Know Your Options Before Getting Back in the Back of a Rental Car – Schneider and Associates Insurance Agency

Whether you’re hitting the road on a weekend getaway or renting a car from the airport, knowing all of your insurance options before heading to the car counter is smart. So what are the basics? Here’s a quick guide to help you next time you rent a car.

Find out what your car rental company offers

Do you need to take out the insurance that your car rental company offers you at checkout? It depends on your current insurance. If you already have car insurance, you may have additional coverage beyond what the rental company offers. In any case, here are a few basics that most mortgage companies can offer.

Loss damage removed

Damage waiver (LDW), also known as collision damage (CDW), eliminates financial responsibility if your rental car is damaged or stolen. This type of policy also provides for “loss of service” payments if the loan is repaired or withdrawn.

Liability insurance

By law, car rental companies must provide government-required insurance. However, the Insurance Information Institute (III) says the system often does not provide enough protection. The deposit will not protect you if the rental is lost, stolen or damaged. It will protect you in the event of an accident.

Personal accident insurance

Personal accident insurance will cover you and your passengers who are injured in an accident.

Personal information

Personal liability coverage provides insurance coverage for any items stolen from the rental car. If you don’t have homeowner’s or renter’s insurance, here are some things to consider.

How your credit card can help

If you’re considering relying on the protection your credit card company offers, be aware that discounts and restrictions may apply. Each credit card company has a different approach, so it’s a good idea to call them to check the published information.

Initial explanation or initial response

Some credit card companies offer priority service, which means they respond to claims first. There are restrictions and exclusions that you should clarify with your credit card company. Other coverage does not include other vehicles (cars, luxury vehicles, moving vehicles) or value calculation (nothing over $50,000).

Second study or second response

Most credit card companies offer secondary coverage, which means you must have primary insurance. If you don’t already have your own auto insurance, then you will be without help. A second mortgage is like an additional policy and can also help with out-of-pocket expenses.

Think about the issues you may already have

If you own a car and have full coverage, then the coverage will continue to cover your rental car. If you have a claim against your rental car, your car insurance policy must pay for the rental car (with the exception of the same limit). The same will appear on your auto insurance record, however, which may affect your rates.

It’s out of the bag on the counter

Even if you have comprehensive and comprehensive auto insurance, you will still need to pay the rental car costs up front and reimburse the costs by filing a claim with your insurance company. In this case, you could be signing up for a credit card bill for hundreds or thousands of dollars when you return the damaged car, not knowing if you will get the money back. For this reason, many car rental companies will not accept credit cards or credit cards with small limits.

Your insurance professional can help

No matter what your trip is, before you rent a car, do your research before you sign on the dotted line. Check your auto policy and talk to your insurance professional about the options that are right for your situation.