Car hire charges following accident

NoahW77

Hi all, 

I'm hoping for some thoughts / guidance about my current experience with a claims management company.

I had an accident last year after which I phoned my insurance company to notify them - however turns out I was phoning a accident helpline - they advised as the accident was not my fault and that I should use a claims management company who I was then passed through to.

I've subsequently used a hire car via the claims management company.  The hire car contract I signed explained I was liable but in the FAQ of the document said that they would only recover these costs if I stopped cooperating with them or had mislead them.  I had CCTV of the accident so felt I had been completely open about what had happened. At each stage I was advised the accident was not my fault and I would not be liable for any costs.

I'm now in a situation where the hire car has been returned but the third party is refusing to pay hire car charges and is making a counter claim against my insurer.   The hire car charges are significant and would wipe out our life savings.  

I'm feeling nervous about the potential outcome of this and wondered if anyone had any advice or experience which could be helpful.

The claims management company at the moment are saying they are in discussions with the third party about the cost so are not seeking to make me pay but it now feels like the charge is hanging over me.

In hindsight I realise I should have confirmed I was speaking to my insurer and questioned the hire car practice in more detail.  However, after the accident I perhaps wasn't thinking as clearly as I could have been and we were also just off on holiday so I was dealing with this while I was away and also trying to get the car arranged before we left.

Grateful for any views / help, 

BarelySentientAI

Pretty common - and the FAQs are consistent with every case I've seen.

If you agree to provide evidence to help them defend this counter claim, they have always (in my experience) taken the hit themselves if the counter claim is successful.

Obviously, this is advice from an anonymous voice on the internet - so not guaranteed to be true under all possible circumstances - but that's what I have seen.

DullGreyGuy

NoahW77 said:

Hi all, 

I'm hoping for some thoughts / guidance about my current experience with a claims management company.

I had an accident last year after which I phoned my insurance company to notify them - however turns out I was phoning a accident helpline - they advised as the accident was not my fault and that I should use a claims management company who I was then passed through to.

I've subsequently used a hire car via the claims management company.  The hire car contract I signed explained I was liable but in the FAQ of the document said that they would only recover these costs if I stopped cooperating with them or had mislead them.  I had CCTV of the accident so felt I had been completely open about what had happened. At each stage I was advised the accident was not my fault and I would not be liable for any costs.

I'm now in a situation where the hire car has been returned but the third party is refusing to pay hire car charges and is making a counter claim against my insurer.   The hire car charges are significant and would wipe out our life savings.  

I'm feeling nervous about the potential outcome of this and wondered if anyone had any advice or experience which could be helpful.

The claims management company at the moment are saying they are in discussions with the third party about the cost so are not seeking to make me pay but it now feels like the charge is hanging over me.

In hindsight I realise I should have confirmed I was speaking to my insurer and questioned the hire car practice in more detail.  However, after the accident I perhaps wasn't thinking as clearly as I could have been and we were also just off on holiday so I was dealing with this while I was away and also trying to get the car arranged before we left.

Grateful for any views / help, 

If you re-read the credit hire agreement it will typically say something obtuse like your liable for the amount the third party is deemed liable for. The consequence is that if the court determines the third party is liable for £500 of the hire charges then thats all you are liable for and that liability is discharged when the third party insurer pays it. Anything beyond that is written off and in part explains the inflated hire charges they have. 

As you've surmised yourself, as long as you continue supporting them and you've not committed fraud then it may be a pain but ultimately will resolve itself. I've seen very few cases of credit hire companies pursuing the hirer outside of those that refuse to cooperate in recover action.