Whose Insurance Pays if an Authorized Rental Driver Causes a Florida Crash?

It depends on the rental agreement and the coverage in place. In Florida, the injured person's own PIP pays first. Liability coverage for the at-fault driver may then come from the renter's auto policy, supplemental liability bought at the counter, an employer's policy or the rental company.

Which Insurance Policies Pay After an At-Fault Rental Car Crash in Florida?

"Florida is a no-fault state, so the injured person's own personal injury protection (PIP) coverage pays first, regardless of who caused the crash."

Vladimir Tsirkin, Esq.

PIP covers medical treatment, a portion of lost income and related expenses, up to the policy limit. Beyond it, Mr. Tsirkin looks at these sources:

• The renter's personal auto policy. Bodily injury liability coverage, if the renter carries it, usually extends to a rental car. Florida doesn't require most drivers to carry it, so he confirms it before counting on it.
• Supplemental liability insurance from the rental counter. When the renter bought it, Mr. Tsirkin says it's often the largest source of recovery.
• The injured person's own uninsured/underinsured motorist (UM/UIM) coverage. More on this below.
• The rental company's coverage. He describes this as usually a backstop at Florida's minimum limits when the renter has no other insurance.
• The employer's business auto policy. This may apply if the driver was on the job.

Is the Rental Company's Insurance Primary in Florida?

By statute it is, up to the limits Florida requires, until the agreement moves that duty to someone else.

"Florida law makes the rental company's coverage primary unless the agreement says otherwise, and many agreements do."

Vladimir Tsirkin, Esq.

So read the front of your contract. Under Section 627.7263, Florida Statutes, a rental agreement that shifts this duty must say so in at least 10-point type on its face. The required wording names the insurance of "any authorized rental or leasing driver" as primary for those limits, so finding that clause puts the authorized driver's own coverage first.

Does an Authorized Driver's Own Car Insurance Cover a Rental Car?

Often, though the answer sits in the policy itself. Personal auto policies commonly address cars the insured rents or borrows, and the terms can differ for the person who signed the contract and a second driver who was only added to it. Compare the driver's declarations page and policy language with the rental agreement before assuming either one responds.

Does Supplemental Liability Insurance Cover an Authorized Rental Driver?

It can, when the renter bought it. Mr. Tsirkin checks whether the person driving was listed as an authorized driver, because an unauthorized driver can lose the benefit of that coverage. Keep the add-on receipt, since it shows what was purchased.

What Can Void Rental Car Coverage in Florida?

How the car was used matters too. According to Mr. Tsirkin, prohibited uses such as driving for a rideshare service or driving under the influence can void the rental coverage.

Can You Sue the Rental Car Company After a Crash in Florida?

Sometimes, when the company itself did something wrong.

"A federal law, the Graves Amendment, generally protects rental companies from liability simply for owning the car. They can still be responsible for their own negligence, such as renting out a car with faulty brakes."

Vladimir Tsirkin, Esq.

That law is 49 U.S.C. 30106. It also leaves state financial responsibility and insurance requirements in place.

Does Rental Car Damage Coverage Pay for the Other Driver's Injuries?

Generally, no. Liability coverage pays for harm the driver causes to other people and their property. A collision damage waiver or similar product deals with the rental car itself, so check the receipt to see which of the two was purchased.

What if the At-Fault Rental Driver Has No Insurance or Too Little?

Look at your own policy. Your uninsured motorist coverage or underinsured motorist coverage can apply when the at-fault driver has no coverage or not enough to cover your injuries. Your declarations page shows whether you carry it.

What Should You Save After a Rental Car Accident in Florida?

Mr. Tsirkin asks renters, drivers and injured people to keep these:

• Photos and video of the scene, the vehicles and any visible injuries
• The police report number or the Driver Exchange of Information form
• A photo of the other driver's license and insurance card
• Names and phone numbers of any witnesses
• A copy of the rental agreement and any add-on coverage receipts
• Medical records and bills

If you were hurt, see a doctor within 14 days or you lose your PIP benefits. Our guide to the first 14 days after a crash walks through that window.

Who Should You Notify After a Rental Car Accident in Florida?

Rental agreements and auto policies commonly set their own reporting duties, so read yours and give any notice they require promptly. The other driver's insurer is different. Most importantly, Mr. Tsirkin says, give that insurer no recorded statement before speaking with a lawyer.

Talk to a Rental Car Accident Lawyer in Hallandale Beach

Vladimir Tsirkin & Associates is a personal injury firm in Hallandale Beach serving all of Florida, and it represents injured clients on a contingency fee. Mr. Tsirkin is licensed in Florida, New York, New Jersey and Pennsylvania, which lets him represent clients who regularly travel or relocate between the Northeast and Florida.

The firm's page for a car accident lawyer in Hallandale Beach explains how it handles crash claims. To have your rental agreement and receipts reviewed, request a free case evaluation or call 800-99-CRASH.

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