14 JanHere’s What You Should Know Before Choosing A Car Rental Insurance
You are at the car rental company, waiting for your turn, when the salesperson rattles off a list of available insurance options for you. You stare blank-faced, intimidated by all the jargon, wondering whether your own car rental insurance policy is outdated. Avoid the pile up of bills by going through some of the holiday tips listed at www.theguardian.com/money/2017/jun/24/holiday-car-hire-avoid-add-ons-cost-stress.
Car Insurance Options
Here’s what you will hear about:
· Collision Damage Waiver
This is an optional insurance coverage that is provided by car hire companies. This form of insurance is often looked as a form of waiver to make the renter pay for the damages incurred on the car. This means they are held liable in case of any damages.
· Liability Insurance
It includes the property insurance and the bodily insurance that covers you in case of any damage to property or human life.
· Personal Accident Insurance
All the medical expenses and hospital bills are covered for the passengers in the rented car.
· Personal Effects Coverage
If you lose any personal belongings, this insurance covers you for the losses.
Cost Of Rental Car Insurance
Each car rental company has different costs and conditions. You might end up paying $30 for a collision damage waiver, while a liability insurance will require you to cough up $10. The accident insurance and personal effect insurance will see you spending another $5 respectively.
The daily tab will come up to $40 in order to be fully insured by the car rental firm. This is not easy on the pocket, taking into consideration that you can rent an economy car at a lower price.
Is A Car Rental Insurance Meant For You?
If you are tempted to get away from the pushy salesperson, stop for some time and ask yourself these questions.
1. What does your regular auto insurance offer?
If you are covered by a car insurance policy, follow these steps.
· Your regular insurance policy will help you pay for the property damages or accidents. The liability insurance can be carried over to rental cars as well. If you are happy with the type of coverage provided, you do not have to get overwhelmed by any fancy sales talks.
· Comprehensive coverage
Most of the old cars come with a complete coverage against all calamities. This includes non-driving disasters like theft or loss of personal belongings. A collision coverage pays for the damages. Why not skip the rental company’s offer by going through your auto insurance policy?
However, do note that you are likely to be penalised by the car hire company if you damage their vehicles. The logic is that the company would have earned profit by renting out the same car while it was being repaired.
2. Health Insurance Policy
If you have a medical insurance policy, it is best to avoid the rental firm’s offer. Your usual car insurance is sufficient to provide you with the necessary coverage.
3. Home Insurance
Decline the company’s offer to personal effects coverage if you have a home insurance policy. It covers all your personal belongings, no matter where you take them.
4. Travel Insurance
Find out if car rental collision is covered in your travel insurance.
These are points to keep in mind when you plan to hire rental cars..