Will my auto insurance cover a rental car?

December 11th, 2009 by Lloyd Pro Group Inc.

You work hard all year long for the chance to get a way from it all on vacation. If you are flying somewhere you will most likely be needing to rent a car when you get to the airport. That raises an important question then… Should you get the extra insurance that the car rental facility strongly promotes? If you have wrestled with the this question before then be assured that you are not alone. So do you need the extra insurance  or not?

That depends…

Many GA auto insurance companies will extend your liability coverage to a car that you rent for personal use like while on vacation. Please remember that liability insurance only covers you if you hurt someone in an accident. It usually doesn’t cover damage to the rental vehicle you are driving.(Check with your agent about your specific policy)

Think about this, if you own a $20,000 car and then rent a $50,000 SUV on vacation how will your auto insurance coverage protect you for damages? The idea is to get a car that is LESS than the car you have full coverage on. Call your Nationwide agent to see if this will work for you so you don’t have to get the rental coverage!  There also may be  restrictions that apply, so it really makes sense to contact your to make sure that these restrictions  don’t spoil your family fun.

What if you do not have full coverage on your personal car?

First things first you should contact your credit card company? Why? If you pay for your rental car with a VISA or Master Card many times they will pay for the rental insurance for you! Don’t assume this as every card is different, so be sure to talk to them before proceeding.

What happens if something happens to the rental car?

If you are worried about paying for damages to the rental car then you need to get comprehensive and collision insurance. Unfortunately, your personal car insurance policy will probably not cover this, so check with your agent. Where does that leave you? Simply if you do not get the insurance package offered by the rental facility then you might be stuck paying the bill. Most rental car comprehensive and collision insurance coverage will run you about $30 a day. In other words when pricing your rental car be sure to budget for an extra $30.00 a day so you don’t have to worry later on.

Lloyd Pro Group and Nationwide insurance ave been helping families save on car insurance in Atlanta since 1985. They can be reached at (770) 381-5000 on their website at http://www.lloydprogroup.com or at their Atlanta car insurance office location on google maps.

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