Rental Car Insurance Coverage

One of the most commons ways of protection that you can get if you decide to rent a car is to buy an appropriate insurance policy. You can also have a rider added to your existing insurance. Such a rider will effectively extend comprehensive and collision coverage to any car that you might rent in the future.

On the other hand, if you do not have your own car but instead, prefers to rent a car on a regular basis, you might want to consider buying non-owner insurance. This specific form of insurance offers to you similar protection that regular insurance can provide except that non-owner insurance offers sufficient insurance coverage to cars that you do not own.

You must be certain that your existing insurance policy specifically extends its coverage to cars that you rent; otherwise, you must absolutely be cautious when renting and using a car. This is for you to avoid becoming liable for any accident that might occur when you are driving a rented vehicle.

There are so-called non-owner insurance products that you can purchase from the rental agency. However, many of these insurance products might not actually provide the necessary coverage that you need for your rental car. Such insurance is simply called a loss damage waiver.

Unfortunately, motorists are always in a hurry to get their cars from the agency. This is why they might not realize that the insurance that the agency offered to them cannot provide ample protection that they need.

For instance, there are instances when loss damage waivers protect any rental vehicle in the event that it gets stolen. However, this insurance will not extend protection to any of your personal items that might be inside the stolen vehicle.

Moreover, a loss damage waiver is certainly an insufficient form of insurance since it typically provides only comprehensive or collision insurance coverage for the vehicle. This obviously excludes the coverage that is deemed to be the most essential to every driver – and this is the liability insurance.

If indeed, you do not have liability insurance as protection, this only means that you will have to be responsible in paying for all the costs of damage to the other party, particularly if you are the one at fault in the accident.

Needless to say, while car rental agencies are required under state’s law to provide insurance to those who rent their vehicles, they are a lot of those that who do not bother to follow the law. Hence, it is advisable for you to become familiarized with the terms and conditions in the rental insurance policy before you obtain one from the car agency.

Oftentimes, there are a number of situations or scenarios that are automatically covered by the insurance. This is why it is wise if you can obtain the list of situations where in which your rental car is covered. This can help you decide if the insurance or waiver that they offer is enough to satisfy your coverage needs. Coverage details helps in your decision of choosing a car rental company.