In the cases of Arsalan v Rixon Nguyen v Cassim, the High Court of Australia ruled in favour of something we at Carbiz have always stood by: if your car is damaged in an accident that wasn't your fault, you deserve a replacement car like yours, not just the cheapest or most basic option available.
Mr Rixon and Mr Cassim, both owners of 'prestige cars', were each involved in separate not-at-fault car accidents.
While their cars were being repaired, both not-at-fault drivers arranged replacement cars through third-party credit hire companies (like Carbiz!). Importantly, they were each given replacement cars that matched the quality and value of their own cars.
- Mr Rixon hired another Audi A3, and
- Mr Cassim hired a Nissan Infiniti Q50, a prestige replacement car in the same class as his BMW.
In both cases, the at-fault drivers' insurers accepted responsibility for the accidents but disputed the cost of hire of the replacement cars. The argument was that the not-at-fault drivers should only be reimbursed for hiring a basic replacement car that simply gets them from point A to point B.
The Court explained that being able to enjoy the features, comfort and performance of your own car, especially when it is a high-value, prestige car, is just as important as simply being able to get from point A to point B. This is particularly true where the not-at-fault driver has incurred significant capital or ongoing expenses in purchasing and maintaining their car.
In other words, the Court confirmed that replacement cars for not-at-fault drivers should match the characteristics, quality and value of the driver's own car, ensuring they aren't disadvantaged after an accident that wasn't their fault.
At Carbiz, we offer a fleet of over 2,000 replacement cars, including a range of prestige cars, so we can ensure you receive a replacement car that's the same or similar to yours, while your own car is being repaired or being assessed and paid out as a total loss.
