Who is liable to incur costs if a vehicle is damaged or destroyed in an accident?

The owner of the vehicle is typically the party liable to incur costs if the vehicle is damaged or destroyed in an accident. This is because ownership generally includes the responsibility for maintaining the vehicle and covering the costs associated with damage or loss.

When a vehicle is involved in an accident, any expenses related to repairs or replacement usually fall on the owner unless there are specific agreements in place, such as a lease or rental agreement which may alter these responsibilities. The owner's insurance policy is what provides coverage for such damages, ultimately ensuring that financial obligations are met.

While the driver may be responsible for the accident's occurrence, liability in terms of property damage often rests with the owner, especially if they are different individuals. The insurance company does cover costs under the owner's policy but is not liable in the sense of owning the costs unless they are executing the financial obligations under the terms of their coverage. The government does not hold responsibility unless regulations or specific circumstances dictate otherwise.