Getting involved in a car accident is unfortunate. Not only there is mental torment added, the legal formalities that it brings along are too daunting and complicated. A common person who is not aware of the circumstantial proceedings is likely to get entangled in the legal system and end up losing a lot of time, money and mental peace at the hands of law.
Before talking to a lawyer or appearing in court, one must be aware of basic legal questions. These help in putting forth a strong case in front of the prosecutor. This guide explains some of the commonly asked questions while dealing with car accident cases.
Who is responsible to decide where your car gets repaired?
The owner is responsible for determining where his car is repaired. The billing and payments is taken care of by the insurance company. The amount to be compensated is the autonomy of the company only and it may not be equal to the estimated amount by the repair shop.
Will I be charged for storage by the repair store?
The insurance company of the person whose vehicle caused the accidental mishap is liable to pay towing and storage compensations. The rents for the aforementioned may differ from area to area. In case a vehicle is declared as a total loss, it will be moved to a salvage or wrecking yard. The payment for this is also done by the insurance company only. However, if you do not permit your vehicle to be moved, you will be liable for any storage or towing payments.
Who decides what condition your car is in?
The insurance company liable for payments and transactions decides whether your vehicle is worth repairing or not. If the repair and exchange parts charges exceed the vehicle's market value, the company declares it as a total loss. In such a case, you are entitled for the payment of the current market value of your car. The current market value is determined by the fair market value of similar automobiles in your relative area.
Who is responsible for paying the bank loan if your vehicle gets financed?
The bank loan is supposed to be paid by you only. Even if the fair market value of your new vehicle is lower than the outstanding loan, you are liable for payment of the entire amount of any loans on your vehicle.
What to do while your vehicle is getting repaired?
You can opt for a rental vehicle in case your vehicle is getting repaired. The payments however, will be borne by you. In case the insurance company pays for your rented vehicle, you have to keep in mind several factors. If you are responsible for the accident, refer to the team and conditions of insurance and whether it covers rental vehicles. Unless specifically stated, most policies do not include rental vehicles. The same situation is applied when it comes to the scenario where another person was responsible for the accident. You can expect but not guarantee the other driver's insurance company to pay for your rental.
