Car accidents involving rental vehicles often bring extra complications—especially when it comes to determining who’s responsible for damages and which insurance policy applies. If you were injured in a collision involving a rental car in Mississippi, whether you were the driver, a passenger, or the other party, it’s important to understand how liability works, what insurance options may be available, and how to pursue full compensation.

Who Is Liable for a Rental Car Accident in Mississippi?

Liability in a Mississippi car accident involving a rental vehicle depends on who caused the crash. Mississippi follows a fault-based insurance system, meaning the at-fault driver is responsible for paying damages through their insurance coverage. This applies whether the at-fault party is driving a personal vehicle or a rental.

If you were hit by someone driving a rental car, your injury claim will be filed against that driver—not the rental company. Mississippi law does not generally hold rental companies liable for accidents caused by drivers who legally rented their vehicles, except under very specific circumstances (such as negligent maintenance or knowingly renting to an unlicensed driver).

Understanding the Layers of Insurance Involved

Accidents involving rental cars often involve multiple layers of insurance coverage. Depending on the situation, different policies may come into play:

1. The Renter’s Personal Auto Insurance

Most personal auto policies extend coverage to rental vehicles. This includes both liability insurance (which pays for injuries and damage caused to others) and possibly collision coverage (which pays for damage to the rental car). However, coverage depends on the renter’s policy terms.

2. The Rental Company’s Liability Policy

Rental companies are required to carry a minimum level of liability insurance. In Mississippi, this minimum is $25,000 for bodily injury per person and $50,000 per accident (Miss. Code § 63-15-3). If the renter doesn’t have insurance or their policy doesn’t fully cover the damages, the rental company’s policy may step in as secondary coverage.

3. Optional Coverage Purchased from the Rental Company

Many renters purchase additional protection from the rental agency, such as:

• Collision Damage Waiver (CDW) – Covers damage to the rental vehicle

• Supplemental Liability Insurance (SLI) – Increases liability limits

• Personal Accident Insurance (PAI) – Covers medical costs for the renter and passengers

If these add-ons were purchased, they may provide expanded coverage depending on the terms of the agreement.

4. Credit Card Insurance

Some major credit card companies offer secondary rental car insurance if the cardholder used the card to pay for the rental. This typically covers damage to the rental vehicle but not liability for injuries to others.

5. Your Own Uninsured/Underinsured Motorist (UM/UIM) Coverage

If you were injured by a rental car driver who lacks sufficient insurance, your own UM/UIM policy may help cover medical bills, lost income, and pain and suffering.

What if You Were Driving the Rental Car?

If you were renting the vehicle and were injured in a crash caused by someone else, your first step is to file a claim against the at-fault driver’s liability insurance. If they are uninsured or flee the scene, your own UM/UIM coverage or any optional rental coverage you purchased may apply.

If you caused the crash, your personal liability insurance will likely be the first source of coverage. If your personal policy excludes rental cars or if damages exceed your policy limits, the rental company’s policy may provide secondary coverage—although they may pursue you later for reimbursement.

Property Damage and Rental Car Repairs

If the rental vehicle is damaged, you may be responsible for repair costs unless you have:

• Personal collision/comprehensive insurance that covers rental cars

• A Collision Damage Waiver (CDW) from the rental company

• Credit card protection that includes physical damage to rentals

Keep in mind: rental companies may also charge loss-of-use fees for the time the vehicle is out of service, which aren’t always covered by insurance.

What to Do Immediately After a Rental Car Accident

If you’re involved in a crash with a rental car in Mississippi:

• Call 911 and request police assistance

• Seek immediate medical care, even for minor injuries

• Exchange information with all drivers involved

• Take photos of the vehicles, damage, and scene

• Notify the rental company as soon as possible

• Contact your own insurance company and file a report

• Get a copy of the police report once it’s available

Documenting the accident thoroughly will protect your ability to seek compensation for injuries and prevent liability disputes.

Be Cautious About Early Settlement Offers

Whether you’re dealing with your own insurer, the rental agency’s insurer, or the at-fault driver’s carrier, you may receive a quick offer to settle. Be careful. These early offers are often based on incomplete information—before the full extent of your injuries is known or before you’ve completed treatment. Accepting a low settlement could leave you paying out-of-pocket later for ongoing medical care or missed wages.

Legal Help Can Make a Difference

Rental car cases can become complicated, especially when dealing with multiple insurance policies and corporate legal teams. If you suffered serious injuries or your claim is being disputed, having a personal injury attorney on your side ensures that your rights are protected and your compensation is fair.

Car Accident Frequently Asked Questions (FAQs)

Does the rental company pay for damages if their vehicle was involved in a crash?
Not automatically. Mississippi law generally places responsibility on the driver, not the rental company. Unless the company was negligent—such as renting to an unlicensed driver or failing to maintain the vehicle—they are not liable for damages or injuries caused in a crash.

What if I didn’t purchase rental car insurance and I caused the accident?
You may still be covered if your personal auto insurance includes liability and collision protection for rentals. If not, you could be personally responsible for all damage to the rental car and any injuries you caused. The rental company may pursue you directly or through a collections process.

Can I still recover damages if I was hit by someone driving a rental car and they had no insurance?
Yes. If the driver was uninsured or underinsured, you may be able to use your own UM/UIM coverage to recover compensation. An attorney can also investigate whether the rental company’s basic liability policy or any credit card protections apply.

How do I get compensation for injuries if I was a passenger in a rental car?
As a passenger, you may be entitled to compensation from the at-fault driver’s liability insurance—whether that’s the rental car driver or someone else. You may also have a claim under the rental driver’s personal policy, the rental company’s supplemental policy, or your own UM/UIM coverage if needed.

What should I do if the rental company tries to charge me after an accident?
Dispute any charges you believe are incorrect or unfair. Request an itemized bill and consult with your insurance company to determine what is and isn’t covered. If necessary, consult an attorney to protect your rights and challenge improper charges or claims of negligence.

If you’ve been injured in a car accident involving a rental vehicle in Mississippi, you don’t have to figure it all out on your own. The team at Kellum Law Firm, P.C. can help you understand your legal rights, investigate all available insurance coverage, and pursue the compensation you deserve. Call our Jackson office at (601) 969-2709 or our Port Gibson office at (601) 590-9000 to schedule your consultation today.