Should You Buy Extra Insurance On That Rental?

April 6, 2017 10:49 am

When renting a car, it can be difficult to know whether you need to purchase rental insurance coverage from the rental company.  Unfortunately, there is no easy answer that applies to everyone.  For some, purchasing coverage is a necessity.  For others, the purchase is a waste of money.  Whether you are covered, and for what and how much, depends on the coverage you have under your personal automobile insurance policy or the credit card you use to pay for the rental.  Do not wait until after an accident to ask the question, “am I covered?”  At that point, it is too late.  Before you rent, and decline to purchase the rental insurance coverage, check your personal car insurance policy, talk to your insurance agent, or talk to your credit card company, to ensure that you will be covered.  Not all personal car insurance policies provide rental car insurance coverage.  Coverage may depend upon where you are going.  Further, your policy may provide limited coverage, such as for liability and no-fault benefits, but not provide coverage for damage to the rental vehicle or provide uninsured/underinsured motorist benefits.  The key is to know your options, ask questions, and familiarize yourself with the available coverage.