Rental Car Insurance Part of Liability Claim?

Our insured was involved in an auto accident where the other party was at fault. Our insured did not carry collision coverage on his auto. It was necessary for him to rent a car and purchase collision coverage from the car rental company. The other party's insurer is refusing to pay for the rental car insurance, calling this an undue enrichment for our insured. We see the insurance as a reasonable and necessary expense that should be paid for since the accident was the result of another driver's negligence. What is your opinion?

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