Written by William Dean Gavit, Texas Attorney Texas Bar No. 24089846 Last reviewed: October 6, 2026
Can you recover loss of use after a Texas car accident?
Yes. Texas law recognizes damages for the loss of use of personal property caused by another person's wrongful conduct.
For an ordinary vehicle, the reasonable rental value of a comparable substitute can be evidence of the loss. In Luna v. North Star Dodge Sales, Inc., the Texas Supreme Court held that a claimant does not necessarily have to rent a replacement automobile or actually spend money on substitute transportation to prove loss of use.
The amount and duration still must be reasonable and supported by evidence.
Is there a 28-day or 30-day limit in Texas?
There is no single Texas tort rule that automatically limits every third-party loss-of-use claim to 28 or 30 days.
A person's own rental-reimbursement coverage may contain contractual daily limits, total-dollar limits, or a maximum number of days. Those policy limits are different from the damages an at-fault driver may owe a third party.
For a third-party claim, the focus is generally on the reasonable value and reasonable duration of the lost use, together with causation and mitigation.
How is loss of use measured?
For a personal vehicle, reasonable substitute rental value is often the cleanest measure.
Actual rental invoices can be useful evidence, but Luna confirms that an actual rental is not always required. Evidence may include comparable rental rates by the day, week, or month.
In an appropriate business-use case, other provable economic loss—such as lost profits—may be relevant, but those damages require their own proof and should not be treated as automatic substitutes for rental value.
Can you recover loss of use if the vehicle is totaled?
Potentially, yes.
In J&D Towing, LLC v. American Alternative Insurance Corp., the Texas Supreme Court held that an owner of totally destroyed personal property may recover loss-of-use damages in addition to the property's pre-loss fair market value.
The Court also imposed an important limit: a claimant may not recover loss-of-use damages for longer than the period reasonably needed to replace the property.
How long can a loss-of-use claim last?
There is no automatic answer based only on the number of days.
For a repairable vehicle, the relevant facts can include the reasonable repair period, supplements, parts delays, shop scheduling, insurer inspections or approvals, and whether the owner acted reasonably to move the repair forward.
For a total loss, the focus is the period reasonably necessary to obtain a replacement.
Relevant evidence can include when the vehicle became unavailable, when the insurer inspected it, liability decisions, dates of estimates and supplements, parts-delay documentation, repair-shop records, total-loss communications, replacement-shopping records, and the owner's mitigation efforts.
What if repairs take 60, 90, or 100 days?
A long repair period does not automatically make the entire period compensable. But the passage of 30 days does not automatically end the claim either.
If the owner promptly placed the vehicle in a qualified shop and the delay resulted from necessary supplements, parts availability, insurer approval, or other reasonable repair issues, those facts may support a longer period.
If the owner caused avoidable delay or kept incurring losses after a reasonable replacement could have been obtained, the recoverable period may be reduced.
Does the substitute have to be the cheapest vehicle available?
Not necessarily. The claimed substitute should be reasonable in light of the character and use of the damaged vehicle.
A work pickup, passenger van, luxury sedan, or specialized commercial vehicle may have a different reasonable substitute value than an economy compact. That does not mean the claimant is entitled to an extravagant rental; the rate still has to be reasonable and supported.
What evidence helps prove loss of use?
Keep a clean timeline. Helpful evidence can include comparable rental quotes, actual rental invoices, repair-shop intake and completion dates, supplements and approval dates, parts-delay records, insurer emails and call notes, total-loss communications, replacement-shopping records, and business records supporting lost profits in an appropriate commercial claim.
First-party rental coverage and third-party loss of use are different
Your own policy may cap rental reimbursement by day, duration, or total amount. That is a contractual coverage question.
A third-party tort claim against the at-fault driver is different. The issue is the legally provable loss caused by the collision, subject to reasonableness, mitigation, and available coverage.
Talk with Gavit Law about a Texas loss-of-use dispute
Gavit Law, PLLC handles Texas auto property-damage disputes involving loss of use, diminished value, total-loss valuation, repair delays, towing and storage, and related insurance issues.
Gavit Law, PLLC (210) 564-7599 gavit@gavitlaw.com
Authorities reviewed
- Luna v. North Star Dodge Sales, Inc., 667 S.W.2d 115 (Tex. 1984).
- J&D Towing, LLC v. American Alternative Insurance Corp., 478 S.W.3d 649 (Tex. 2016).
This page provides general information about Texas law and is not legal advice for any particular claim.