When renting a car for business or personal purposes one of the questions that may come up is do you need rental car insurance. Auto insurance protects you from unforeseen circumstances. When renting a car most car rental agencies will try and sell you auto insurance coverage.
Auto insurance sold by car rental firms will include:
• Collision Damage Waiver or Loss Damage Waiver which will protect you against damage or theft of rental car. The coverage is however void if you drive under intoxication, have an accident due to speeding, or drive on unpaved roads.
• Liability Insurance as required by the law of your state. This gives excess liability coverage but will not suffice in case of a serious accident.
• Personal Accident Insurance covering you and the passengers for medical and ambulance bills.
• Personal Effects Coverage that protects personal items from theft.
But before you buy any coverage you must consider:
a. If you rent cars very often then it will be cheaper for you to purchase a non-owner insurance coverage that will protect you and your spouse and will most probably include uninsured or underinsured motorist coverage, personal injury protection or PIP, and medical coverage. However, you may need to buy a collision damage waiver from the rental company to protect the rental vehicle.
b. You need to check with your own auto insurance policy whether it covers rental cars. More often than not the liability coverage limits that exist on the auto insurance policy owned by you will be effective for rental cars too. Just check with your policy whether it covers rental cars.
c. Many credit cards offer coverage. So check whether your card offers this facility and what the specific terms and conditions are. Find out if you need to be enrolled to get coverage.
d. The latest in car rentals is being responsible for damaged caused by “acts of nature.” Ensure that you understand what each phrase in the car rental contract means and always dig in your heels and demand a clear explanation for any clauses you don’t understand. Check if your personal auto insurance policy covers “acts of nature” for rental cars.
e. Auto insurance coverage for rental vehicles differs from company to company so find out clearly who and what is covered by the auto insurance in case of a rental car. Many policies may cover only you or you and your spouse.
f. If you are renting a car outside the US your auto insurance policy may not cover loss and damage to the rented vehicle or liability injury. When traveling abroad you may need additional coverage.
g. Find out before you rent a vehicle if the auto rental company includes basic automobile liability and standard comprehensive insurance protection as well as theft insurance as part of the service at no additional charge.
Before you decide on rental car insurance surf the World Wide Web and read up on rental car advice as well as auto insurance needs written by experts in the travel and insurance business. This will update you on the latest requirements and introduce you to auto insurance necessities. This knowledge will enable you to take the right decisions.
Should You Take Rental Car Insurance - Tips and Know How
By Barry Allen
Showing posts with label Car Insurance. Show all posts
Showing posts with label Car Insurance. Show all posts
Wednesday, June 11, 2008
Rental Car Insurance
Purchasing a collision damage waiver or not is at times a complex decision for most users at the rental car shop. The collision damage waiver (CDW) pays for damages to the rented vehicle in case it gets into an accident. Nevertheless, rental car insurance is not a California auto insurance, it is just a rental contract that takes care of damages done to the vehicle.
Prior to paying for this rental car insurance, auto insurance companies will you to abide by this rules to assist you in making an affirmative decision.
- Check your existing auto insurance policy:
Inform your auto insurance company before renting a car. We are sure you will not love to pay additional money for the insurance you have already. Most auto insurance companies will offer liability coverage when someone is injured in a crash.
- Check your credit cards:
There are situations where you will pay for damages with your credit card, when an accident occurs. For eligibility, you possibly will reject the CDW, and also debit your card with the full charge for the rental car. Find out if your credit card provides such services.
- You may have to purchase the collision damage waiver:
You may comfortably reject the collision damage waiver if you know that your insurance or card provides for the liability. However, purchasing the collision damage waiver might be the solution for most rental car users.
The reasons are:
If your own auto insurance or credit card didn’t cover you, then you may have to purchase the collision damage waiver. It makes sense to pay only $8 to $11 per day instead of paying $15,000 to $20,000 for loss of the rental car.
This collision damage waiver covers loss of use. Several California auto insurance companies will not pay for loss of use under your policy. But there are some who pays, such as Alaska, Louisiana, Connecticut, Minnesota, New York, North Dakota, Texas, and Rhode Island.
When accidents happen, certain rental car insurance companies will demand upfront payment, which means that your own auto insurance company will reimburse you later. It becomes an expensive payment for certain travelers.
Rental Car Insurance
By Ali Edenhson
Prior to paying for this rental car insurance, auto insurance companies will you to abide by this rules to assist you in making an affirmative decision.
- Check your existing auto insurance policy:
Inform your auto insurance company before renting a car. We are sure you will not love to pay additional money for the insurance you have already. Most auto insurance companies will offer liability coverage when someone is injured in a crash.
- Check your credit cards:
There are situations where you will pay for damages with your credit card, when an accident occurs. For eligibility, you possibly will reject the CDW, and also debit your card with the full charge for the rental car. Find out if your credit card provides such services.
- You may have to purchase the collision damage waiver:
You may comfortably reject the collision damage waiver if you know that your insurance or card provides for the liability. However, purchasing the collision damage waiver might be the solution for most rental car users.
The reasons are:
If your own auto insurance or credit card didn’t cover you, then you may have to purchase the collision damage waiver. It makes sense to pay only $8 to $11 per day instead of paying $15,000 to $20,000 for loss of the rental car.
This collision damage waiver covers loss of use. Several California auto insurance companies will not pay for loss of use under your policy. But there are some who pays, such as Alaska, Louisiana, Connecticut, Minnesota, New York, North Dakota, Texas, and Rhode Island.
When accidents happen, certain rental car insurance companies will demand upfront payment, which means that your own auto insurance company will reimburse you later. It becomes an expensive payment for certain travelers.
Rental Car Insurance
By Ali Edenhson
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