Renting a car requires making a number of choices. What type of car do you want to rent, an SUV, a sedan, a convertible? Also, how much will it cost? This depends on the model and year of the vehicle that you selected, as well as how far you plan to drive and how long you’ll have the rental. There’s also a third factor involved that you need to keep in mind: whether or not you want to choose the rental company’s insurance option. But before you sign on the dotted line, there are several things you’ll want to consider.
Your Car Insurance May Cover You
In many cases, your existing auto insurance policy may cover your rental car. As long as you’re using the rented vehicle for personal and not business use, you shouldn’t need an additional policy. Your standard liability and collision insurance coverage will apply to the rental care. (Keep this in mind if you’re choosing a rental that’s more expensive than your regular vehicle because you may not have enough coverage.)
Before you choose to use your personal auto policy, check with your insurance agent to make sure that you can do so. Otherwise, you might get stuck without insurance when you need it the most, should something happen to your rental car.
You Might Have Coverage Through Your Credit Card Company
Some credit card companies include perks like rental car insurance. The only catch is that you need to use that particular card when paying for the rental. The overall coverage provided by the credit card company might be anything from robust coverage to standard liability, so you’ll have to call up their customer service number to double check.
You Can Choose the Car Rental Company’s Insurance Option
While the car rental company has an insurance policy that you can purchase when you’re picking up the vehicle, it usually doesn’t cover much more than liability. That waiver that they offer you, which sometimes looks like an insurance plan is actually not much more than a promise not to send you to collections or sue you should something happen to the vehicle while you have it and have chosen their insurance option. It typically doesn’t help much and often isn’t worth the additional cost. Every policy is different, though – make sure you review the details before signing up for anything.
You Can Purchase an Additional Policy
Instead, you can contact an outside insurance company that specializes in rental car policies. There are several companies that offer this specialized coverage. Essentially, you’ll be paying a per-day insurance rate for a certain level of coverage, which is usually enough to cover major damage and, in some cases, even replace the vehicle if it’s totaled. Since these policies are offered on a short-term basis for as long as you have the rental in your possession, they are fairly inexpensive. If you want to go this route, contact your current agent to see if they can help.
Have Questions? Contact Charlotte Insurance
Want to learn more about car rental insurance and if your personal policy has you covered? Contact Charlotte Insurance. Our agents can explore and explain all available options to you and put together the auto coverage plan that you need.