How To Figure Out If You Need Car Rental Liability Insurance

The car rental industry has gained enormous popularity over the past twenty years and it is quite common for Americans these days to rent a car for a short period of time when taking a long trip or going on vacation. One question that people always wonder about when renting a vehicle concerns the need for car rental liability insurance - people are always wary of whether or not they need this coverage. On the surface, it seems like a scam and at times it can be. Most of the time it is better to get this type of coverage from a company other than the one you’re renting the vehicle from, and to check car rental liability insurance rates from local providers in your area, click here to visit New York Car Insurance for free quotes.

So how do you figure out if you need liability insurance and if so, what is the best way to go about purchasing coverage? Let’s address the need part first. If you are going on vacation or taking a long trip where you will be driving at least 30 miles per day, I highly recommend you purchase some sort of liability coverage. The reason being is that if you are involved in an accident while operating a rental car, not only are you responsible for the cost of replacing or repairing the car itself, the rental company will also often hold you liable for the income they lose for the time they cannot rent that particular vehicle to another customer. So, although driving 30 miles/day may not seem to warrant the need for coverage, trust me the peace of mind knowing that you’re covered in an incident has greater rewards than the risk you’d be taking without it.

Now that you’re sold on carrying a liability insurance policy when traveling or vacationing, let’s talk about the best way to purchase this type of coverage. Often times, you can extend the coverage from your normal policy over to any vehicle you operate (including rentals) if you simply let your current provider know the details of your vacation beforehand. This may be the best and cheapest way to obtain this type of coverage. Other times, your credit card company will offer some sort of coverage but you have to know the nitty gritty details of this agreement as there are usually strict limitations on what they will cover. Last but not least, you could always purchase car rental liability insurance from the rental company itself. Be sure to shop around and try to negotiate the rates as the price of this insurance could drive your rental cost up as much as 40%. If you’d like to shop around for car rental liability insurance rates in your area, click here to compare quotes from New York Car Insurance. Thanks for reading and drive safely!

More by this Author


No comments yet.

    Sign in or sign up and post using a HubPages Network account.

    0 of 8192 characters used
    Post Comment

    No HTML is allowed in comments, but URLs will be hyperlinked. Comments are not for promoting your articles or other sites.

    Click to Rate This Article