Car Rental Coverage and Additional Insurance

As an insurance agent, it is my job to make sure you have the proper coverage, just in case of an accident. Please review your auto policy to make sure that, if needed, you have rental car coverage on your policy.

The cost for $30 per day rental (small size vehicle) coverage on your policy should be about $29.45 every 6 months per vehicle. This means if you are involved in an accident and need to rent a car while your vehicle is being repaired on a covered claim, you can rent a car for $30 per day up to 30 days and it should be paid by your insurance company.

Many of my customers that have two or more vehicles have chosen to refuse this rental coverage, believing that if they were involved in a car accident, they could car pool for a short time, if needed.

I have also been asked the following questions by my clients:

1. Do I need to purchase the "extra coverage" that is offered at all care rental companies? If you have "full coverage" on your existing policy ( collision and comprehensive coverage ), then you do not need to purchase the additional coverage. Most insurance companies (check with your agent) extend the same coverage on your rental car that you have on your own vehicle. In my opinion, the only time you should consider purchasing the extra coverage is if you are going to a place that has icy or snow covered roads.
2. Does it matter how I pay for a rental car while I am on vacation? Many credit card companies will cover your collision and comprehensive deductibles on your rental car due to a claim if you place the bill on their credit card. Check with your credit card company before you rent your vehicle.
3. Does my car insurance policy offer me any discounts if I have to rent a car for a vacation? Some insurance companies offer discounts from some car rental facilities. Don't be afraid to ask. My insurance carrier offers me discounts and also would pick up the cost of your rental vehicle while it was unusable due to an accident when you had it rented. This is called "loss of use" but for me to get this benefit, I have to choose from specific car rental carrier . Be aware, this could be an expensive fee you you do not have that coverage. It could range from $200+ per week.