Should I Get a Rental Car Insurance Policy When Renting a Vehicle?

Whenever you rent a car, you’ll be given the option to take out a rental insurance policy on the vehicle. However, for some drivers, this policy will be entirely unnecessary, as they will have rental car coverage on their own car insurance policy in Corydon, IN, meaning taking out a rental insurance policy from the agency would amount to a redundant expense.

So, how do you know if you need this extra insurance policy when renting a vehicle? Here are some things to consider.

Check your auto insurance policy

Before renting a car, check the coverage you have on your own personal car insurance in Corydon, IN. Your policy will include liability coverage and additional coverages like comprehensive and collision. In addition, any coverage limits or deductibles that apply to your policy will also apply to your rental car usage.

Liability coverage covers another person’s medical bills or property damage if you cause an accident. Comprehensive coverage covers your own vehicle repairs if damaged by a covered peril, such as various natural disasters. Collision coverage pays repairs for your vehicle if damaged in an accident with another vehicle or object.

Carefully comb over the language of your policy and determine if the coverages you’ve selected apply to rental vehicles. Many people have rental coverage built into their policies and don’t even know it!

Check your credit card

Some people have credit cards with features that might include rental insurance coverage. If you do have extra rental insurance through your credit card provider, you would call the phone number on the back of the card to get information about your coverage options before you rent a vehicle. If the credit card offers collision coverage, you might decide against that specific coverage from the rental agency.

Typically, any coverage you get from a credit card would be secondary, meaning it’ll cover the deductible and expenses that exceed coverages from your primary auto insurance policy.

Carefully analyze the benefits of your credit card before you take out rental car coverage in Corydon, IN, and if you can’t find information about what features your card provides, you can always call the insurance provider and speak to a customer service representative for assistance.

When to get rental insurance

There are some circumstances in which it actually does make sense to take out a rental insurance policy from the agency. If you don’t have auto insurance at all, you’ll at least need to get liability coverage before you go on the road, as most states will require this coverage by law.

There are also circumstances in which the other coverages are beneficial. If your current auto insurance policy does not have comprehensive and collision coverage, if you want to avoid paying a high deductible or if you’re only insured under a commercial car insurance policy, these are all circumstances in which the extra coverage from a rental insurance policy may be beneficial.

For more information about taking out rental car coverage in Corydon, IN, contact Harvey Sarles Insurance Agency today.

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