Sending letter of demand to relative

[free-the-chaser]

I was recently involved in an at fault car accident and gave my licence and contact details to the other driver..   I contaced my insurance company and got a claim no and gave it to the other driver..  

I recently received a phone call from a hire car company who gave the other drivers name and

enquired about the excess with my insurance company.  I informed them that they need to speak to my insurance company. 

I rang my insurance company and they said to forward anything to them.  I mentioned I hadn't received anything just had a call.

A relative has contacted me today advising they have received a letter addressed to me.  I asked them to open it and it was

a letter of demand from the hire car company for over $3,000.00.    Why do I have insurance?

[lyndal1838]

The correct procedure is that the hire car bill should have gone to the other party's insurance company where it would be added to the amount of the claim that is made on your insurance company.

Just forward it to your insurance company and let them sort it out.

[cherry*135]

For your peace of mind phone your insurance company. They may pay out the other drivers rental car costs initially then recover that sum from you. You need to find out if that is the case or not. The other driver is entitled to claim fair & reasonable costs for rental car hire.

[lyndal1838]

The hire car option on your policy would be to cover you for a hire car, not the other party.

[azureline**]

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@am*3 wrote:
For your peace of mind phone your insurance company. They may pay out the other drivers rental car costs initially then recover that sum from you. You need to find out if that is the case or not. The other driver is entitled to claim fair & reasonable costs for rental car hire.

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yes, however, his claim is with his insurance company, who then make a claim on the other drivers/posters insurance policy. He will not have to pay from his own pocket, that is why he pays his premiums for Insurance

[cherry*135]

Yes, that is why the op should call their insurance co.. they may be worrying for no reason.

[flashie*]

As has been suggested, forward it to your Insurance company...................but I would get a copy for your own records first.

[ca04]

I take it  the other car was a hire car?

If so when you hire a car & you do not take their extra option on insurance

excess payment then you will get a charge between $3000 to $4000 for excess

if involved in an accident.

It also is a bit funny that the hire firm are seeking this money it is usualy the insurance.

[mainecoon1]

Free the chaser when did you have the accident?

I would defiantly be getting the letter from the car hire place asap and ringing your insurance company $3,000 for car hire is excessive you would have to hire a top of the range 4 wheel drive from one of the leading hire firms for 35 days + to get anywhere near $3,000 . It sounds like someone is trying to rip you off, are you sure it is $3,000 and not $300.00. 

We have had a not at fault car accident recently another vehicle side swiped us damaging all the panels and doors on the drivers side of the car and that only took 10 days to fix. We hired a car and were told we had to claim back off the at fault parties insurance which was annoying as we thought it would all be done though our insurer our car hire cost us $496.00 for a mid range car for 12 days.

[free-the-chaser]

Just spoke to the insurance company.  The other party's claims are still being reviewed therefore not settled.   It was mentioned to me that the rental car company charges are excessive therefore the delay.  The accident happened late last year.    They advised me to send the letter to them.

[cherry*135]

Thanks for the update.