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Received a Rental Car Accident Demand Letter? Here's What to Do

A demand letter from a rental company after an accident can be alarming. These letters typically demand payment for damages and other costs. Understanding how to respond is crucial.

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What Demand Letters Typically Include

Demand letters usually list:

• Vehicle repair costs
• Loss of use charges
• Administrative fees
• Diminished value
• Total amount demanded
• Deadline for payment
• Threat of further action

Responding to a Demand Letter

When you receive a demand:

• Don't panic or ignore it
• Review your coverage immediately
• Request documentation of claims
• Don't admit liability
• Don't pay without investigation
• Consider contacting an attorney

Potential Responses

Your options include:

• Forwarding to your insurance
• Forwarding to credit card insurance
• Negotiating the amount
• Disputing false or inflated claims
• Pursuing the at-fault driver
• Getting legal representation

Frequently Asked Questions

What if I ignore the demand letter?

Ignoring it may result in collection actions, credit damage, or lawsuits. Respond appropriately even if disputing the claims.

Should I negotiate with the rental company directly?

You can, but be careful not to admit liability. Having an attorney negotiate often produces better results.

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