by Guest » Tue Jun 12, 2012 12:09 pm
I got a rental last week. However, I have dented the side back door due to negligence. I'm worried about what is going to happen. Can anyone suggest me what should I do, so that I can at least stay prepared.
Posted: Thu Jun 14, 2012 03:40 pm Post Subject:
If you have insurance, it will cover the loss in excess of your deductible. If you purchased the "Loss Damage Waiver" or "Collision Damage Waiver" from the rental agency, the loss is covered. If you paid for the rental with one of the "Gold" or "Platinum" credit cards, you probably have coverage from the credit card issuer.
If none of the above apply to your situation, then you are responsible for 100% of the loss, including the lost rental income value of the vehicle while it is being repaired.
Posted: Mon Jun 25, 2012 08:11 am Post Subject:
You can use your personal auto insurance policy to cover a rental car only if your auto insurance policy provides collision, comprehensive and liability insurance. Some credit card companies offer rental coverage if you use their card for payment. Therefore, you are required to confirm with the credit card company if it offers rental car coverage as a part of its benefit package. However, people who buy collision damage waiver (CDW) can avoid paying for “loss of use.”
Posted: Mon Jun 25, 2012 10:16 am Post Subject:
You can use your personal auto insurance policy to cover a rental car only if your auto insurance policy provides collision, comprehensive and liability insurance.
This statement is misleading due to the use of the word "only". All auto policies cover liability losses that result from the damage you do to others. You do not have to have collision or comprehensive coverage in your personal auto policy in order for it to apply to a rented vehicle.
You can use your personal auto policy to cover a rental car even if you "only" have liability coverage. You just won't have coverage for collision or other-than-collision claims for which you are at fault (the same coverage and amounts as when you are driving your own vehicle). And in such a case, if your credit card won't cover those claims, then purchasing the additional daily coverages is a wise choice.
And even if you do have collision and comprehensive coverage, the total loss may not be covered. Most insurance companies resist paying the rental company's "loss of use" claim, which can leave you exposed to that loss.
One other little "gotcha" hidden in many personal auto policies: unless your insured vehicle is a truck, your personal auto policy generally will not cover damage to a rented truck (such as a U-Haul box truck, or even a Chevy pick-up truck), or damages done to others while driving the rented truck. Paying for the rental insurance in those cases is vital to your financial well-being.
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