Rental Car Coverage - What do I have? What do I need?

As an office on of the most common questions we receive is "Do I need rental car coverage?" There is not a simple answer to this questions as rental car coverage means a lot of things to a lot of people, depending on the situation.

Rental Reimbursement - You can use this coverage to help cover the costs of a rental vehicle in the event of a covered loss. This means if you are involved in an accident and you need a rental the insurance company will help pay. The coverage is usually broken down on a daily basis with a total limit. So if you see 30/900 on your policy that means you have coverage for $30 per day with a maximum of $900.

Liability - When you are completing the contract for your rental vehicle you will most likely be asked to purchase their coverage for the vehicle. If you do decide to purchase their coverage it would be the primary policy in the event of an accident. If you do not buy their coverage you can be covered by the liability on your personal auto policy assuming you have an active policy.

Comprehensive and Collision - These coverages work similarly to your liability. Coverage will be matched to your personal auto policy. If you do not have comprehensive and collision on your personal auto policy then you will not have coverage for the rental and the rental company will likely make you purchase theirs. If you do have comprehensive and collision some companies will allow you to buy their coverage which will become primary in an accident.

Hopefully this information will allow you to make an educated decision the next time you need to rent a vehicle.

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