What Auto Insurance Is Needed When I Rent A Car?
by Alexei Liteev
Everybody does not want to be involved in a car accident. However most people will be involved in one car accident in the life. If an accident arises with the rent vehicle, it's necessary to compensate the harm to the suffering and the companies who rent the vehicle.
Even best drivers can be involved in accidents because other drivers were careless. Today is no guarantee of safety, rental vehicle insurance is a necessity.
Drivers can cover rental vehicles in two ways:
- The customers regular vehicle insurance or through the rental agency.
- Purchase full rental vehicle insurance from the company that rents the vehicle.
Rental vehicle insurance is not as expensive as standard auto insurance, because the consumer is only paying for the insurance for the period of time that the vehicle is in his or her possession. The risk of accident exists at any term. Even if a driver does not drive the vehicle or own vehicle has not have proper insurance it would also need to make rental car insurance.
Most drivers are covered for the average rental (if not business). To assess your own status check this:
- Check your personal vehicle policy.
- Check your coverage by your charge card company.
- Check your company's corporate travel policy. If you're on company business, full coverage is probably provided.
- Contact to your car insurance company. Find out how much coverage you have on your own vehicle.
If you don't have comprehensive and collision coverage on your own vehicle, you will not be covered if your rental vehicle is stolen or if it is damaged in an accident.
Rental vehicles companies check your credit and driving history and will give a decision about coverage accept or reject.
The cost of insurance at the rental vehicle counter depends the following:
- the rental vehicles company;
- state;
- location of the dealer;
- the type of vehicles you rent.
If you often buying liability coverage from the vehicle rental company and you only need non-owners insurance. You can purchase a non-owner vehicles liability insurance policy from an insurance company, on the information from Insurance Information Institute (I.I.I.) it about $300 a year which might be cheaper if you rent frequently. Please note that most rental companies provide this type of insurance as part of the rental package.
If you have an vehicle policy that includes third-party liability (collision, blow), you can decline all coverage offered by a rental vehicle company. But Your own comprehensive and collision coverage should pay for damages to the rental vehicle. Your vehicle insurance should cover you for third-party damages resulting from your rental.
If you have determined that your vehicle policy does not combines full coverage, you will be faced with a choice of products for purchase.
- Collision Damage Waiver. It usually costs between $9 and $20 per day.
- Supplemental Liability Insurance. This provides excess liability coverage up to $1 million. It usually costs between $7 and $9 per day.
- Personal Accident Insurance. This covers you and all passengers in your vehicle for any medical expenses. It usually costs between $3 and $5 per day.
- Personal Effects Coverage. This provides coverage for theft of or damage to personal items inside the rental vehicle. It usually costs between $2 and $5 per day.
