Solicitor referrals for not-at-fault hire claims

When a not-at-fault claim needs a solicitor

Most not-at-fault property damage claims settle without legal involvement. The at-fault insurer accepts liability, your client's car is repaired, and the hire cost is paid. A solicitor is usually needed when the claim stops being straightforward.

Common triggers in Sydney:

• The at-fault insurer disputes liability, often in multi-vehicle crashes on the M4 or M5 where fault is split.
• The insurer refuses to pay for a like-for-like hire because it says a smaller or cheaper car would do.
• The car is a write-off and the insurer's market valuation is well below replacement cost.
• Your client was injured and has a CTP claim running alongside the property damage.
• The at-fault driver is uninsured or cannot be identified.

If any of those apply, the hire decision matters. A client who hires the wrong car, or signs the wrong agreement, can end up personally liable for the difference. That is why solicitors increasingly want the hire arranged through a partner that documents the like-for-like basis from day one.

For a plain-English overview of the underlying right, see not at fault explained. If your client is still in the first day, point them to first 24 hours.

How credit hire fits with a personal injury claim

Credit hire and a CTP claim are separate but connected. The CTP claim covers injury; the credit hire sits in the property damage claim. They run on different timetables and are often handled by different insurers, even when the same crash caused both.

In practice, that means:

• The hire agreement is between your client and the hire company. Your client is liable to the hire company, and recovers that cost from the at-fault insurer as part of the property damage.
• The at-fault insurer may try to argue the hire is unreasonable because the client was injured and not driving much. That argument is weak if the client needed a car for work, school runs or medical appointments.
• If the injury claim settles first, the property damage claim can continue. Do not let the insurer bundle them into one release without checking the hire is included.

Credit hire is not the same as a referral partner arrangement, and the difference matters for how the file is documented. Our explainer on credit hire vs referral partner sets out the distinction.

If you want a client in a replacement car today, bookings are fulfilled by Drive Tribe (drivetribe.com.au), and this site is part of that group. You can check availability at accident replacement car Sydney.

Evidence that supports a like-for-like hire

Like-for-like does not mean the same badge. It means a car that is reasonably equivalent in size, type, prestige and function. The evidence you gather in the first week decides whether the insurer pays without argument.

What we collect and what helps your file:

• Photos of the damaged car, including badges, wheels and interior, taken before it goes to the repairer.
• The registration and VIN, so the replacement can be matched on specification.
• The client's stated use: commuting from Mosman to the CBD, carrying three kids in the back, towing a trailer, or client meetings in the Eastern Suburbs.
• Any special features that matter, such as seven seats or all-wheel drive.
• The repairer's estimate of repair time, which sets the expected hire period.

A short table helps explain the test to clients:

For more on the standard, see like for like and like for like replacement car meaning NSW.

The role of Arsalan v Rixon in NSW

Arsalan v Rixon is the case that gives NSW solicitors comfort on credit hire. The Court of Appeal confirmed that a not-at-fault driver can recover the reasonable cost of hiring a replacement car, even when the hire is arranged on credit and paid later, provided the hire was reasonable and the rate is not excessive.

What it means in practice:

• Your client does not need to pay upfront from their own pocket to have a recoverable claim.
• The at-fault insurer cannot refuse simply because the hire was on credit.
• The test is reasonableness, so the replacement should match the client's ordinary needs, not their holiday wishes.
• Mitigation still matters. If a suitable car was available sooner, or a cheaper equivalent was on offer, the insurer will argue about the difference.

We keep a plain-English case note at Arsalan v Rixon explained. It is written for clients and referrers, not as legal advice, and your own reading of the judgment should govern your advice.

Because the test is reasonableness, the hire company's paperwork matters. A file that shows the client's car, the replacement, the daily rate and the reason for the choice is far easier to defend than a one-line invoice.

What we provide to support your client's case

We are set up for referral work. When you refer a client, we provide a clean paper trail that stands up to insurer scrutiny.

• A hire agreement that identifies the client, the replacement car and the daily rate.
• A like-for-like statement explaining why the chosen car matches the client's vehicle and use.
• Invoices and hire records in a format you can attach to a letter of demand.
• Delivery and collection records, including times and locations across Sydney.
• A single point of contact for the life of the hire.

We do not give legal advice, and we do not settle claims. We document the hire and hand you the records. That keeps the roles clean.

For prestige and performance cars, the fleet includes vehicles that genuinely match what your client was driving. A large luxury sedan client might step into a Mercedes-Benz S500 L, while a performance EV owner could take a Porsche Taycan Turbo. A family with a seven-seat electric SUV is not left with a compact hatch.

Luxury / Sedan / Self-drive or chauffeured

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If you want to see how the referral model works, read how referral partnerships work and referral partner transparency.

Dealing with an insurer that disputes the hire

Disputes usually fall into four buckets: liability, need, rate, and duration. Each is answered with documents, not argument.

1. Liability. If the insurer says your client contributed, the police report, dashcam footage and witness statements do the work.
2. Need. Show the client's ordinary use. A tradesperson who needs a ute, or a parent doing the school run from Castle Hill to a private school, has a clear need.
3. Rate. Provide comparable rates for the same class of car. Insurers often quote a small rental car rate; that is not the comparison.
4. Duration. Tie the hire period to the repairer's estimate and any parts delays. If the repairer is waiting on a bumper from Germany, that is documented.

We have seen insurers argue that a client should have taken a bus, or that a 2015 luxury sedan should be replaced by a compact. Those arguments are answered by the like-for-like statement and the client's own evidence.

Our guide to common reasons an insurer disputes a hire car claim is useful to send to clients who are worried. For your own file, see dealing with insurers and insurer delays replacement car.

Timelines and how long a hire can run

A replacement hire runs for the reasonable repair period, plus a short buffer for collection and delivery. In Sydney, that is rarely a straight answer.

Typical ranges we see:

• Bumper and panel work at a prestige repairer: one to three weeks.
• Structural repair with parts from overseas: four to eight weeks.
• Total loss, where the hire ends when the insurer pays the settlement, not when the car is replaced.

Delays that push the timeline out include parts backorders, repairer booking queues after a hailstorm, and insurer assessor delays. Each should be documented so the hire period is not blamed on your client.

If the at-fault insurer delays authorising repairs, the hire can continue while the client mitigates by chasing the repairer and the insurer. Keep the correspondence.

For context on repair times, see how long prestige car repairs take Sydney and turnaround times for replacement cars. If the car is a write-off, read repairs and write-offs.

Working together on a referral

A referral should be simple for you and seamless for the client. Here is how we run it.

1. You send us the client's name, contact number, the damaged car's details and the repairer.
2. We call the client, confirm the like-for-like match and arrange delivery, often the same day.
3. We keep you copied on the hire agreement and the like-for-like statement.
4. At the end of the hire, you receive the records you need for the demand.

We do not contact your client about anything else, and we do not settle their claim. The client remains yours.

If you want to understand the commercial side, read what repairers need from a hire partner and referral partner no cost to client. For repairers in the Illawarra or Central Coast, see replacement car partner Wollongong smash repairers and referral partner Central Coast repairers.

To start a referral or ask a question, use contact. Bookings are fulfilled by Drive Tribe (drivetribe.com.au), and this site is part of that group. You can also read more at not at fault accident replacement.

Performance / Sedan / Self-drive

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