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Auto Insurance Claims/Rental Car Young Driver Fee

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Question
my son was rear ended and car was in shop for 25 days.  we rented him a car and were charged $27 day for car $25 day young driver fee.  My Allstate won't cover it, they say policy limit is $30 day, even though we have son listed and pay for 19 year old.  Liberty Mutual, their insurance, won't pay saying since my husband owns the car, they don't have to pay it.  Both carriers said we should give him one of our cars.  My husband's is a company car, so we can't.  Mine is a brand new Audi Q5 and I don't let him drive it to begin with, let alone drive it every day into the Bronx to go to work.  Not an option.  We had to rent him a car along with the fees.  We have paid the $716.22 out of pocket.  I think Liberty should pay as it is part of the expense of the accident, to no avail.  What recourse do I have?

Answer
I agree with you.  I think Liberty Mutual should pay the cost because your son was a regular user of the vehicle.  Your husband owns it, but your son is a user, and he needed a replacement.  Even though the car was rented in your son's name, your husband paid for it, so he incurred the financial cost.  

You should make this argument to the claim rep.  If no luck, ask to speak to the claim supervisor.  If that does not work, either go to the next level of management, or contact the state insurance department.  

Worst case scenario, you could sue the other driver in small claims court.  Liberty Mutual would be required to assign an attorney to defend their driver in court, and the likelihood is they would just pay you to make it go away rather than do this. Even if you go to small claims court trial, you will probably win.  

Auto Insurance Claims

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Claims Guy

Expertise

I am currently an Auto Claims Manager for a large insurance company. I have 20 years experience in the industry, having worked as a Claims Adjuster, Injury Settlement Negotiator, Claims Manager, SIU/Fraud Investigator, and Compliance Officer......I can answer questions related to any aspect of Automobile insurance claims and coverages. I can provide an inside look at how insurers operate. I always treat my customers fairly and want to help make sure you are treated fairly. However, please keep in mind that being treated fairly according to the law does not guarantee that you will get what you want. I can also answer some questions regarding Homeowner's and other types of insurance claims. I have handled all types of auto insurance claims and coverages. I am NOT an automotive repair expert but can give advice re how insurers handle complex repair issues. Please keep in mind that every state has its own set of laws pertaining to rules of the road, liability, and insurance. No one is an expert on every state. I am most familiar with laws in Maryland, DC, West Virginia, and Virginia, but will attempt to answer questions for other states. I am not an attorney an cannot provide legal advice. My advice will be my opinion based on my experience.

Experience

I am currently an Auto Claims Manager for a large insurance company. I have 20 years experience in the industry, having worked as a Claims Adjuster, Injury Settlement Negotiator, Claims Manager, SIU/Fraud Investigator, and Compliance Officer. I am not an attorney an cannot provide legal advice. My advice will be my opinion based on my experience.

Organizations
CPCU Society. Adjusters license in multiple states. International Association of Specal Investigators

Education/Credentials
I have a B.S. in Finance and have completed the AIC and CPCU designations.

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