Planning to rent a car for a weekend getaway or business trip? You might be wondering if your personal auto insurance has your back if something goes wrong. Let’s break down what you need to know about rental car coverage!
Does My Auto Insurance Cover Rentals?
In many cases, your personal auto insurance can extend coverage to a rental vehicle, but this depends on your policy and the type of coverage you carry. Here’s how it typically works:
- Liability coverage: If your policy includes liability coverage, it usually extends to a rental car. This means if you cause an accident, your insurance can cover damages to the other driver or property.
- Comprehensive and collision coverage: If you have these coverages on your personal vehicle, they may also apply to rental cars, covering damage from accidents, theft, or vandalism.
- Personal injury protection (PIP): This coverage helps pay for your medical expenses if you’re injured in an accident, and it usually applies to rental cars as well.
Claims Scenarios
- Scenario 1: You’re driving a rental car in Southern California, and someone rear-ends you at a stoplight. Your personal auto insurance’s collision coverage may take care of the repairs to the rental car.
- Scenario 2: You accidentally bump into a parked car while trying to parallel park your rental. If you have liability insurance, it can cover the damage to the other car.
Should I Get Rental Car Insurance?
While your auto insurance may offer coverage, there are times when purchasing the rental car company’s insurance might make sense:
- Higher deductible: Your personal insurance may have a high deductible, so rental car insurance could save you from paying out of pocket.
- Temporary coverage boost: Rental companies often offer collision damage waivers (CDW), which can help avoid out-of-pocket costs if you’re involved in an accident with the rental.
Before you sign on the dotted line for rental car insurance, review your personal policy. At Grace First Insurance Agency, we can help you understand your coverage and determine whether you need that extra insurance for your rental. Let’s chat and keep you driving worry-free! Give us a call at 714-968-8008.
