Rental Car Insurance: 3 Common Methods That Are Used

Are you planning a vacation for the future or even taking your car into the shop because it needs some sort of repair? Whatever route you’re taking, a rental car is going to be a great option to consider. Since all rental cars are going to have to be insured, it’s essential that you get some sort of car rental insurance policy to protect your assets. Since you’re going to be liable while it’s in your possession, you’re going to have to purchase a policy.

Now, when it comes to purchasing a car insurance policy for a rental car, there are a few different ways that you can do it. Listed below are a few different avenues that you may want to consider taking:

The Rental Car Company

All rental car companies are going to offer car insurance for your rental. The only downfall to this is that most of the time, their car insurance rates are going to be relatively high compared to what you could get from your own personal policy. The only plus side to purchasing a policy through a rental car company is that you’ll be covered bumper to bumper, but obviously, it will come with a hefty price tag.

Credit Card

Most travel related credit card companies offer rental car insurance options. Now, before you get excited, you’ll want to know a few things about this. For starters, you’ll always want to verify your coverage with your credit card company. Just because the credit card documents state that you’re going to get rental car insurance, it doesn’t mean that you’re covered. On top of that, unlike most car insurance companies where they will cover you with a deductible, a credit card will more than likely throw in hidden fees on top of the deductible, not making it a great option.

Personal Car Insurance

Going through your personal car insurance broker is going to ideally be the best way to cover your upcoming car rental. Since most car insurance polices often extend coverage onto a rental car, be sure to check with your broker to see if you’re going to be covered. If you’re in the market to obtain a new car insurance quote, consider looking for a policy that will cover rental cars if you’re going to do a lot of traveling.

Now, even if your personal insurance does cover rental cars, just make sure that you know the guidelines. Some insurance companies can be strict when it comes to covering a rental car such as where you can take it, the amount they will put toward repairs and additional fees that they may charge in case of an accident.

As you can see, there are a few different routes that you take when it comes down to getting a cheap insurance policy for your car rental. While these are three of the most common methods travelers use, most avid travelers will often tell you that going through your personal car insurance is the best way to go.