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If you believe the claim is unfair, file a formal dispute with the car rental company. If they've already charged your credit card, you may also be able to get a refund from your credit card company through the chargeback process.
When a rental car is damaged, loss of use charges are applied to cover the potential revenue lost when the vehicle is off the road for repairs. This is typically charged in the amount of a day's rental for that vehicle, and most auto insurance companies do not cover this fee.
The rental car company is not automatically liable for accidents that happen in its vehicles even if the at-fault person was driving one of its cars at the time of the crash. The individual driver of the rental car (or his/her insurance company) will be at-fault for the crash if he or she caused the accident.
The rental car company may or may not offer a description or proof of the damage. Now you have three options: You can pay up, hand the claim off to your auto insurance company or credit card company, or reject the claim. If you choose the second or third option, you'll need to be prepared.
As a renter, you're responsible for returning a car to the rental company in the same condition it was in when you received it. However, there are usually 3 sources of insurance that would cover damage to a rental car: The rental car company. Your personal car insurance.
Unfortunately, the process of being reimbursed for a rental car doesn't always go as smoothly as it should. The ideal situation for you is that the liable party's insurance company takes responsibility for the accident right away, which means they'll also immediately pay for your rental car.
If the accident was your fault, you're responsible for damage to the rental car and for any liability issues. In the event you are not at fault, your rental company will work directly with the other driver's insurance company.
Ask them for a record of all rentals for that car between the time you returned it and the date of their damage claim letter. If they waited, say, 60 days to send you a damage claim, they've already rented it many times since you drove it, and they'll have to prove that you actually caused the damage.
The answer is generally you can't sue the rental car company unless you can prove negligent entrustment. If you can't prove negligent entrustment, then you can't sue the rental car company directly.