Sydney, Australia – Thousands of Australian motorists are missing out on a crucial legal right following car accidents, with experts urging drivers to invoke an age-old rule that protects them after no-fault crashes.
Under an established legal principle known as demurrage, drivers who are not at fault in an accident are legally entitled to be restored to the same position they were in before the incident — including having access to a comparable replacement vehicle while theirs is being repaired.
Despite this, new research from accident replacement vehicle provider Right2Drive has revealed that a staggering 74 per cent of Australians are unaware of this entitlement.
“About three in four people don’t know they have the right to drive after a no-fault accident,” said Nicolas Rio, General Manager at Right2Drive.
“The law of demurrage, originally from the shipping industry, has been upheld in the High Court of Australia and still holds true today.”
Since launching operations, Right2Drive claims to have helped over 300,000 drivers across Australia and New Zealand with temporary loan vehicles — at no cost to the not-at-fault driver. The company later recovers the cost from the at-fault party's insurance provider.
Drawing on an extensive database of incidents, Right2Drive also highlighted some of the most common scenarios in which drivers end up in crashes.
In New South Wales, drivers are three times more likely to be involved in an accident in a car park (14.7%) than at a roundabout (5.6%).
One simple safety habit that could keep motorists from being deemed at fault is reversing into parking spaces instead of out. Crashes often occur when drivers back out of spots with limited visibility, and in most cases, the reversing driver is held liable.
“Reversing into a spot helps you safely drive out forward with a clear view, significantly reducing your risk of being found at fault,” said an insurance broker.
Motorists who are involved in a crash where they are not at fault are advised to:
Collect evidence at the scene (photos, witness details).
Contact a replacement vehicle provider like Right2Drive to access a comparable loan car.
Notify their own insurer, but ensure the at-fault party’s insurer is held accountable for costs.
For drivers who rely heavily on their vehicles for commuting and daily life, exercising this right could make all the difference in staying mobile after a crash.