Legal Question in Insurance Law in Virginia
car rental reimbursement after hail damage to car
My car was damaged due to a hail storm. Erie car insurance will only pay my car rental costs once I've rented a car, or set up a direct bill for the rental. We are not going to get the hail damage fixed so I asked for a check from Erie for the rental amount they were going to cover. I also have a car insured by State Farm and they had no problem doing this.
Erie claims that legally they do not have to pay the money to me until I rent a vehicle. So they won't cut me a check. This does not sound right. Can you provide insight.
Thanks
1 Answer from Attorneys
Re: car rental reimbursement after hail damage to car
Why would your insurance carrier (Erie) have to indemnify you for costs covered under your policy that you haven't actually yet incurred nor plan to incur? Their position, while appearing somewhat stingy, seems defensible.
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