage for each vehicle?

In 2005 Congress passed a law called the Graves Amendment which protects rental car companies from vicarious liability saying they cannot be sued for any liability while the vehicle is rented unless the rental company is found guilty of criminal wrongdoing or negligence.  The State of Florida had a law that made rental car companies liable for certain damages caused by accidents involving their rental cars (as long as the rental period was less than one year).  They were required to pay no more than $100,000 per person, no more than $500,000 per accident for bodily injury, and no more than $50,000 for property damage to the car.  Additionally, if the rental company was uninsured or had insurance with limits of less than $500,000 in combined bodily injury and property damage liability, then they could be liable for up to an additional $500,000 in monetary damages.  Unfortunately, in 2011 the Florida Supreme Court ruled that this Florida law violated the Graves Amendment and was invalid.

Call The Law Offices of Reese Harvey today for a free, no obligation consultation to help you determine who was at fault for your accident and how damages will be paid (561) 691-4511.

RENTAL CAR ACCIDENT FAQs

• I was hit by someone who was driving a rental car.  Can I sue the rental car company?  The rental car company has no legal obligation to pay for damages caused by authorized drivers.  Under 49 USC 30106 it is stated that the liability rests with the person who is driving the car.
• Can I collect damages if I am hit by an uninsured motorist while I'm driving a rental car?  If you're hit by an uninsured motorist while you are in a rental car, the best way for you to collect damages is from your own uninsured motorist insurance policy.  It's possible that you may also have collision protection through your credit card company; however, credit card protection provides secondary coverage to your personal auto policy or the coverage sold to you by the rental car company.  It's important that you hire an attorney quickly and one who knows how to protect your rights and ensure that policy benefits do not expire.  Some credit card companies have a designated period of time (i.e. 45 days) in which the accident has to be reported in order to receive benefits.  The Law Offices of Reese Harvey has over 13 years of legal experience protecting clients' rights.  Call us at (561) 691-4511 for a free consultation on your case.
• What does the extra insurance that I paid for from the rental car company cover?  If you've rented a car you may have been pressured to buy the extra insurance the rental company offers. What is this insurance and what does it cover?  This extra insurance policy is called a "collision damage waiver", or CDW.  It usually covers the customer and other authorized drivers in the event of a collision.  CDW covers the cost of damage to the vehicle up to a specified amount of money (i.e. $35,000) - it is NOT liability or medical insurance and will not cover any injuries or damage to property.
• How do I protect myself financially in case I'm hit by someone who is driving without insurance or not enough insurance?  The best way to protect yourself and your family is to carry uninsured motorists insurance coverage, or "UM coverage".  Your UM coverage will help cover fill in the gaps in coverage if the person who hit you doesn't have insurance or any assets.

* The answers to these questions are not legal or medical advice and should not be relied upon or used as a basis for any particular course of action.  Feel free to call The Law Offices of Reese Harvey.  We will be happy to answer your questions and explain your rights.