What happens I get into A Personal Injury with a Leased Car?
Opting the option to lease a car rather than buying your new car has its advantages. You get a chance to drive the latest model without burden sizing your finance. However, before you go for these options, there are some important things that you should consider while driving a leased car in case you get involved in a personal injury.
At our Defense Attorney West Palm Beach, we are here to discuss the available options that can work for you if you are involved in a personal injury in Florida. We are here to review your case in a free consultation session. Give us a call at +1 561 437 2076
What is a Leased Car?
A leased vehicle can be defined as an option of a long term rental car. The lease agreement comes with two options, from which one says you can buy the car at the end of the agreement. However, in the second option, you have to return the vehicle in the same condition if you don’t plan to buy it.
As a lease vehicle, you are not a claimed owner. You just tend to pay monthly for the vehicle that you are using. Moreover, until you have the vehicle under the lease agreement, you are obliged to pay for all the necessary maintenance and repairs.
Insurance laws for Leased Vehicles:
According to the law of Florida, all the drivers, including those who are using lease vehicles, have a $10,000 personal injury protection (PIP) amount. Moreover, have a $10,000 property damage liability (PDL) auto insurance too.
Personal injury protection amount covers all the injuries an individual goes through. However, a property damage liability covers all the damages that take place to someone else property or vehicle because of you.
Moreover, unlike other states, Florida does not require drivers to carry bodily injury liability coverage for those injured in an accident caused by the policyholder. It is an optional add-on to any policy.
Leased Vehicle Getting Totaled?
When we hear this term of lease vehicle getting totaled, many questions strike our minds. Well, if your leased vehicle is damaged in an accident, even after you complete your lease payment agreement, you will still owe the leasing company an outstanding balance of the lease. However, there are some steps you can take to cover the payment. A vehicle is considered totaled in cases where the repairing cost is over 65 percent of the original value of the vehicle.
The first step you can take in this situation is to concern your auto insurance payment company. If your insurance agreement allows you to pay some or all of the value of the vehicle, this amount can be put towards your outstanding balance. You must also check if you have extra insurance coverage known as gap insurance.
Well, gap insurance helps an individual to pay the difference in damages and injuries that your auto insurance company is unable to cover. Moreover, if you are in an accident with a leased vehicle, the gap insurance will help you release the debt. Be sure to check as most lease contracts generally require it.
Need Our Assistance?
If you have been in a car accident on a leased vehicle. At Defense Attorney, our experienced auto accident attorney will help you the potential legal options. And will guide you with all the valid claims for compensation.
Let us handle the legality of the lease agreement and your insurance policy. We guarantee to maximize your compensation. Contact us for free consultation session at tel: +1 561 437 2076