by Guest » Tue Feb 12, 2013 01:15 pm
Is insurance issued to a driver or for the car? I want to go on a long vacation on road, and don't want to take my own car. So will my present insurer cover the rental too or I have to get a separate rental?
Posted: Tue Feb 12, 2013 01:57 pm Post Subject:
You need to read your policy and/or speak to your agent to see if this is covered. Some policies only extend to rentals when they are used as a temp substitute for your vehicle when your vehicle is removed from service for some reason. In some cases (I'm not really sure), that may only apply to comprehensive and/or collision and not liability coverage.
Posted: Wed Feb 13, 2013 12:43 pm Post Subject:
Actually, tcope may have it backwards. If anything, your personal auto policy liability coverage follows you into most rental vehicles, even if not a "temporary substitute" for your own auto, unless being used for commercial purposes. It's the collision and comprehensive (other than collision) coverage that may not adequately cover damage done to a rental vehicle. When there is a potential shortfall or "gap" in the coverage, it is best to purchase the rental agency's damage "waivers". Certain rental vehicles will not be covered when it comes to collision or comprehensive claims, such as a pick-up truck, U-Haul type box truck, cargo van, or an RV.
But your liability coverage is an absolute (except for that "commercial use" exclusion), regardless of whose vehicle you are driving. That has nothing to do with damage done to the rental vehicle, it has everything to do with damages you cause to other persons and their property as a result of your negligent operation of a motor vehicle. Liability coverage is required by the state, collision or comprehensive is not.
While it is not your "property", the rental vehicle is treated as if it were for purposes of liability claims. In other words, you cannot drive a vehicle not your own, damage it as a result of your own negligence, and have that damage covered as a liability loss to your policy. It remains a collision loss.
But tcope is correct when he advises you to check with your insurance company (I would not recommend speaking to the agent, because some agents don't know what they're talking about, and their bad advice doesn't necessarily obligate the insurance company to pay a claim). They will tell you what you need to do/consider doing when it comes to renting a vehicle.
If something is not covered under your personal auto policy, bite the bullet and pay for the waiver coverage. Don't be caught "pennywise and pound foolish".
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