Who Pays for Towing and Storage After a Vehicle Collision?

October 27, 2014
Sonya Tien

After an automobile accident, the towing and storage fees can be significant.  A vehicle may need to be towed multiple times, with each tow adding to the total costs.  For example, many times a damaged vehicle will be towed from the site of the accident to a storage facility until further arrangements are made, and then the damaged vehicle will need to be towed from the storage facility to the repair shop that the client chooses.  Often clients ask who will be responsible to pay these costs.

The liability insurance company will be responsible for all reasonable towing and storage charges until three days after the owner and storage facility are notified in writing that the insurer will no longer reimburse the owner or storage facility for storage charges.  It is important to ensure that your claim is being properly managed because the insurance company will only pay “reasonable towing and storage charges,” and usually storage fees accrue daily.  Therefore if a car is left in a storage facility for a lengthy amount of time, without proper arrangements for repair or removal of the vehicle, the property owner may become liable to share some of the storage fees after the insurance company stops paying the bill.  Notification that the insurance company will no longer pay the towing and storage fees is required to include the name, address, and telephone number of the facility where the vehicle is being stored.  Additionally, notification to the storage facility that the insurance company intends to stop paying the accruing fees is required to include the name, address, and, if available, telephone number of the owner.

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If you have questions or needs assistance with your automobile accident claim, we are happy to assist you.  If we are handling your personal injury claim, we will assist with your property damage claim at no cost to you.  For questions about your motor vehicle accident claim, contact our NC Automobile Accident Lawyer at (919) 348-7727.