What Does Rental Car Insurance Coverage?

Today we’re talking about what rental car insurance covers. There are several components of rental car insurance, each of which applies in a different situation and must be purchased separately. Today, we’ll go over the 4 most common components of rental car coverage. 

The first component of rental car insurance is a collision damage waiver. A collision damage waiver may help cover the cost of repairs if your rental car is damaged. This waiver usually does not cover damage from speeding, inclement weather, or driving on unpaved roads, however. Collision damage waivers may also exclude certain parts of the car, like the tires or windshield.

The second component is rental car liability coverage. Rental car liability insurance helps protect you if you injure someone or damage someone else’s property while driving. Liability insurance does not cover damage done to the rental car nor injuries sustained by you and your passengers. Normally, state minimum levels of liability coverage are included in rental car liability insurance.

The third component of rental car insurance is personal accident insurance. Personal accident insurance helps pay medical bills for you and your passengers if anyone is injured in an accident. Finally, the last type of rental car insurance is personal effects coverage. Personal effects coverage helps cover personal items if they are stolen from your rental car. Expensive items like computers and cameras may be subject to limits and exclusions. Before you purchase rental car insurance, be sure to check your personal auto insurance and credit cards to see if they cover rental cars. I hope you enjoyed this session on everything you need to know about What Does Rental Car Insurance Coverage?. So always be sure to contact a professional before making any financial decisions.