A common question we see from drivers pertains to whether or not they need insurance to rent a car and the answer is absolutely yes. Yes, you are going to need coverage to rent a car, and sometimes the insurance you have on your own vehicle might be enough. We’re going to go over a few of the steps that you need to take if you want to ensure you’re doing it right and that you are properly covered. You might be under the impression that you are automatically covered when you rent the vehicle, and in some cases that is true, but it never hurts to ask questions.
Talk to your Insurance Company First
You might have rental coverage in your current package if you already own a motor vehicle with a policy in Florida. If you have adequate insurance on your own car, including collision and comprehensive, this may be enough. Something to keep in mind is that the coverage you have on your own car will typically reflect upon the amount of coverage that you have with the rental. So, for instance, if you have comprehensive and collusion coverage for yourself, then the rental vehicle that you obtain will be covered if it is stolen or damaged. If you lack that coverage however, so will your policy on the rental.
Ask About a Collision damage Waiver
A Loss Damage Waiver, or Collision Damage waiver could be put into play which will completely relieve you of financial responsibility. The thing to remember however is that a CDW does have limitations. For example, it could be voided if you commit the following acts:
- Driving on Unpaved Roads
- Driving While Intoxicated
Be prepared to pay for this type of coverage as it can cost up to $20 per day. Additionally, if you happen to have comprehensive and collision coverage on your own vehicle, then you most likely will not need to purchase a CDW. Make sure you ask the rental company about this!
By law, all rental companies are required to provide liability coverage of up to $1 million but it usually does not provide much protection in the event of a serious accident. You can also consider foregoing this one if you already have decent liability coverage on your own vehicle. That’s a good way to save $10 per day, and if you really want to be cost effective, think about purchasing non-owner liability insurance for about $300 per year.
Personal Effects Coverage for Theft
Before you rent a car, consider purchasing personal effects coverage. It might seem unnecessary but if you are carrying valuables then you should consider the possibility of them being stolen and protect yourself accordingly. This is a cheaper type of insurance to carry with a car rental, but it can be quite worth it. Read more about insurance for rental cars by clicking here.
Insurance coverage for your rental car will go a long way toward protecting you, your passengers, and anyone that you encounter on the road. As always, we would recommend obtaining as much coverage as you possibly can to ensure that the vehicle itself is covered in the event of an accident, but it is ultimately going to be up to you. The right coverage will get you on the road, but it certainly won’t break the bank! If you have any other questions regarding coverage, feel free to give us a call and find out more about the packages we offer for rental cars.