Dear Travel Troubleshooters: I need help with my insurance claim. I recently damaged a car I rented through Enterprise while in Germany. Long story short, my auto insurance company has been requesting repair bills from Enterprise for the past two months in order to complete the claim and determine how much to pay. Christopher Elliott, Travel Troubleshooter
Enterprise wrote that they would not share any additional documentation as requested by my auto insurance and instead required immediate payment.
My insurance company has given me two months to receive those documents from Enterprise. If they are not available, your claim will be closed and your insurance company may not pay your claim. Can you help me?
— Michael Roehricht, Austin, Texas
Answer: I typically handle complaints from rental car customers who claim they have been wrongly accused of damaging their rental car. I’m glad to hear from someone who acknowledges the damage and is trying to do the right thing.
And when I got your case, I wondered why Enterprise didn’t help you. After all, isn’t it in the company’s best interest to help you successfully file a claim? (You’ll know the answer in a moment.)
According to the billing information you sent me, it looks like you calculated the total cost of the rental car. Enterprise originally intended to claim the full price of the vehicle ($31,309), but agreed to settle for about half ($15,654).
This offer was conditional on you paying promptly. In fact, at the time you contacted me, the Enterprise offer had expired and was extended for another 10 days. If you fail to pay, you will be responsible for paying the full amount of $31,309.
Enterprise says it is not required to submit a repair bill under German law. According to the law, you have the right to choose whether or not to receive the amount necessary to restore your car to normal condition. “This is also a case of compensation in kind, as the value of money is also aimed at recreating a hypothetical unharmed state,” Enterprise said. This means you don’t have to present a repair bill to your insurance company.
There’s one more trick. In reality, car insurance is covered by travel insurance. While auto insurance companies are familiar with loss rules and regulations, travel insurance companies work with different underwriters and have different requirements. I also found out that travel insurance companies won’t pay out claims if you don’t have the necessary documents.
So why doesn’t Enterprise send you an invoice right away? Reading between the lines, it appears as if the company has negotiated a settlement with you and expects you to pay the bill out of pocket. . Car rental companies often prefer to deal directly with customers because they are less likely to question charges such as administration fees, loss of use, and diminished value.
When the insurance company intervenes, there are often negotiations that result in the rental car company being responsible for more damages. Perhaps this is what Enterprise was trying to avoid in this case.
A short, polite email to one of the enterprise executives listed on my site might resolve the issue. Again, you were trying to do the right thing and acknowledge the damage. I think Enterprise appreciated the fact that you were responsible for the car.
We have contacted Enterprise on your behalf. The insurance company contacted me shortly afterward and said they had agreed to pay $17,552, about half of the claim amount. You are satisfied with the solution and Enterprise accepts the insurance company’s offer.
Christopher Elliott is the founder of Elliott Advocacy, a nonprofit organization that helps consumers solve problems. Email chris@elliott.org or contact elliottadvocacy.org/help/ for assistance. (c) 2024 Christopher ElliottDistributed by King features Syndicate, Inc.
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First Published: October 7, 2024 4:15am
