Who is liable for damages if I am involved in a car accident in Palm Beach County with a rental car?

If executed properly, the lessor’s (rental car company) insurer can escape liability when you have been involved in an accident involving a rental vehicle. Rental cars and lease situation are the only exception to the Florida law that owners provide the first layer of protection when a permissive driver is involved. For the rental car company to successfully shift the liability to the renter under Florida statute, they must stipulate so on the face of the rental agreement in a certain format. The language required for the renter or lessee’s coverage to be primary reads:

"The valid and collectible liability insurance and personal injury protection insurance of any authorized rental or leasing driver is primary for the limits of liability and personal injury protection coverage required by ss. 324.021(7) and 627.736, Florida Statutes.

If the shift in liability is deemed appropriate, it will render the full policy limits of the renter/lessee accessible. Auto-Owners Insurance Co. v. Brockman, 524 So.2d 490 (Fla. 5th DCA 1988). Your Palm Beach County accident attorney should always obtain a copy of your rental car agreement, as well as a copy of the lessor’s insurance policy to determine the coverage available when you have been involved in an accident involving a rental/leased vehicle. However, if you only have umbrella insurance when you get a rental car which has a provision shifting the burden of primary insurance, this will not render the umbrella insurance down to provide primary coverage. Grant v. New Hampshire Insurance Co., 613 So.2d 466 (Fla. 1993). Seemingly, Florida statute only allows a primary insurer to step in the shoes of another primary insurer in a lease situation. You may encounter a situation where the lessor’s insurance provides higher limits of protection for themselves than the renter/lessee. This type of provision is also allowed in Florida. State Farm Mutual Automobile Insurance Co. v. Universal Underwriters Insurance Co., 365 So.2d 778 (Fla. 1st DCA 1979).