What to do in case of an accident in a rented car?

Every year, about 1.19 million people die in road accidents worldwide. Another 20 to 50 million people suffer non-fatal injuries or become disabled. Moreover, the greatest risk is posed by car trips, while the fatality rate is much lower when traveling by plane, train, and bus.

Any driver, even the most experienced, can get into an accident. At such moments, it is easy to panic, especially if the accident occurred in a rented vehicle. However, if you know the procedure in advance, you can avoid unnecessary financial costs and get out of the situation correctly.

First steps in case of an accident

First of all, try to calm down and not panic. Do not flee the scene of the accident under any circumstances, and do not touch or move things. First, make sure that you and the other participants in the accident are okay. If there are victims, provide first aid.

To prevent further collisions, turn on the hazard warning lights and install an emergency stop sign. In the city, it should be at least 15 meters from the car, and outside the city — at least 30 meters. This will help other drivers notice the accident in time and reduce the risk of additional incidents. Stay at the scene of the accident until all the circumstances are fully clarified.

Notification to the rental company

Contact the rental company as soon as possible and report the accident. This is important, as each company has its own rules for dealing with such situations. Specialists will give you detailed instructions on what to do next.

If the accident is serious or there are casualties, be sure to call the police. In some countries, calling the police is mandatory even for minor damage. It is crucial to remain polite and not shout into the phone about who is right and who is guilty. The police will sort this out.

If the other parties are hostile while you wait for the police, try not to engage in conflict with them. Also, do not sign any statements admitting guilt or promising to pay damages to the other parties. Also, try not to mention that you are driving a rental car without the police being present, as some people may try to take advantage of the situation and blame you.

Who will compensate for the losses?

It all depends on whether you have insurance and what it covers. In the previous article, we wrote about types of insurance and their features. Let’s briefly recall them:

• LDW (Loss Damage Waiver) covers damage to the rental car in case of minor accidents. It covers scratches, dents and other accidental damage. However, LDW insurance becomes invalid if the driver was intoxicated, exceeded the speed limit or broke the law.
• TLP (Third Liability Protection) covers damage caused to third parties. Without this type of insurance, you will have to pay extremely high compensation to the person who was damaged, regardless of whether it was intentional or not.
• SLI (Supplemental Liability Insurance) is additional liability insurance up to certain limits above the limits provided in the agreement. SLI insures you and authorised drivers against third-party claims for bodily injury or death, as well as property damage, caused by the use or operation of the rental car.
• PAI (Personal Accident Insurance) covers medical expenses for the driver and passengers, and may also provide compensation for permanent disability.

When calling the rental company, find out what your insurance policy covers, what your insurance company may cover, and what the rental car company will cover.

If you paid for your rental vehicle with a credit card that offers rental car insurance, this may also help cover some of the damage in the event of an accident. If you do not have insurance, you will have to pay all of the car repair costs, third-party compensation, and medical bills out of pocket.

Even if you are not at fault for the crash, you may still be held responsible for certain costs — especially if the rental car is wrecked or if someone was hit. In most cases, you will need to pay the deductible directly to the rental company first. After that, your insurance provider will evaluate the situation, handle the damages, and reimburse you if applicable.

Conclusion

Even the most experienced driver is not immune to road accidents. However, if you act correctly and follow a clear algorithm, you can minimise stress, avoid unnecessary financial losses and resolve a difficult situation correctly. The main thing is to stay calm, make sure that everyone is safe, notify the rental company about the incident and, if necessary, contact the police. Then even an unpleasant incident will not ruin your trip.