Expert: Claims Guy - 2/15/2009

Question
I rented a car from Hertz in Florida after reviewing my personal insurance policy to make sure I was covered in the event of an accident (Travelers insurance, full coverage.)  After 3 days, I attended a charity dinner at a private club with valet parking.  Upon leaving, I and three friends noticed significant paint damage to the front right bumper of the car.  One friend is an attorney, the other two had consumed a few drinks.  The valet attendants raised a huge stink, stating that the scratches were rusty (plastic bumper!) and could not have happened that evening. I insisted that they bring in the manager and file an incident report, which they did, and provided the contact information for the owner of the valet company.  It took me three days to get in touch with the owner of the company, then another week to get him to talk to me about the incident, and it was not a pleasant conversation.  Bottom line, he refuses to admit any liability or provide any insurance information, and my insurance company doesn't want me to file a claim because I was not at fault.  I have not returned the rental car yet.  What do I do?

Answer
You really do not have a choice.  You need to file a claim with Travelers and let them subrogate against the valet company.

As the renter of the vehicle, the rental company will hold you responsible.  They will seek the easiest target and that is you, rather than the valet company.

Travelers needs to do an investigation and attempt to secure enough proof to show the valet company caused the damage.  After they make payment, they will likely need to sue the valet company.  Unless the valet company is signatory to Arbitration Forums, which is unlikely.

Unfortunately, this happens a lot with valets - one reason why I hate to let them park my car.

One last thing - I'm assuming you are confident the damage was not there before you gave the valet the car.  Your passengers are witnesses and can help prove the case.  If you have any doubt, check with the rental company to see if they recorded any damage before renting it.