A courtesy car is a basic replacement vehicle lent by your own insurer or a repairing garage while your car is fixed, usually small, subject to availability and only for the repair period; credit hire is a like-for-like replacement supplied after a non-fault accident on credit, for as long as your car is off the road, with the cost recovered from the at-fault driver’s insurer rather than from you. National Accident Support Line arranges credit hire for drivers who were not at fault.
When your car is off the road after an accident, especially one that wasn’t your fault, the first question is how you stay mobile. Two things get offered, and they sound similar. They are not. One is a favour from your own policy; the other is a right you have against the driver who caused the accident. Knowing which is which saves people an excess, a no-claims discount and weeks in a car that doesn’t fit their life.
No excess to pay if the accident wasn’t your fault. Fill in our form and we’ll call you back within 2 minutes.
What is a courtesy car?
A courtesy car is a vehicle lent to you while yours is repaired. It comes from your own insurer, if your policy includes courtesy car cover, or from the garage doing the repair. It is usually a small hatchback, whatever is on the forecourt that day, and it depends on availability. It is only provided while the car is in for repair, so if your car is written off most policies offer nothing, and it is often limited to a set number of days. Claiming it through your own insurer can mean paying your excess and using your policy, which can affect your no-claims discount at renewal.
Key features of a courtesy car: provided by your own insurer or garage; basic, subject to availability; repair period only; often unavailable on a write-off; may involve your excess and your no-claims discount.
What is credit hire?
Credit hire is a replacement vehicle supplied after a non-fault accident by a credit hire company or an accident management company, on credit. The vehicle is like-for-like, meaning equivalent to your own in size, class and seats, and you keep it for as long as your own car is genuinely off the road, including while a write-off is settled. The hire charges are pursued from the at-fault driver’s insurer, so a driver who was not at fault pays nothing upfront and does not use their own policy. You sign a credit hire agreement that sets out the daily rate and confirms the charges are recovered from the other side, and the only costs that can fall to you are ones within your control, such as fines picked up in the vehicle.
Key features of credit hire: only for non-fault accidents; like-for-like vehicle; until repair or settlement, including write-offs; cost recovered from the at-fault insurer; no excess and no claim on your own policy; a credit agreement you should read before signing.
Credit hire vs courtesy car: the main differences
| Courtesy car | Credit hire | |
|---|---|---|
| Who provides it | Your own insurer or the repairing garage | A credit hire or accident management company |
| Who pays | Your own policy, often with an excess | The at-fault driver’s insurer |
| What vehicle | Whatever is available, usually small | Like-for-like: same class, size and seats where available |
| How long | Repair period only, often capped | Until repair or settlement, including a write-off |
| Your no-claims discount | Can be affected | Not used, the claim is against the other driver |
| Who can have one | Anyone with courtesy car cover | Drivers who were not at fault |
| Taxi and PCO drivers | Not plated, cannot work in it | Plated replacement available so you keep earning |
When should you choose credit hire?
When the accident wasn’t your fault and you need a vehicle you can actually live with: a 7-seater for a family, an automatic, a van for a trade, a plated vehicle for taxi work. When your car has been written off and a courtesy car would end the day the assessor’s report arrives. When your own policy has no courtesy car cover, or you would rather not pay an excess and put a claim on your own record for an accident someone else caused. How it works in practice is on our credit hire service page, and taxi drivers should read about the plated taxi replacement.
When is a courtesy car enough?
When the accident was your fault or fault is shared, because credit hire is only for non-fault claims. When your car is in for a short repair, you have courtesy car cover, and a small car for a few days does the job. When you would rather keep everything under your own policy and accept the excess.
No excess to pay if the accident wasn’t your fault. Fill in our form and we’ll call you back within 2 minutes.
What people ask before they choose
“Is credit hire a scam?”
It is a regulated and well-established part of UK motor claims, but it has a bad name in places because some drivers have been signed up without understanding the agreement or with a claim that wasn’t clearly non-fault, and then found themselves arguing about the bill. The Financial Ombudsman Service has published guidance on it. The protection is a company that verifies fault before delivering a vehicle and explains the agreement before you sign, which is how National Accident Support Line works.
“Will credit hire affect my insurance?”
The claim is pursued against the at-fault driver’s insurer, so your no-claims discount is not used. You must still tell your own insurer the accident happened, because most policies require it, even when you are not claiming through them.
“How quickly can I get a credit hire car?”
For non-drivable cars, the aim is within 48 hours of a verified claim. If your car is still drivable, the replacement is lined up for the repair dates.
Final thoughts
A courtesy car is a convenience your policy may or may not include. Credit hire is what a driver who was not at fault is entitled to. If the accident was your fault, take the courtesy car and claim on your own policy. If it wasn’t, claiming after a non-fault car accident through credit hire puts you in a like-for-like vehicle at no cost to you, and the driver who caused it pays.
Frequently asked questions
What is the difference between credit hire and a courtesy car?
A courtesy car is lent by your own insurer or garage for the repair period. Credit hire is a like-for-like replacement after a non-fault accident, for as long as you need it, paid for by the at-fault driver’s insurer.
Do I have to pay for credit hire?
Not if the accident wasn’t your fault. The charges are recovered from the other driver’s insurer. The only costs that could fall to you are within your control, such as fines.
Can I get credit hire if my car is written off?
Yes. A credit hire vehicle continues until the write-off value is settled, which is where a courtesy car usually stops.
Can I refuse the courtesy car and ask for credit hire?
Yes, if the accident wasn’t your fault. You do not have to accept a courtesy car that doesn’t meet your needs.
Does credit hire cover taxis and PCO cars?
Yes. A plated, licensed replacement is arranged for taxi and private hire drivers so they can keep working.
What is a courtesy car?
A basic replacement vehicle lent by your insurer or the repairing garage while your own car is repaired, usually small and only for the repair period.
No excess to pay if the accident wasn’t your fault. Fill in our form and we’ll call you back within 2 minutes.