When a tourist rents a car in Florida, they often believe they are covered by insurance should they be involved in an accident. This is particularly true if they have a family member who lives in the area who is familiar with Florida's Dangerous Instrumentality Law which states the owner of a motor vehicle is responsible should they loan their car to someone who is subsequently involved in an accident which is their fault. The fact is, in 2005, the highway bill signed into law by President George Bush contained a section known as the Graves Amendment which Florida's Supreme Court ruled in 2011 protects rental car agencies from liability.
Vicarious Liability Ruling in Florida
Under Florida statutes, every driver on Florida roadways must maintain specific levels of auto insurance in the event of an accident. Since Florida is a no-fault state, drivers involved in an accident must file a claim through their own insurance company. This is also true when one, or both, of the vehicles involved in an accident are rentals.
Vicarious liability is defined as ".. a legal doctrine that assigns liability for an injury to a person who did not cause the injury but who has a particular legal relationship to the person who did act negligently." In other words, if you loan someone your car, they have a drink after dinner and they get into a car accident, you may personally be held liable. This is not the case with rental car agencies as they are excluded from such liability under Florida statutes, in large part because of changes in federal laws.
Exceptions to Graves Amendment
There are some important exceptions which you should be aware of if you are renting a car or if you are a victim of an accident involving a rental car. Some of these exceptions include:
- Rental agency failed to train or supervise their employees
- Rental agency was negligent in their rental processes allowing an ineligible driver to rent a car
- Rental agency failed to properly maintain a vehicle which contributed to the accident
As you can see, these exceptions are very narrow and may be difficult to demonstrate.
Dealing with Accidents Involving Rental Cars
As with any automobile accident in Florida there are specific things which must be done immediately following an accident. First, law enforcement should be notified, emergency personnel should evaluate everyone involved at the scene of the accident in the event they need medical attention, and information should be exchanged between drivers. Thanks to a booming tourism industry, there is a chance the other driver may be from out of state, which may complicate issues. Remember, even if they are out of state, the insurance coverage they obtain from the rental agency must meet minimum standards of coverage.
Once you are confident you are safe, and you have sought medical attention, you should immediately contact your insurance company, and an attorney who has experience dealing with accidents involving rental cars.
Why Contact an Attorney After a Rental Car Accident?
Florida no-fault statutes can be very confusing and when a rental car is involved, the process of filing a claim for financial damages exceeding your Personal Injury Protection (PIP) coverage can be confusing. Additionally, there are instances where a serious injury may allow victims to file a claim against the responsible party's insurance. Remember, even if you have been paying your premiums on time, your insurance company may fight paying a legitimate claim after a car accident. This is because their first goal is going to be protecting their bottom line, not making sure you are financially whole after an accident.
When you are the driver of a rental car, and you are the one who suffered an injury, it is even more critical you contact an attorney who understands the complexities of these types of cases. Too often, drivers and passengers in rental cars do not understand what rights they have to compensation and leave it up to the insurance company to determine how much they should be compensated.
Who Actually Covers Damages and Medical Costs?
Rental contracts must comply with Florida law which means there must be a personal injury protection component in the insurance offered with the rental. Nearly every rental agency has maximum amounts of coverage however, so in cases where medical costs and damages exceed this, under insured motorist insurance may cover the difference. Keep in mind, not all rental car contracts require under insured coverage, so it is important to have your contract reviewed by an experience attorney.
Anyone who rents a car should also verify the conditions pertaining to reporting accidents as failure to report in a timely manner could impact your ability to receive any reimbursement for your injuries or damage to your property while in a rental car.
Protect Your Rights with a St. Petersburg Car Accident Attorney
After a car accident, it is important you know what rights you have, particularly if the vehicle was a rental. You should file a claim with the insurance company of the rental agency as soon as practical after an accident and you should seek immediate legal guidance. Remember, the insurance company is looking out for the interests of their shareholders, and the rental agency, not necessarily your interests.
The more serious the injury suffered, the more likely you will need legal assistance to resolve any car accident issue. Chances are, unless there is clear and convincing evidence the rental agency was negligent, you will have to navigate the process of filing an insurance claim on your own. In nearly all cases, it is a good idea to speak with an experienced car accident attorney before you speak with an insurance adjuster — the adjuster will likely ask you numerous questions and in most cases, we recommend referring them to your attorney.
Image Credit: By Xnatedawgx [CC BY-SA 4.0 (https://creativecommons.org/licenses/by-sa/4.0)], from Wikimedia Commons
