Here’s What to Know Before—and After—an Accident

No one rents a car expecting to get into a wreck. Whether you’re traveling for work, heading out on vacation, or just need a temporary vehicle while yours is in the shop, an accident in a rental car can create a whole new set of worries.

What happens if you wreck a rental car? Who pays? Do you call the rental car company first, or your insurance company? What if you declined rental car insurance?

These are common questions, and the truth is, the answer depends on a few factors. Let’s walk through everything you need to know if you find yourself dealing with a rental car accident.

 

First: Stay Safe and Follow Basic Accident Protocol

Just like any car accident, your health and safety come first. Pull over, check for injuries, and call 911 if needed. Even if it seems minor, you should still:

• Check for injuries. Call 911 if anyone is hurt.
• Move to safety, if possible. Get off the road and out of harm’s way.
• Call the police. Even if it seems minor, having a police report is crucial.
• Exchange info. Get contact, insurance, and vehicle details from the other driver(s).
• Document everything. Take photos of all vehicles involved, any visible injuries, road conditions, and damage to the rental car.
• Call the rental car company. The sooner, the better.

Most rental companies have a sticker or paperwork in the glovebox with their emergency contact number.

 

Who Pays for the Damage?

Let’s get into the big question: who’s responsible for the damage to the rental car?

It depends on your coverage. Let’s walk through the 4 main possibilities:

 

1. You Bought the Rental Company’s Insurance

Most rental agencies offer optional rental car insurance at the counter, which may include:

• Collision Damage Waiver (CDW) or Loss Damage Waiver (LDW)– Covers physical damage to the rental vehicle. It’s not technically insurance, but it waives your responsibility for damage.
• Liability Coverage – Covers damage to other people’s property or injuries.
• Personal Accident Insurance – Helps cover your medical expenses from the crash.

If you purchased Collision Damage Waiver (CDW) or Loss Damage Waiver (LDW) from the rental agency, you’re probably covered. In most cases, you won’t pay anything (unless the damage was caused by reckless behavior or a contract violation). This is the easiest situation. File a report, return the car, and the rental company takes it from there.

Always check the fine print for exceptions and administrative fees.

 

2. You Have Personal Car Insurance

If you didn’t buy the rental company’s insurance, your personal auto insurance might kick in.

Most U.S. policies do cover rental cars—especially if you have collision coverage and liability insurance on your regular policy. However, it’ll be treated like any other claim, meaning:

• Your deductible applies
• Your rates could go up
• You might still be responsible for “loss of use” fees while the rental car is being repaired

Before you rent, call your insurer and ask what they cover—and what documentation you’ll need after a crash. You’ll also want to notify your car insurance company as soon as possible after the rental car accident.

 

3. You Used a Credit Card with Rental Car Coverage

Some credit cards, especially travel or premium cards, offer secondary rental car insurance if you use the card to book the rental.

This means:

• Your card might cover what your auto insurance doesn’t (like the deductible)
• If you don’t have personal insurance, your credit card coverage might become primary

Each card has different rules—some cover theft and damage, others don’t. Always check your benefits in advance.

Not sure what your card covers? Visit your card issuer’s website or call the customer service number on the back and:

• Confirm the type of coverage (usually secondary to your own car insurance)
• Check if your card requires you to decline the CDW to activate coverage
• Review what’s excluded (like luxury or commercial vehicles)

If eligible, your credit card company might reimburse you for the deductible, loss of use, or even some repair costs.

 

4. You Don’t Have Any Insurance or Coverage

If you didn’t purchase CDW/LDW, don’t have personal auto insurance, and didn’t use a credit card with rental car protection, you’ll likely be held personally responsible for:

• The cost to repair or replace the vehicle
• Loss of use fees while the car is out of service
• Administrative fees charged by the rental company
• Property damage
• Loss of use (compensation to the rental agency while the car is being repaired)
• Towing and storage

You may also be responsible for third-party damages if the accident involved other vehicles or property.

 

What If Someone Else Was At Fault?

If another driver caused the car crash, their insurance company may be responsible for the damages to the rental vehicle and your medical bills.

Still, rental companies often require you to pay first, then seek reimbursement from the at-fault party’s insurer. That’s another reason why having your own insurance coverage—or a good lawyer—matters.

It’s best to file a claim with your auto insurance, keep copies of your rental contract, and talk to a car accident lawyer if liability is unclear or you’ve suffered personal injury.

 

Do I Need a Lawyer After a Rental Car Accident?

In some situations, it’s a really good idea to talk to a lawyer, especially if your rental car accident involved serious injuries, unclear fault, or a driver who fled the scene. If you’re facing property damage issues, or the insurance companies are dragging their feet or refusing to pay, legal help can make a big difference.

Your personal injury protection (PIP) coverage may help with immediate expenses, but depending on the severity of your injuries and the coverage limits, you may need to file a personal injury claim against the at-fault party.

A personal injury attorney can step in to untangle complicated insurance claims, fight to recover money for your medical bills and lost wages, and make sure you’re not unfairly blamed for something that wasn’t your fault. When things get messy, having an experienced advocate on your side can be a game changer.

 

Free Consultation with a Car Accident Lawyer

Navigating an accident in a rental vehicle can be confusing and stressful, especially if you’re dealing with injuries, multiple insurance policies, and unexpected out-of-pocket costs.

At Rush, Hannula, Harkins & Kyler PLLC (RHHK), we help accident victims in Washington state understand their rights and pursue the compensation they deserve—whether the crash happened in your car or a rental.

If you were hurt in a rental car accident, reach out today for a free consultation.

You pay nothing unless you obtain compensation for your losses.

Disclaimer: This blog post is for informational purposes only.