Car Hire Covered in Not-at-Fault Accident - Is There a Limit?

BendBridge on 10/08/2022 - 22:52

A young guy hit my car from behind. He wasn’t insured. My insurance company arranged for my car to be repaired and gave me a hired car of similar class.

Initially I was told it would take 10 days to fix up my car. Today I received an SMS saying it would take another 3 weeks for my car to be ready. It’s just replacing the bumper and some body work.

Although the repair and car hire don’t cost me anything, I think it’s really unfair to the poor guy at fault. Looks like the insurance company, the repairer and the car hire company are licensed to print money at the expense of the guy at fault. Is this practice common or even legal?

/WT

Automotive Car Rental

Comments

  • SF3 on 10/08/2022 - 22:59
    +11

    That's why it is important to have insurance.

    Imagine running into the back of a Lambo without insurance, even if it took a few days to fix.

    • lgacb08 on 06/09/2022 - 12:52

      Nah, just claim hard ship with the magistrate then pay $50 a fortnight for 3 months then resettle the final amount to whatever you want then she'll be right.

  • PissLUR on 10/08/2022 - 22:59
    +20

    How is that unfair to the at fault person? They chose not to insure. And that's the end of it.

  • Pelicannn on 10/08/2022 - 23:39
    +3

    Burn a life lesson right into the hole that will appear in their wallet and hopefully they make better choices in the future.

    Can’t (profanity) stand people who drive uninsured.

  • kerfuffle on 11/08/2022 - 00:07
    +2

    I think it’s really unfair to the poor guy at fault.

    Well if he had insurance, he wouldn't be in this situation, would he now? All he would have to do is pay the excess and that would cover repairs to his car, your car, and your hire car costs (at the expense of his premium going up).

  • tharlow on 11/08/2022 - 05:52

    print money at the expense of the guy at fault

    I doubt they have recovered any money from the potentially poorer poor guy… yet. So there is significant risk associated with that enterprise.

    Do you think they should make insurance against damage to other cars and property mandatory? Maybe the poor guy will declare bankruptcy and then rise from the ashes in seven years (to become the next tech billionaire). I wish I could insure myself against stupidity, but I could never afford the premium

    • Nugs on 11/08/2022 - 08:07
      +3

      "Do you think they should make insurance against damage to other cars and property mandatory?"
      Yes
      .

  • Gros21 on 11/08/2022 - 07:01
    +1

    tell him you think its lucky its only 4 weeks. I was waiting 6 months to get my bike fixed but as it was insured for occasional use i was not entitled to a loan veh even though i was not at fault so i just bought a second bike.

    Its the risk you take i would not take it easy on him, if his behind the wheel he should know the risks

  • Boioioioi on 11/08/2022 - 07:22

    Its his fault he is inconveniencing you. If he can't afford insurance then he should have got the bus. If you're going to put a car on the road, be prepared for worst case scenario. He chose poorly.

  • JimmyF on 11/08/2022 - 09:25
    +1

    I think it’s really unfair to the poor guy at fault.

    That is why you have insurance…..

  • Darayus on 11/08/2022 - 10:07

    Did you got hire a car from a repairer or straight from insurance direct? If you have got from repairer then they are deliberately delaying delivery. Usually for minor damaged car repairer will send your quote to the insurer to approve and organise parts and thereafter call you to drop the car and in 3 days they fix minor damages.

    • BendBridge on 11/08/2022 - 11:44

      I would say it's from the car repairer as the car hire company sits inside the office of the car repairer.

      The damage was not severe and I could still drive my car. In fact they cancelled 3 times of my bookings before I finally dropped off my car with them.
      Cancellation 1: they couldn't fix it, the car, they had to organize for another company to do the job.
      Cancellation 2: they needed to order parts from Korea.
      Cancellation 3: they just postponed it.

      Two days after I left my car with them, they SMS'ed me about an additional 3 weeks were needed for my car to be ready.

      I just feel that something is NOT quite right. I am just wondering if this is a common practice.

      BTW, this is one of the largest Australian insurance company and the car repairer is very big too.

      • Darayus on 12/08/2022 - 10:03

        Thanks for the update.

        They would have got you to sign the documents that you will be required to pay in case the other party's insurance or other party is unable to pay them. The car rental company charges $ 35 per day they will charge $150 per day. They would have also got you signed that you would be required to attend court and all demand notices will be generated in your name.

        Actually, they are just a mediator between you and the final claimant, this is on documents you sign and not what they tell you.

        So welcome to headaches and attending court on dates, and legal issues and you have exposed yourselves to unnecessary headaches. Considering that another party has no insurance.

        I am aware they try to push you to a bigger European old car advising that this is the car you should drive as a replacement and at no cost to your account.

        This is a big scam currently going on in the market and we need to be aware of that.

        This is nothing to do with big insurance company as car hire is between you and car hire and smash repairer gets extra money to rent out car to you.

  • apple2016 on 11/08/2022 - 10:54

    Is There a Limit?

    if the cost of hire car + repairs is more than the value then it would become a write off.
    Also only if your car is not in road worthy condition , the other party would need to fork out for a hire car. If its just cosmetic damage, you could still use your car while waiting for parts.

  • Baysew on 11/08/2022 - 11:48
    +2

    You could elect to send the hire car back.

    • tharlow on 11/08/2022 - 13:02

      Good practical advice! I think it’s laudable that one seeks to see things from another person’s point of view, and understands that nobody’s perfect

  • Euphemistic on 11/08/2022 - 13:00

    If you think it’s unfair, just take the hire car back. That’ll drop the bill a bit.

    • tharlow on 11/08/2022 - 13:03

      Hire cars go faster than any other car in reverse. Great for doughnuts, too

    • BendBridge on 11/08/2022 - 14:38

      Did think about that. Unfortunately I don't have a second car. Since the accident isn't that bad and the car is still safe to drive, I think the car repairer could have made better arrangement. As in my answer above, it just seems like easy money for the car hire company to make.

      I do agree the young man has made a bad mistake and he has to learn his lesson from it.

      • Euphemistic on 11/08/2022 - 15:18

        The hire company must be in collusion with the panel shop!

        Hire companies make money by hiring cars. They don’t care why or who to. They probably make less money from an insurance company than a regular customer as the insurance company is are to have done a deal with good rates.

        • BendBridge on 11/08/2022 - 15:29

          Collusion seems to be the right word to describe the situation.

          This could be a good investigation for ACA.

  • BendBridge on 01/09/2022 - 15:38

    ** UPDATE **
    Just received an SMS telling me the parts hasn't arrived, so another 7 day delay. This is the 5th time the collection date has been postponed.

    • lgacb08 on 06/09/2022 - 13:04

      If you're concerned about welfare of the other driver, next time look for repairer hiring out their own cars, they have less interest in scamming out the unfortunate.

    • TheMills on 06/09/2022 - 13:04

      Try your luck here www.right2drive.com.au/your-rights

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