Getting into a car accident is always stressful, even when the damage is minor. But when the crash was caused by someone driving a rental car, it can be more confusing. Where do you turn for insurance benefits? Will you have to deal with the driver, or will your insurance company do the legwork for you? And if you have significant injuries, how can you claim compensation for them?
The good news is that anyone driving a legally rented car will have insurance of some kind. Car rental agencies won’t allow anyone without insurance to get behind the wheel of their cars because it leaves them open for liability, too.
What Does the Law Say?
Arizona cleared up a lot of these questions in July 2012. Up to that point, the insurance provided by the rental car company was treated as the primary insurance, meaning that injured parties would speak with the rental company’s insurer first in order to claim compensation. Because Arizona is a tort (at-fault) state, the insurance of the person who caused the accident would provide benefits for all injured parties.
Having to deal with a rental car company and insurance company, all while recovering from injuries and trying to coordinate car repairs, was a lot for the victim. In addition, the insurance provided by a rental car company only covered a minimum amount, meaning that another insurance company usually had to get involved. It was a long process. But for many years, that was the law.
But that changed in 2012 when our legislature passed SB 1153. This law makes the rental car’s insurance secondary insurance, meaning it will only apply if the rental car driver’s personal insurance policies don’t fully cover the damages.
All good news! So, what should drivers do when they’ve been hit by someone driving a rental car?
Immediate Steps to Take at the Scene of a Rental Car Crash
The first steps after being hit by a rental car are the same steps you’d follow if you were hit by any other vehicle.
Seek medical treatment if you are injured. If your injuries are so severe you cannot make it to the hospital on your own, call 911 for an ambulance. But not before you exchange some important information with the other drivers involved.
Get the full name and contact information of the rental car driver, as well as the name the rental car was rented in (if different from the driver’s). You should also ask for all applicable insurance policies including travel insurance, liability insurance, personal automotive insurance, and additional rental insurance provided by the rental car company.
Note of the name and location of the rental car company. The driver may not be aware of the details of the rental company’s insurance policy, so you may have to contact them to get that information. And it’s always a good idea to make sure they are aware of the accident.
Take pictures of the scene and get the contact information of any witnesses to the accident.
Once those steps have been taken care of, you should speak to your own insurance company. Once you have notified them of the accident, they will take over the case and speak to the car rental company or its insurer.
Contact The Husband & Wife Law Team for a Free Case Review
If you have serious injuries that the insurance won’t fully cover, and you need more compensation, try contacting an experienced car accident attorney. An attorney can help, and if you speak to him or her before contacting the insurance company, he or she can also speak to the insurer for you, which can be a huge relief. For a free consultation with the skilled attorneys at Breyer Law Offices, P.C., please contact us today.
Frequently Asked Questions About Rental Car Accidents
Can I sue Enterprise, Hertz, or Avis directly if their driver hits me?
Generally no. The federal Graves Amendment protects rental agencies from being sued for driver negligence. However, you can sue the agency directly if they rented to an unlicensed/impaired driver (negligent entrustment) or failed to repair known mechanical defects.
What if the rental car driver was an out-of-state tourist or international visitor?
Answer: International tourists and out-of-state drivers are required to purchase supplemental liability protection (SLP) or rely on travel insurance. Claims are filed under Arizona or New Mexico jurisdiction where the accident occurred.
What if the rental car driver was unauthorized or not listed on the rental agreement?
Answer: If an unauthorized driver causes a crash, the rental company's policy and credit card insurance will likely deny coverage. In this scenario, compensation is pursued through the driver’s personal insurance or your own Uninsured Motorist (UM) policy.
Who pays for my rental car while my vehicle is being repaired after a crash?
Answer: The at-fault driver's primary insurance carrier is responsible for providing loss-of-use compensation or paying for your temporary rental vehicle during repairs.


