This guide breaks down who pays for what after a non-fault accident, how the money moves around behind the scenes, and why going through an accident management service is often cheaper and easier than calling your own insurer first.
What “non-fault” actually means
A non-fault accident just means the crash wasn’t your fault. Someone else hit you, and their insurance company is the one on the hook for the bill. In theory, you shouldn’t end up paying anything out of your own pocket. In practice, it isn’t always that simple, because the other driver’s insurer will do everything they can to keep the payout small.
Where the money comes from
There are usually five or six separate costs floating around after a crash, and each one is handled slightly differently.
| Cost | Who pays |
|---|---|
| Vehicle repairs | The at-fault driver’s insurer, paid directly to the repairer |
| Hire car while yours is off the road | A credit hire company, who then claim it back |
| Recovery from the scene | The at-fault driver’s insurer |
| Storage fees | The at-fault driver’s insurer |
| Policy excess | You may pay first and reclaim it from the other side |
| Loss of earnings and taxi fares | The at-fault insurer, as uninsured losses |
The bit most drivers don’t understand: credit hire
Credit hire is probably the most confusing part of the whole process. If you claim through your own insurance, you’ll usually get a small courtesy car and you’ll probably have to pay your excess upfront. You might also lose your no-claims bonus, at least until your insurer recovers the money from the other side.
Credit hire works differently. A credit hire company lends you a car on credit while yours is being fixed, and then goes after the other driver’s insurer for the cost. You don’t pay the excess, and you get a like-for-like vehicle, so if you drive a Range Rover you get something roughly similar, not a tiny runaround. Because the money is being claimed back from the at-fault insurer rather than yours, your no-claims bonus stays where it is.
There is some small print to be aware of. The agreement should explain the daily cost of the hire car and what happens if you don’t cooperate with the company. Read the paperwork before signing, the same as with anything else.
Uninsured loss recovery: the bits insurers “forget” to mention
Uninsured losses are costs your own policy doesn’t cover but that you’re still owed after a non-fault crash. They are called “uninsured” because your own insurer isn’t going to pay them, but that doesn’t mean you have to absorb them yourself.
Uninsured losses can include your policy excess, taxi fares while you had no car, loss of earnings if you had to take time off work, damaged items inside the car, and minor personal injury costs. All of these can be claimed back from the other driver’s insurance, but only if you know to ask. A lot of drivers don’t, and just swallow the cost.
Third party repairs: who picks the garage?
“Third party” just means the other driver. When their insurer pays for your repairs, they’ll often try to send your car to their approved garage to save themselves money, but you don’t have to go along with that. You have the right to choose where your car is repaired, and an independent, manufacturer-approved bodyshop is often a much safer bet. Using a proper approved accident repair centre means genuine parts and a finish that holds up over time, which matters if you ever come to sell the car.
Why go through accident management instead of your insurer?
The short version: it protects your no-claims bonus, saves you from paying your excess, gets you a proper replacement car, and means someone else is chasing the other insurer rather than you. Your own insurer’s job is to process claims quickly and cheaply, which doesn’t always line up with what’s best for you.
When to get advice
If the accident wasn’t your fault, or your car will be off the road for more than a few days, it’s worth talking to someone who does this every day before you ring your insurance company. Once you’ve registered a claim with your own insurer, some of your options close off, so the order in which you make those phone calls genuinely matters.
For independent guidance on your rights, Citizens Advice has a useful page on vehicle insurance when the accident isn’t your fault, which covers credit hire and reclaiming your excess in more detail.
If you’ve been in a crash and you’re not sure what to do next, speak to our claims team before you call your insurer. We’ll walk you through what you can claim, arrange recovery and a replacement car if you need one, and handle the paperwork with the other driver’s insurer from start to finish.