In Queensland, rental car companies are potentially liable for injuries and damage from an accident that is caused as the result of a vehicle defect. In this article we explore your rights as a customer.
Check the contract
Before you sign the contract, read it carefully so that you understand the terms and conditions. This should include checking for clauses that would leave you fully liable for any damage. In terms of injury liability, this will usually be covered by the at-fault driver’s Compulsory Third Party (CTP) insurance and not the rental car company. The exception would be if, as we’ve mentioned above, the company could be held as at fault due to a vehicle defect being the cause of the accident.
There may be exclusions outlined in your car rental agreement where you won’t be covered for certain types of vehicle damage. If you are at fault, the rental company usually won’t cover you for damage to another car, unless you have taken appropriate insurance cover at the time of hiring the vehicle. Your own comprehensive insurance may provide cover if you are using a rental car while your car is being serviced or repaired, but this will be subject to the terms of individual insurance policies.
Need more tips for checking your rental car contract? Visit the Queensland Government website for further information.
What to do if you’re in a rental car accident
If you’re in a rental and you have a car accident, below is a list of steps you should take. The immediate priority is always to address any injuries first and make sure people get the medical assistance they need. The remainder of the steps will help protect your rights against the other driver or rental car company if necessary.
- Call 000 immediately if anyone is seriously injured
- Don’t admit fault
- Exchange details with the other drivers
- Collect contact details from witnesses
- Document how the damage or accident occurred
- Take photographs of the car damage points before you return it
- Contact the police if necessary
- Check the contract for information about your liabilities
- Make sure you’re present when the car is inspected
- Get documentation for the costs and procedures for fixing the damage before you leave the car hire premises
- Check that any charges made to your credit card are in line with the contract your signed
You can learn more about what to do in our guide for minor accident procedure in Queensland.
What if someone is injured?
If someone is injured in a rental car accident, it is important to determine who is at fault. Was it you or the other driver? The compensation process will be the same as in a regular car where the injury claim is made through the CTP insurer of the at-fault driver’s vehicles CTP insurer. If you were injured and were not at fault, you can find out if you’re eligible for compensation by talking to one of our lawyers.
Damage to the car will not be included in the CTP claim and will depend on what is in your contract as discussed above.
Who is liable if the rental car is damaged?
When the cause of an accident is not the rental company’s fault, the customer should have a clear idea of what cover they purchased when renting the car. This should have been explained carefully by the rental car company when the customer picks up the car.
Before a rental car company makes credit card deductions for damage, whether the customer’s fault or not, they should provide a bill first. This can then be disputed or accepted by the customer depending on the circumstances.
If another driver was responsible for the accident, you may be able to make a claim against them. As our lawyers specialise in injury compensation, we recommend visiting the Queensland Government Legal Aid website to find out more about making a property damage claim against another driver and then contacting the Queensland Law Society for a referral to a lawyer who specialises in property damage claims.
Who is liable for damage to another car?
If you were responsible for the accident and you have damaged another car, the other driver may make a claim against you. You will need to notify your insurer, provide the other drivers details, or pass their letter of demand to your insurer. You’ll then pay the excess prescribed in your policy, and your insurance company should accept the claim. You can find out more about this process on the Queensland Government Legal Aid website.
If you were injured in a rental car accident and it wasn’t your fault, we’re here to help determine if you are eligible for compensation. Get in touch with our lawyers for free advice on the best next steps.