Douglas Auto Body & Paint

Do I Really Need to Buy Rental Vehicle Insurance Coverage?

You're about to go on a great vacation, or are maybe headed home for the holidays. Either way, it's car rental time once again, whether you like it or not. Every time you rent a vehicle, whether if it's here in Pasadena, CA or anywhere else, you have to ask yourself the following question--should you pay for rental insurance coverage or opt out? It's a very good question, because for some drivers, rental insurance is a necessity, while for many others it's a superfluous expense. And that's why all of us here at Douglas Auto Body & Paint, are happy to be providing you with answers to this often-asked question.

Every year, thousands of people purchase one-time rental car insurance, but they're already covered by their existing policies. It's potentially a real problem for uneducated consumers who are wasting money every day all over the U.S. The limits and deductibles on your regular car insurance policy will normally apply to your rental car too, as long as you drive it for personal use. If you're going to rent a commercial vehicle or will be using it for business purposes, your personal car insurance coverage won't likely cover the rental, so always check.

Here are some helpful tips you should use in order to navigate through this scenario the right way:

1.      If you don’t have any car insurance or have extremely high deductibles, you’ll probably want to consider signing up for the rental company’s loss damage waiver. 

2.      If you’re traveling for business, talk to your insurance agent about whether your policy will protect you. If you’re renting a car primarily for business, your personal car insurance may not cover you at all.

3.      If you’re driving a rental car abroad, your car insurance will not likely cover you outside of the country. If you have a credit card that features rental car protection, read all of the small print, because many popular vacation spots might be excluded.

4.      If you'll be paying for the rental using a credit card, inquire with your credit card company to see what rental car coverage is provided. Call the number listed on the back of the card that you use to pay for the rental before purchasing any additional protection.

In conclusion, your peace of mind is probably more valuable than any amount of money. So if you're not certain, just buy the car rental insurance. This way, you can enjoy your vacation without having to worry if you're covered or not in your rental car.

Sources: Forbes, MSN and USA Today