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Auto accident in a rental car, declined additional insurance will credit card company or private insurance cover damages

Asked over 3 years ago - Arlington, VA

I was in an accident with a rental car. The rental car person asked me if I want additional insurance and declined. Because my credit card company provides auto insurance provided I decline the insurance from the rental car company. I was not aware of the fact that without liability insurance my license would be suspended. I did not know that I did not have liability insurance until after I called the credit card company. But the credit card company will cover the damages to the rental car. I want to know what do I need to do. How should I proceed from here?

Thank you.

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Attorney answers (1)

Jeena R. Belil

Reputation Level 13

Answered over 3 years ago. Car / Auto Accident Lawyer in Mount Sinai, NY.

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It looks like you have two issues here. The first is, how will you be insured against any action for negligence and the second is, how should you proceed with the possibility that your license will be suspended.
You should take a look at the language of the policies (under liability coverage) of each insurer. If you have a private insurance policy for a car you own, it may cover you for liability while operating a rental vehicle. If you are served with a lawsuit, the best idea would be to send copies to your private insurer and the credit card company insurance carrier.

As far as your license is concerned, I would recommend that you contact an attorney who handles these issues in your area. If you are having trouble finding someone, your local Bar Association should be able to assist you.

As an aside, if you have sustained injuries in the accident, I would not hesitate to inform the credit card carrier and your personal insurance company know so that they can send you any required paperwork for you to fill out. There may be time limitations and you do not want to waive any rights you may have to benefits.

Best of Luck

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