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Why are accident management companies able to charge huge rental charges to accident victims?

I read with interest last week about insurance scams. I had an accident and was supplied with a BMW for five days during repairs by HelpHire, a management company provided by insurer. I signed a form to say that the maximum cost was £149 per day. To cut a long story short, I was not to blame for the accident, but the case dragged on because the other insurer refused to pay for a hike up to £2,200 for those five days hire. But to get the costs back for car hire, Helphire eventually agreed a 50-50 split and l lost out by having a claim on my insurance. They got £1,100 which more than pays for those five days. This is so wrong.

Asked on 4 July 2011 by CM, via email

Answered by Honest John
Many thanks. Yet more evidence that it's high time for the Credit Hire Cowboys to be rounded up. (I've got a case coming up where the hire charge was £70,000 for an ‘equivalent’ Bentley.)
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