Does My Auto Insurance Cover Rental Cars?

If you have full coverage auto insurance how would it cover rental cars? This is a frequently asked question. Buying car insurance for rentals from the hire company is so expensive that you may want to make alternative arrangements beforehand.

A standard auto insurance policy with full coverage will cover rental automobiles the same way it covers your own car. If you have an accident you will need to pay your usual deductibles. Buying coverage from hire companies is not economical to say the least. Nonetheless, check with your auto insurance provider especially when the situation is a bit different. For example, some companies will not cover commercial rental vehicles like Uhaul trucks or vans.

Also, some companies may have restrictions on why type of cars you can hire. For example, would they cover a sports car you are taking for a spin in your holiday? Would they cover a luxury car that is 10 times more expensive than your own. If you are looking to rent something a bit different or exotic you should call your insurer first and check if they will insure this rental vehicle the way they insure your current auto. You need to be sensible and reasonable about your actions.

By the way, some credit cards may provide you rental vehicle insurance coverage as well if you pay with them. Usually, they are secondary to your own insurance and any coverage you bought from the hire company. But they may be handy if you don’t have any insurance and they may pay your deductible in a claim you put with your insurer.

Furthermore, if you have only liabilities coverage you may be able to buy the rest from the rental company rather than buying the whole coverage from them. Many people buy non-owner auto insurance just for this purpose.

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