Car insurance question

RogueTrader273 · 28 June 2008

I recently was in an accident that was 100% the other driver's fault (old lady coming out of a driveway without looking and attempting to drive the wrong way down the road.) She is covered by RACQ Insurance which paid the $10k repair bill for my car, but is ignoring my claim for $500 for a rental car for the two weeks my repairs took. OK it's great that she was insured and the repair bill was paid, but as the victim shouldn't all my costs be compensated for? (Not to mention all the time and hassle it's cost me, but I've made no claim for that.) Any experts out there who could give me some idea please?

CAB SAV · 28 June 2008

Hi, Unless your policy schedule indicated that your vehicle was insured for business use not private, you are out of luck. Some underwriters have benefits for hire car use, following an accident, not just theft of the vehicle, but the extra premium could be an additional +$80pa.
Some underwriters let customers choose their repairer and larger firms have fleets of either free loan cars or hiring for +$50 for as long as you need.

RogueTrader273 · 28 June 2008

Thanks, but my car wasn't insured. I always assumed it was the responsibility of the insurance company representing the person
who caused the damage to pay all expenses incurred by the victim,
but not having been in an accident before I wouldn't know.

CAB SAV · 28 June 2008

Without insurance it is up to you to contact the company and submit a claim. You will still not be able to claim for use of a hire car, but claim the repair or market value replacement cost of your vehicle. Get a written quote from a crash repairer for cost of repairs or if it is a write off, get a written pre-accident valuation from a repairer or someone like a NRMA,RACV. Once youv'e got that, contact them with a letter of demand and give them 21 days to cough up or see them in court. Issuing summons is cheap & easy.

RogueTrader273 · 28 June 2008

So you can't claim for a rental car then? The people at the wreckers
gave me the impression it was routine. (The car has been fixed and
paid for by the insurers btw, so that's no longer an issue.)

Stan 101 · 28 June 2008

It would have been easier to attempt the car rental claim if you had insurance.
You could then put your case to your insurer and they would fight it out with the other party's insurer. In this case, your insurer is working for you.

As you have no insurance, the other party's insurer will simply tell you to go away knowing that the likelihood of you chasing them to the limit of the law is low. If you were the type to chase an insurance company, you would probably be savvy enough to have insurance (no disrespect to you).

Put it down to experience or write a letter of demand to the other party. What have you to lose?

Boggo · 28 June 2008

RogueTrader273 said:
I recently was in an accident that was 100% the other driver's fault (old lady coming out of a driveway without looking and attempting to drive the wrong way down the road.)

Just an interesting heads up regarding who is at fault etc.
There are many variables but the bottom line is that the person who is at fault is actually the person who could have avoided the accident.

An example from a few years ago was where the father of a family friend was driving through a green light and got clobbered by a P plater running a red light.

The final outcome was that it was determined that he had a 40% chance of avoiding the accident because he saw the other vehicle prior to impact and didn't re-act promptly and consequently he was assumed to be 40% of the cause even though he was doing the right thing.

Bottom line, the fault lies with the person who could have avoided the accident, the onus is on you to take appropriate evasive action even if the other person is "100%" in the wrong initially.

PS. I am not suggesting this was the situation in your case roguetrader.

Mike

Tysonboss1 · 28 June 2008

RogueTrader273 said:
Thanks, but my car wasn't insured. I always assumed it was the responsibility of the insurance company representing the person
who caused the damage to pay all expenses incurred by the victim,
but not having been in an accident before I wouldn't know.

You could try legal action directly against the at fault driver, after all because of her you were caused financel damages in the form of a hire car.

If you were awarded the damages then it would be up to her to claim them from her insurance company, It's not really up to you to chase her insurance company.

Leagally she has to cover any damages that you incurred, wheather her insurance company repays her is not relavent to you, she is their customer not you, just because the insurance company desides that they don't wish to pay doesn't mean that you still don't have a legal right to be compensated, and if the company doesn't want to pay then this must fall directly to the other driver.

RogueTrader273 · 28 June 2008

The problem with me taking legal action though would be that it's likely to cost me more than the $500 - wouldn't that be true?

Tysonboss1 · 28 June 2008

RogueTrader273 said:
The problem with me taking legal action though would be that it's likely to cost me more than the $500 - wouldn't that be true?

thats why the insurance company is refusing you, because they know 9 out of 10 people in your sitation will walk away, so they are adding an extra $5000 to their end of year profit.

You may not have to go as far as legal action though,

I simply letter to the other driver asking for compenstaion, then escalating to a few official sounding letters suggesting you will to legal action may do the trick.

if the person feels that they may end up having to pay there own legal costs, and yours plus the damages they may just pay you the damages and not worry about fighting it,... or they may make a counter offer and settle of 50% of the costs of the rental,.. better than nothing though.

Julia · 28 June 2008

I'm interested in this thread.

A few weeks ago, I parked in a designated parking space on main street.
Was standing roadside of the car waiting to cross the road. Thought better of it in view of speed of traffic and retreated to stand on the footpath.
Seconds later there was a mighty grinding of metal and a large sedan completely side swiped my car. Would have crushed me had I not moved.

Driver of other vehicle apologised and admitted liability. Gave me name, address etc.

Repairs will mean I will be without my car for three days. Very inconvenient.
So it might be worth taking up the question of a hire car for that period.
I can't see the insurance company getting involved in this though.
Has anyone successfully negotiated this sort of car hire through the insurance company, with the obvious expectation they will extract the cost from the offending driver?

Stan 101 · 28 June 2008

Julia, demand it of your insurer and see where you get.

I belive Suncorp will offer car hire if repairs take longer than 7 days (I will have to re read the fine print) from memory.

Glad you are okay.

cheers,

Car insurance question

RogueTrader273

CAB SAV

RogueTrader273

CAB SAV

RogueTrader273

Stan 101

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Tysonboss1

RogueTrader273

Tysonboss1

Julia

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