Credit Hire Claims: How to Get a Replacement Vehicle After an Accident
If you have been involved in a road accident that was not your fault, one of your main concerns will be getting back on the road. If your vehicle is damaged and requires repairs, you may be eligible to make a credit hire claim for a replacement vehicle. This guide will help you understand the process, how to handle it yourself, and the potential challenges to be aware of.
What is a Credit Hire Claim?
A credit hire claim allows a non-fault driver to hire a replacement vehicle while their own car is being repaired. To qualify, you must prove that you were not responsible for the accident. Credit hire companies provide temporary replacement vehicles, charging the at-fault driver’s insurance for the cost based on the vehicle type, market value, and duration of hire.
Can You Make a Credit Hire Claim Yourself?
Yes, it is possible to handle a credit hire claim without legal assistance. However, it requires a thorough understanding of the process, legal documentation, and potential challenges. The key steps include:
1. Collecting Evidence
Gather all necessary documentation to support your claim:
- Police Report – If available, obtain a copy to confirm that you were not at fault.
- Witness Statements – Collect names and contact details of witnesses from the accident scene.
- Photos and Accident Sketch – Take clear images of the accident scene, vehicle damage, and any relevant road signs or conditions.
- Insurance Details – Obtain your own insurance policy information and the at-fault driver’s insurance details.
2. Evaluating Your Entitlement
Determine the type of replacement vehicle you need and the appropriate hire rates:
- Research current credit hire rates for a vehicle similar to yours.
- Estimate the number of days you will need the replacement vehicle.
- Ensure your claim is reasonable and proportionate to your needs.
3. Contacting a Credit Hire Company
Once you have gathered the necessary evidence, reach out to a credit hire company:
- Provide accurate details about the accident and your vehicle requirements.
- Choose a comparable replacement vehicle to avoid disputes over excessive claims.
- Carefully review the hire contract, including costs and the duration of hire.
4. Notifying the At-Fault Party’s Insurance Company
Inform the at-fault driver’s insurer about your hire and provide:
- A detailed account of the accident circumstances.
- Evidence supporting your non-fault status (e.g., police report, witness statements, CCTV footage).
- Credit hire company details, including daily hire costs.
5. Maintaining Documented Records
Keep detailed records of all communications and transactions, including:
- Emails, letters, and phone call logs with the credit hire and insurance companies.
- Invoices from the credit hire company.
- Any correspondence with witnesses, insurers, or legal advisors.
6. Following Up on Your Claim
Regularly check the progress of your claim:
- Follow up with the at-fault party’s insurer to confirm they are processing your claim.
- Maintain records of all interactions and updates.
Potential Challenges
Handling a credit hire claim yourself is possible but may come with obstacles, such as:
- Disputed Liability – If the at-fault insurer denies liability, you will need strong evidence to support your claim.
- Disputed Hire Costs – Insurers may challenge the rates charged by the credit hire company or question the necessity of a replacement vehicle.
- Hire Period Limitations – Insurance companies will only cover the period deemed necessary for repairs.
Points to Consider
- Liability Disputes – If liability is questioned, you may be personally responsible for the hire charges.
- Hire Duration – The replacement vehicle should only be used while your own vehicle is unroadworthy.
- Mitigation of Loss – Insurers may argue that you should have opted for a cheaper alternative.
- Excessive Charges – If the credit hire costs are deemed excessive, you may not recover the full amount.
- Financial Risk – If your claim takes too long, the credit hire company may demand payment from you. Seeking advice from a solicitor or claims management company can reduce this risk.
Conclusion
Handling a credit hire claim yourself is feasible if you stay organized and follow the correct procedures. Understanding the legal requirements, gathering strong evidence, and effectively communicating with insurers will improve your chances of a successful claim. However, if you encounter disputes or delays, consulting a claims expert may be advisable to protect your financial interests.
