Like For Like Hire Car, As Motor Accident Definitely Not My Fault - Back End ? Fair

[grahammlong]

Hi good ABer's : Drive a family car , fully comp , 10 years NCD. legal protection etc. Another car went in the back of me , my big insurance company , that have been good up to this point, are trying to offer me a very basic hire car for repair duration . I will reject small car and go for a like for like hire car, as motor accident definitely NOT my fault - back end . Is this wise just don't like being taken advantage of thanks good AB'ers GL.

[EcclesCake]

What does your policy offer?

[bhg481]

If the accident was not your fault then the cost of the hire car will be paid by the other person's insurance company, not yours; you don't even need to have car hire on your policy. If, however, your insurance company gets lazy and settles "knock-for-knock" you might end up paying something if you don't settle for the car they offer.

[sapelesam]

My driving record and insurance is very similar to yours. Last year the same thing happened to me and after initially accepting responsibility the guilty driver tried to wriggle out of his liability. My policy gives me a basic car or an upgraded car if I paid more, I settled for basic. The problem I had was a booked holiday towing a caravan. The other drivers insurance company offered me a suitable vehicle, on reading the hire agreement I would have to accept reponsibility for the car if the other driver was found not to be at fault. The cost of the hire was £620 per week. As I could not afford to risk it, I cancelled the holiday and had an appalling Vauxhall Corsa for three weeks. Look carefully at any hire agreements.

[ToraToraTora]

I don't get it, why are you claiming off your own insurer?

[EDDIE51]

TTT that is how it is done. The insurance companies will then sort it out between themselves. But in the first instance each person claims off their own insurance, or rather the insurance companies do the claims for them .

[ToraToraTora]

really? I didn't even tell my insurer last time some eejit knocked my biker over. Yes I know but I couldn't stand all the admin 541t and they still hike you for being unlucky! TBF that was 10+ years ago

[Deskdiary]

Firstly, the Knock for Knock agreement between insurers was stopped the best part of 20 years ago.

Secondly, it is a basic tenet of insurance law that anybody having a claim must do all to mitigate the loss - in other words to act as a prudent uninsured (so the question that one needs to ask oneself is if I was uninsured, would I hire a basic car or would I hire a like for like car?).

Thirdly, if your policy provides a courtesy car whilst yours is undergoing repair, it is likely, as has proven to be the case in your situation, that your policy will provide you with a car to keep you mobile - the car will, in all likelihood, actually be owned by the garage doing the repair as your insurance company will have a contractual agreement with the garage for the provision of a basic courtesy car.

Fourthly, and this is where it gets messy and flies in the face of the mitigation requirement, if you are contacted by a credit hire company, they will hire you a car of your choosing, you sign a rental agreement, and then they pursue the third party insurance company. If they are unsuccessful, you will be required to pay for the rental.

One of the many reasons why car insurance premiums are increasing is because of credit hire companies (a few years ago my brother in law was shunted in the back of his 5 year old Audi A4 Estate - he was provided with a brand new BMW X5 for a month by the credit hire company - I dread to think how much this cost).