‘Wheel’ Talk: A Guide to Rental Car Insurance

‘Wheel’ Talk: A Guide to Rental Car Insurance

Whether you opt for rental company insurance or decide to stick with your existing policy, there are pros and cons to each. Additional considerations like timing and gap coverage can also play a significant role in your decision.

You’re considering renting a car for that much-needed getaway or perhaps a business trip. While the convenience of having a rental car is undeniable, understanding your auto insurance coverage while driving it is equally important. Rockingham Insurance is here to guide you through the maze of rental car insurance.

What to Expect When Renting a Car
When you rent a car, the rental company will typically offer you various insurance options, such as collision damage waiver (CDW), liability insurance, and personal accident insurance. These options can provide extra peace of mind but often come at a premium cost.

Understanding Your Existing Policy
Before considering additional options, it’s important to understand what your current auto insurance policy already covers. Consult with your trusted Rockingham Insurance agent to clarify what aspects of rental car use may be included in your existing coverage. We’re here to guide you through your rental car insurance decision.

The Case for Rental Company Insurance

  • Convenience: Opting for the rental company’s insurance is undoubtedly convenient. It’s offered right at the counter.
  • Immediate Coverage: This option provides immediate, albeit temporary, coverage specifically tailored for your rental period.

The Case for Using Your Own Insurance

  • Cost-Effectiveness: Using your existing auto insurance policy can be more cost-effective in the long run.
  • Familiarity: You’re already familiar with the terms and conditions of your own policy, making it easier to navigate any claims.
  • Quicker Claims Processing: The claims process with your personal auto insurance policy is often quicker than the rental vehicle’s insurance, potentially simplifying your travel plans.

Other Considerations

  • Timing Matters: Activating your rental coverage at the right time can save you money and stress. Starting it too early can lead to unnecessary costs, while waiting too long might leave you unprotected.
  • Filling the Gaps: If your existing policy doesn’t fully cover rental cars, consider adding a rental car endorsement for more comprehensive protection. This can cover gaps like loss of use or diminished value that your standard policy may not include.

Whether you opt for rental company insurance or decide to stick with your existing policy, there are pros and cons to each. Additional considerations like timing and gap coverage can also play a significant role in your decision. 

All in all, the best insurance option for you will depend on various factors, including the length of your rental and your current coverage. 

 

Blog Credit to our Partner: Rockingham Insurance