Unpaid Insurance By Car Rental, Accident, What Then?

[THAIPHUKET]

Was in a rented car, another car crashed at a red light into our car.

Car total loss. Turned out the rental comp hadn't paid the premiums= non-payment by insurer. Fortunatelly the driver through some connections got it settled.

Question=

If he had run awayor not settled plus people had suffered injuries WHO WOULD HAVE PAID?

NOBODY?

[bino]

Probably you.

If you read the small print on the rental contracts from these comapnies, you will probably read that you are entirely responsible for the vehicle regardless of insurance or fault. One agreement that I read even stated that the renter would be responsible to continue paying the daily rental rate while the car was being repaired and returned to service.

Motorcycle rentals are about the same, and since they collect your passport as deposit, they could really screw you up if they wanted.

Since then, Ive stayed away from the independent rental companies and rented from AVIS or other similar international / reputable / insured rental company.

[katabeachbum]

Probably you.

If you read the small print on the rental contracts from these comapnies, you will probably read that you are entirely responsible for the vehicle regardless of insurance or fault. One agreement that I read even stated that the renter would be responsible to continue paying the daily rental rate while the car was being repaired and returned to service.

Motorcycle rentals are about the same, and since they collect your passport as deposit, they could really screw you up if they wanted.

Since then, Ive stayed away from the independent rental companies and rented from AVIS or other similar international / reputable / insured rental company.

yepp, thats how it works. and a repair could take 6 months or more

[monty]

Motorcycle rentals are about the same, and since they collect your passport as deposit, they could really screw you up if they wanted.

Can't believe anybody is still doing that. It's illegal, and pretty much all nowadays accept a copy of your passport (after having checked the original)...

[WarpSpeed]

More over I can't believe anyone would fall for that scam! To be traveling around the country in a rented car without a passport? Beyond comprehension to me, I have never left either a passport nor even a copy and never would, if anyone caves to such a demand they're foolish and as well should leave the agent at the first suggestion of same, there's enough good companies to do business with without having to use a dodgy one.

[katabeachbum]

More over I can't believe anyone would fall for that scam! To be traveling around the country in a rented car without a passport? Beyond comprehension to me, I have never left either a passport nor even a copy and never would, if anyone caves to such a demand they're foolish and as well should leave the agent at the first suggestion of same, there's enough good companies to do business with without having to use a dodgy one.

thats the point. OPs rental car had not payed insurance, which is not uncommon for privately owned rental cars and bikes. these are the guys usually demanding keeping your passport. going with a larger rentalcompany accepting creditcards, passport is usually not asked for, and on occasions they even have payed their insurance. Proper Insurance for rental cars

[stingray]

More over I can't believe anyone would fall for that scam! To be traveling around the country in a rented car without a passport? Beyond comprehension to me, I have never left either a passport nor even a copy and never would, if anyone caves to such a demand they're foolish and as well should leave the agent at the first suggestion of same, there's enough good companies to do business with without having to use a dodgy one.

thats the point. OPs rental car had not payed insurance, which is not uncommon for privately owned rental cars and bikes. these are the guys usually demanding keeping your passport. going with a larger rentalcompany accepting creditcards, passport is usually not asked for, and on occasions they even have payed their insurance. Proper Insurance for rental cars

This is mosthly on private cars for rent, silly small prices for ony 17'k per month for a new Truck or Vios, renting out from their homes. They dont calculate price depression, repair & service bills and insurance for a car.

They think 12'k monhly payment, renting out for 17'k put 5'k in their pocked every month and have only private or compolstery insurance. Do it with 3 cars can get 15'k per month. New tires after one year? O my dear, no money, so keep the old ones until they blow. Customer will take care. Thats the way, many of them think it works. But in fact it not works like this. How is when the tire blows at highspeed? A proper rental car insurance (not a private one) cost already over 24'k per year, for a small Vios. 1 set new tires per year another 10'k. Another thing is that only the car is insured, but not the time during the repair. So therefore some companies or private inviduals have this on rental agreement that the customer has to pay the time of rental until the car is repaired. Can be sometime 6 months. Actually it is not fair for the customer, but in another way, who take the monthly bank payment over ,when the car can not be hired because of accident?

Therefore real rentalcar companies have to take close to 30'k for a monthly Vios rental. Otherwisse no profit if do everything correct. Usually they don't accept cash or do cash deals only with a high deposit. One thing is important: Remember private insurance become void, when the car is hired.