| Do I Need a Rental Auto Insurance? |
| Written by Helen White | |
|
At times, during a vacation or business trip, you find the need to rent a car for traveling from one area to another. Is it safe to drive a rented car without a rental auto insurance cover or you are happy with the extra toppings of car rental cover, your auto insurance is offering? Whether you are traveling from one area to another, have flown in by air and want to get around or your own car is standing at the repair shop, you will prefer renting a car. But, one thing we should make sure before hiring is having some sort of coverage. In case you met an accident, or your rented car gets damage, a coverage will save you a great deal of money and finding the cheapest auto insurance is essential. People often get confused about auto insurance and wonder if they actually want this coverage. A basic auto insurance is a legal requirement.But one needs to know if that much is enough or you need a separate car rental insurance. What Exactly a Rental Auto Insurance Is?In simple words, a car rental insurance is an additional cover that you can take out while renting a car. It is usually used when your car is getting repaired and requires you to pay out a small amount till your own vehicle gets repaired. What we don't know is that car rental insurance coverage can have a negative impact on your present auto insurance coverageThere are mainly two advantages linked to an auto rental insurance. One is that you will have to shed out lesser amount while hiring out a car and it can also help you in affording the repair work if the rental car you are driving meets with an accident. You will also get the benefit of a rental car insurance, if you do some damage to the car and it has to get completely replaced. Most of the personal insurance companies offer an extension car rental. In some other cases, your credit card company might offer you some sort of car rental coverage scheme. If you are not able to get insurance from any of these schemes, then get an insurance from the car rental establishment itself. But, it is also better to know what you options are in the very first case. There are few things you should know about car rental insurance coverage schemes: WaiversYou will get waivers like collision damage, physical damage and loss damage in an auto rental insurance. If you purchase these waivers as an option, the rental car agent can not sue you in the case of some loss or collision damage and theft. But, one should know that you will not get coverage for a damage caused to the car of a third party.SupplementsAnother supplement is a liability insurance that is provided for payment by the car rental company. Personal liability protects you in case of accident, therefore, it is very important.PAIIf somebody dies in the car you are renting, the PAI or Personal Accident Insurance will provide you coverage.PEC or PPIPEC means Personal Effects Coverage and PPI stands for Personal Property Coverage. By taking this, you are able to recover the cost if any of your personal property is stolen or lost inside the rented car.As discussed above, taking an optional cover at times affects your present auto insurance policy. If you look at general auto insurance quotes, most of them include rental car coverage. It might not have many coverages, but yes, it will cover things like hiring a car when your car is getting repaired. You will see that the current insurance policy will pay you more, if you are renting a car. In any case, if you choose to go with your optional car rental insurance and claim on it without claiming on main insurance, it can negatively effect your policy. There are chances of your original insurance going up in the price. So, think carefully before taking any step in this regard. It is important to know that the only time one requires an additional cover is while driving a very old car. As auto insurance most of the times does not imply on old cars, you might not be able to get the coverage. It is better to search for some better rental car insurance options in this case. Everything has some positive and negative aspects. If we look at the brighter side, car rental insurance can turn to be a very good idea, if covered in your current auto policy. While looking for a cheaper car rental insurance options, do remember that most of the coverage is provided in your existing rental insurance and there is no need to go for an additional one. Be clear about all the clauses of your own insurance and decide if you need to buy an additional insurance cover from the car rental agency. |
| < Prev | Next > |
|---|
