An intervention letter is an offer from the defendant's insurer to provide a hire vehicle directly, bypassing the credit hire arrangement. If the claimant rejects the offer without good reason, the court may limit recovery to the cost of the intervening offer. The claimant must address why they rejected it.
How should a witness statement deal with an intervention letter?
The statement should confirm when and how the intervention offer was received, what was offered, and explain clearly why it was not accepted. Ignoring the intervention letter in the witness statement is a common mistake that can lead the court to assume the claimant simply disregarded it without good reason.
What is a TPI letter in credit hire?
A TPI (Third Party Insurer) letter is correspondence from the at-fault driver's insurer challenging the credit hire claim. These letters typically dispute the hire rate, the period of hire, the need for hire, or liability itself. They often contain standard arguments that can be rebutted with the right case law.
What is the claimant's duty to mitigate in credit hire?
The claimant must take reasonable steps to keep losses to a minimum. This means they should not hire an unreasonably expensive vehicle, should chase repairs to avoid unnecessary delays, and should consider reasonable offers from the defendant's insurer. However, the standard is reasonableness, not perfection.
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