When renting a car, the rental companies offer rates with the subscription of a compulsory insurance in case of accident. Some offer optional insurance or coverage. You can check drivy.co.uk/ for more information about car hire.
Payment of the lease
In principle, the final amount of the rental is paid when the car is returned. In this way, the customer pays all additional costs related to his rental, which were not fully established at the time of signing the rental contract due to certain contingencies (e.g. additional fuel costs). For payment, the rental company must accept any method of payment.
In practice, and for purely practical reasons, rental companies prefer to pay by credit card. This method of payment allows the lessor to avoid as much as possible any risk of insolvency on the part of its client, taking into account the importance of the amounts involved. Indeed, the lessor uses the bank card as a fingerprint as part of the payment guarantee. In addition, the use of the bank card allows the lessor to reduce the administrative procedure (identity, domicile, solvency of the tenant customer) which takes place before the conclusion of the rental contract.
Procedure in the case of an accident
Various scenarios can occur in the case of a traffic accident while driving a rental car. The legal consequences may vary significantly depending on the clauses included in the lease agreement. It is therefore essential to be well informed about the possible consequences in the case of an accident with regard to the provisions of the chosen rental contract.
Accident with optional insurance
The tenant customer has the option of taking out optional insurance, usually combined with insurance against vehicle theft. Optional insurance does not generally prevent the tenant liable for damage from paying the amount of the insurance deductible provided in the contract. The deductible is the sum remaining at the expense of the lessee in the case of theft or damage to the rented vehicle. In some cases, the tenant may choose a contract that covers part of the deductible amount, but never the entire sum.
Accident without optional insurance
In the case of an accident involving the rental car, the situation varies depending on the situation. If the accident was caused by the driver of the other vehicle, and the lessee is therefore not responsible for the accident, the insurance of the person responsible for the accident will cover the amount of damage caused to the rental vehicle. This coverage is the result of third-party insurance, i.e. it covers damage caused to vehicles other than one’s own.
This third party insurance taken out by the person responsible for the accident covers both bodily injury (hospitalization, rehabilitation costs, etc.) and material damage (vehicle repairs), and concerns both the lessee of the vehicle, the rented vehicle and third parties and their possible vehicles. If the tenant is responsible for the accident, and damage is caused to third parties (other motorists, pedestrians, cyclists, etc.), the amount of the damage caused is covered by compulsory civil insurance. However, this compulsory civil insurance does not cover the amount of physical damage suffered by the lessee of the vehicle, nor that of damage caused to the rented vehicle. In this case, the rental contract establishes the conditions for the tenant’s liability.
Exclusion and height
Some clauses of the lease contract may provide for cases in which the vehicle’s insurance does not apply. In this situation, the rental company may claim compensation from the customer responsible for damage to the vehicle.