How to Get a Loan Car After an Accident in Australia Today

A crash can sideline more than just your car. Work, school runs and everyday errands don’t pause while you wait for repairs, and the question hits fast: can you get a loan car today, who pays for it, and what do you need to do first?

Here’s the short answer. If you’re not at fault, you’re usually entitled under Australian law to a like-for-like replacement vehicle for the reasonable time your car is off the road, with costs typically recovered from the at‑fault insurer. You don’t need to have hire-car cover on your own policy, and with the right details you can often be driving the same day—through your own insurer, the at‑fault insurer, or a reputable credit‑hire provider.

This guide walks you through the exact steps: making the scene safe, confirming fault and eligibility, choosing the quickest pathway, preparing the documents that unlock instant approval, booking and delivery, what counts as “reasonable” like-for-like, who pays (and what you still cover), aligning hire to repair or write‑off milestones, handling shared fault and disputes, plus pitfalls to avoid. Let’s get you back on the road—properly and fast.

Step 1. Make the scene safe and collect must-have details

First, make the scene safe: check for injuries, call 000 if needed, switch on hazards and move to a safe spot if it’s practical. Then start your “loan car after accident” file—approvals happen faster when the basics are tidy and consistent.

• Police/event number (or incident report)
• Other driver’s details: full name, rego, licence, insurer and policy/claim
• Photos: damage, vehicle positions, street signs, rego plates
• Witness names and contacts (and any dashcam footage)
• Written admission if the other driver offers one (don’t pressure them)
• Your licence and rego papers

Step 2. Confirm fault and your eligibility for an accident replacement vehicle

Now lock in your non‑fault status. Call the at‑fault insurer to confirm liability, get a claim number and written acceptance. Under Australian common‑law, not‑at‑fault drivers are entitled to a like‑for‑like loan car after an accident for a reasonable time, with costs recovered from the at‑fault insurer. You don’t need hire‑car cover on your policy—and even without insurance you can still be eligible. If liability’s disputed, approvals may wait.

• Not at fault: the other driver/insurer is identifiable.
• Car off the road: undriveable or in repair/assessment.
• Licensed and need-based: valid licence and genuine need to stay mobile.
• Mitigate loss: cooperate, choose a comparable class, and return it promptly at repair completion or settlement.

Step 3. Choose your pathway: your insurer, the at-fault insurer or a credit-hire provider

You have three routes to a loan car after an accident. Choose by speed, control and admin effort. In all cases the at‑fault insurer pays reasonable costs—your job is to keep the car comparable and the period reasonable.

• Your insurer: One‑call setup via preferred supplier; often daily caps/class limits; excess may apply until you’re confirmed not at fault; they recover from the at‑fault insurer.
• At‑fault insurer: If liability is accepted, they’ll book; get written acceptance; beware “under investigation” delays or smaller‑class offers.
• Credit‑hire provider: No‑upfront for clear not‑at‑fault; like‑for‑like delivery; sign a credit agreement and assist recovery; you still cover fuel/tolls.

Step 4. Gather the documents that get you approved fast

Approvals happen in minutes when your file is tidy. Providers need simple proof of accident, identity, ownership and downtime. Gather these now so your loan car after an accident can be booked without delay.

• Police/event number: official incident reference.
• At‑fault driver’s details: name, rego, insurer; any written admission.
• Claim number + contact: at‑fault insurer (or your insurer).
• Photos/video: damage, scene, rego plates; dashcam clips.
• Repair docs: smash‑repair quote/assessment and written ETA.
• Ownership & ID: rego papers or loan statement, licence, insurance schedule.

Step 5. Lodge your hire request and coordinate with the repairer

With your documents ready, lodge the hire request via your chosen pathway. Quote the claim number, liability acceptance, repairer details and written ETA so the loan car after accident tracks the real downtime, not guesswork.

• Email: event number, claim numbers, photos, repair quote + ETA.
• Request delivery to the repairer; pickup at handback; start = drop‑off.
• Get written confirmation: class, daily cap/rate, km limits, fees; return within 24 hours of completion/settlement.

Step 6. Select a like-for-like vehicle class (what counts as reasonable)

This is where many claims stumble. Courts expect you to “mitigate loss”, which means choosing a genuinely comparable class—not something flashier or bigger than you need. A like‑for‑like loan car after an accident mirrors your car’s size, seating and key functions, and if the exact match isn’t available, you accept the closest sensible alternative and keep a record.

• Match the segment: hatch-to-hatch, sedan-to-sedan, small SUV-to-small SUV.
• Preserve seating/cargo: e.g., seven seats or wagon space if you use it.
• Keep core functions: dual‑cab ute, tow bar or ladder racks for work needs.
• Document compromises: note attempts to get closer parity if only near‑equivalents exist.

Step 7. Arrange delivery, pickup and handover logistics

Lock in the logistics early. Request delivery to the repairer (or your address) timed to your drop‑off, and pickup when repairs finish. Get the start time, location and vehicle class on the booking so your loan car after accident mirrors the actual repair downtime.

• Confirm delivery and pickup times in writing.
• Do a joint condition report with timestamped photos; note mileage.
• Return within 24 hours of completion/settlement and get a signed hand‑back receipt.

Step 8. Understand who pays, daily caps, excesses and fees

In a not‑at‑fault loan car after an accident, the at‑fault insurer generally picks up “reasonable” hire costs; you usually cover running costs. If you use your own insurer, expect daily caps and time limits; credit‑hire typically needs no upfront payment but must stay reasonable. Keep the rate/class comparable, get limits in writing, and return the vehicle within 24 hours of repair completion or total‑loss settlement to avoid disputes.

• Who pays: non‑fault = at‑fault insurer; at‑fault = your policy; shared = split.
• Caps: insurer hire often $70–$100/day, 14–30 days.
• Excess/fees: you pay fuel, tolls, fines; cleaning/damage per T&Cs.
• KM: 150–200 km/day typical; excess‑km ~$0.25–$0.35.

Step 9. Use the loan car responsibly: fuel, tolls, kilometres and care

Use the loan car after an accident as if it were your own. You pay for fuel, tolls and infringements, and may be charged cleaning or damage fees if the vehicle’s returned in poor condition. Respect the kilometre cap (typically 150–200 km/day, with excess‑km charges $0.25–$0.35), keep fuel receipts and toll statements, and photograph condition at pickup and return. Report any incident immediately and follow the provider’s care instructions.

Step 10. Align the hire period with repair or total-loss milestones

Tie the hire strictly to real milestones—assessment, parts arrival, completion or a total‑loss decision. Insurers only pay for a “reasonable period”, so once the repairer declares your car ready or a payout is offered, the meter stops. Get written ETAs, note every revision and relay updates the same day. Returning the loan car after an accident within 24 hours proves you mitigated loss and keeps the invoice dispute‑proof.

• Get a written repair ETA at drop‑off and updates on any parts delays.
• Forward each update to the hire provider/insurer and have the end date reset.
• Total loss: hire stops when settlement is offered; plan return within 24 hours.
• Hand‑back: take timestamped photos, note mileage, and obtain a signed receipt.

Step 11. Written-off vehicles and loans: how hire and finance settle

If your car is written off, the “reasonable period” for a loan car after an accident tightens. Hire typically stops when the insurer offers settlement or delivers any new‑for‑old replacement; some credit‑hire providers may allow use until settlement is received, but return within 24 hours of offer/settlement to show you mitigated loss. Finance is paid out first: the insurer pays your financier, then any balance goes to you; if there’s a shortfall, speak with your lender. Many comprehensive policies promise new‑for‑old if you’re the first owner and the car is under two years/40,000 km.

• Confirm write‑off decision and settlement timing in writing (claim number, dates).
• Ask if new‑for‑old applies (first owner; under two years/40,000 km) and delivery date.
• For cash settlements, get the payout, finance discharge amount and remittance/closure letter.
• Book loan‑car hand‑back to coincide with settlement/delivery; photograph condition and obtain a signed return receipt.

Step 12. Shared fault, no insurance or hit-and-run: what to do

Edge cases don’t end your shot at a loan car after an accident, but they do change who pays and how approvals work. With shared fault, expect proportional recovery. If either party lacks insurance, the funding route shifts. And when the at‑fault driver disappears, identification becomes the hurdle to shifting costs. Here’s how to keep moving.

• Shared fault: hire costs are reduced by your percentage. Example: $1,000 hire with 20% contributory negligence = $800 recoverable. Keep repair ETAs, mileage logs and correspondence tight.
• You have no insurance (not at fault): you can still use a credit‑hire provider; costs are pursued from the at‑fault insurer. Provide claim details and cooperate with recovery.
• At‑fault driver uninsured: if you hold comprehensive cover your insurer pays, then chases them; without it, you’ll need to pursue the driver personally and recovery may be slower.
• Hit‑and‑run/unidentified driver: credit‑hire usually requires identifying the other driver. Lodge a police event number, gather CCTV/witness details, and lean on any hire‑car benefit in your own policy—or self‑fund—until liability can be fixed.

Step 13. Keep your claim dispute-proof and escalate delays properly

Win fast with a clean paper trail and by leaning on the rules insurers must follow. Most fights are about class, rate or duration—not need. Keep your loan car after an accident claim reasonable, match repair milestones, and return the vehicle within 24 hours of completion or settlement. Escalate calmly.

• Document: event number, claim refs, repair ETA/updates, mileage log, photos, hand‑back receipt.
• Prove reasonableness: like‑for‑like class, km caps, fuel/toll receipts.
• End on time: return within 24 hours; email completion/settlement to all.
• Get reasons: written decision within 10 business days (Code s7.9).
• IDR → AFCA: insurer has 30 days; AFCA is free, up to $1m.
• Likely pushbacks: liability “under investigation”, excessive rate/duration/class, missing docs, failure to mitigate.

Step 14. Common pitfalls to avoid with loan cars after an accident

Little missteps can trigger insurer pushback or unexpected fees. Keep your loan car after an accident squeaky‑clean from a claims perspective by staying reasonable, documenting everything, and returning it on time.

• Over‑classing the car: premium upgrades or unnecessary extras breach the duty to mitigate.
• Late return: keeping the car beyond repair completion or settlement—return within 24 hours.
• Early start: commencing hire days before drop‑off without genuine need.
• No paper trail: no written liability acceptance, claim number, rate/class/km caps.
• Poor updates: failing to forward repair ETAs, mileage logs and parts delays.
• Contract blind spots: signing credit‑hire T&Cs without noting your obligations—risking liability if you don’t cooperate.
• Usage breaches: rideshare/deliveries or towing when the contract forbids it.
• Condition issues: ignoring km caps, returning dirty/damaged, or skipping timestamped photos at pickup/return.

Step 15. Rideshare, taxi, courier and business vehicles: extra checks

If you drive for work, the “like‑for‑like” test is stricter and the contract rules matter more. Make sure the loan car after an accident is approved for your commercial use, truly comparable for payload/seating, and that higher kilometres or multiple drivers are noted in writing to keep the hire fully recoverable.

• Prove business use: ABN, employer letter or platform ID may be requested.
• Match work needs: dual‑cab utes, cargo volume, seven seats, tow rating, racks; note any compromises.
• Contract permissions: confirm rideshare/delivery/passenger‑carriage is allowed; get written approval.
• Operational limits: secure higher daily km and multiple‑driver approval in writing.
• Insurance settings: confirm comprehensive cover applies for your business use throughout the hire.

Wrap up and next steps

You’re now set to secure a loan car after an accident today: make the scene safe, confirm fault, choose the fastest pathway, have your documents ready, book a like‑for‑like vehicle, and keep the hire aligned to real repair or total‑loss milestones. Use the car responsibly, keep a clean paper trail, and return it within 24 hours of completion or settlement to prove you’ve mitigated loss and keep costs recoverable.

Next, open a simple claim folder, call the insurer and repairer, and request written acceptance plus delivery to the repairer today. If you want expert help and great‑value cover that makes this process smoother, start with National Cover and get back on the road with confidence.