Expert: Doctor Settlement - 4/24/2007

Question
Hi, I was rear-ended a few weeks ago and got a rental car to get around while my car was in the autobody shop. I have rental coverage & my insurance company would only pay $15/day and I had the rental for 17 days total from Enterprise. Enterprise told me they would direct bill the other insurance company since that party was at fault in the accident. Enterprise had the claim number, etc. However, I just received my credit card bill and the difference was charged to me and not the driver at faults' insurance company. I called Enterprise Friday and they said the that driver at fault's insurance company refused paying for the rental. I called my credit card company to put this charge of $263.00 in dispute. I have tried calling the driver at fault's insurance company 'National Grange', a couple of times with claim number contact name given to me, but only get this contact's voice mail. I do not feel I should have to pay this since I was not at fault in this accident.  I tried yesterday contacting my insurance company, Liberty Mutual but they can only go after National Grange for the $15 per day rental in my policy.  In general is National Grangeobligated to pay this $263 (difference between total cost of rental and the $15/day covered by Liberty).  Could you please give me some info on what I can do now? Thanks!

Answer
Dear Christine,

You are absolutely right to reject that charge.  It is the responsibliity of Grange to pay that balance.

Welcome to the world of insurance claims!  Your adjuster at Grange is busy because she is overworked.  You can get her attention ASAP with a call to her supervisor.  

Tell the supervisor that you would surely appreciate Grange taking care of their responsibility in a timely fashion.  If they balk, then go directly to your state insurance commissioner http://www.settlementcentral.com/links.php

While you are at it, how about someone telling you why your rental insurance is capped at $15 per day.  Unless that amount is specified in the policy, you should be able to insist upon the actual rental costs so long as your rental ride was not an upgrade from your damaged vehicle.

Best wishes,

Dr. Settlement, J.D. (Juris Doctor)
www.SettlementCentral.Com