Who Pays for a Rental Vehicle When My Car Is Getting Repaired After a Car Accident?
After a car accident, one of the most stressful and inconvenient parts of the process is losing access to your vehicle while it’s being repaired. Most people immediately wonder: Who is responsible for paying for my rental car? The answer depends on several factors, including who was at fault for the accident, what type of insurance coverage is available, and how the claim is handled.
Texas Is an At-Fault State
In Texas, the at-fault driver—the person who caused the accident—is ultimately responsible for paying for your damages, including the cost of a rental vehicle. However, insurance companies don’t pay out automatically or immediately. Before they cover your rental, the other driver’s insurance company will typically investigate the crash, determine liability, and then approve payment for your rental expenses.
Unfortunately, this process can take days—or sometimes weeks—which leaves many people without transportation in the meantime.
Using Your Own Insurance Coverage
If you have rental reimbursement coverage under your own auto policy, you can use it to get a rental vehicle right away. This optional coverage is designed to pay for a rental while your car is being repaired or until your totaled vehicle claim is settled.
Even though your own insurance company may front the cost, they’ll usually subrogate—which means they’ll later seek reimbursement—from the at-fault driver’s insurance company once fault is confirmed. This allows you to stay mobile without having to wait for the other insurer to act.
If you’re unsure whether you have this coverage, check your policy’s declarations page or contact your insurance agent for clarification.
If You Don’t Have Rental Coverage
If you don’t carry rental reimbursement on your own policy, you still have options. You may need to pay for a rental out of pocket temporarily while waiting for the other driver’s insurer to accept liability. Once they do, you can request reimbursement for your rental costs.
Make sure you:
Keep all rental receipts, agreements, and payment confirmations.
Rent a vehicle that is comparable in size and value to your damaged one.
Avoid unnecessary upgrades (luxury or specialty vehicles), as insurers often won’t reimburse for those.
When Your Car Is Totaled
If your car is declared a total loss, you are generally entitled to a rental car until:
The insurance company extends a settlement offer for your totaled vehicle, or
A reasonable amount of time passes after the vehicle is deemed a total loss.
Once you accept the settlement offer, the insurer can terminate payment for your rental vehicle, so it’s important to act quickly to secure a replacement vehicle.
Why Having an Attorney Helps
Insurance companies are known for delaying, undervaluing, or outright denying parts of valid claims—including rental expenses. A knowledgeable personal injury attorney can help ensure you are treated fairly, that liability is established quickly, and that you are compensated for all costs associated with the accident—both your injuries and your property damage.
An attorney can:
Communicate directly with the insurance adjusters on your behalf.
Push for faster approval of your rental car coverage.
Pursue reimbursement for any out-of-pocket expenses.
File suit if the insurer refuses to pay fairly.
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