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Renting A Car: Rental Car Insurance

Whether you’re in an accident and need to rent a car or you’re simply renting a car to use for a trip, there are things you should be aware of before choosing a specific rental car. Use the suggestions below to make better financial choices when it comes to renting cars.

When you purchase auto insurance coverage you can choose to select having rental coverage for a period of days if your car is in an accident. Rental car coverage is additional coverage and will add to the cost of your premium.

If you have rental car coverage that you purchase as part of your auto insurance policy and you’re in an accident it usually includes a daily rental allowance for some dollar amount. You’ll want to be sure you get the best daily rate in renting a car so that you don’t exceed that allowance.

Coverage for rental cars under your existing auto insurance policy in case you’re in an accident is usually confined to 30 days of rental so that you’ll have to arrange for alternative transportation after that period of time.

If you are renting a car you may have to purchase insurance from the car rental agency. While most advice tells you generally you won’t have to purchase additional auto insurance this is not the case if you just carry liability insurance. Rental car agencies will require you to carry collision on their vehicles while you rent the vehicle to protect their property.

If you have collision insurance coverage you don’t usually have to buy separate collision insurance from your car rental retailer.

Your rental car agreement can impact your insurance coverage so you must comply with that agreement. Specifically this comes into play when individuals allow others to drive a rental car which violates most rental agreements. Do not allow someone else to drive a rental car that is rented in your name, because if something happens from a ticket to an accident, you may find yourself liable for property damage as well as remedies provided in your rental agreement available to the rental car company.

If you are renting a car outside the United States your car insurance policy will not cover your driving abroad. When you rent a car abroad pay for insurance coverage in the place you are going to be driving the car.

There are some US car insurance companies that provide coverage if you’re driving in Canada or Mexico. Before renting a car for you intend to take to Canada or Mexico if you have collision coverage under your auto insurance policy determine whether it covers you outside the US. If you don’t have insurance coverage that applies outside the US make sure you purchase that insurance from the car rental company.

Take photographs of the car you rent when you rent it and when you return it in order to confirm its condition to avoid unnecessary arguments about property claims and insurance coverage.

Renting a car involves additional auto insurance concerns for drivers. Use the tips above to better understand costs involved in renting a car.

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