Rental Car Insurance - Is Your Own Auto Policy Good Enough?

Summer is coming, and if you're thinking about renting a car for vacation, you will be asking the age old question - "Should I buy auto insurance from the rental agency," The answer is - it depends. If you do your homework before you reach the rental counter you can save yourself a lot of money. It really does not take much time, because while you are shopping for good deals on rental can also be checking out the security situation.

In fact, your first call for a rental car will be the rental agency, but his insurance agency. Need to know the extent of your auto insurance coverage. Most auto insurance policies will extend to rental cars, but insurance experts recommend asking about two things - Collision Damage Waiver and responsibility. Also, if you are leaving your teenager is driving some of the rental car, ask your agent and rental agency coverage.

Casco, or CDW (as it often appears on the rental contracts) cover damage to the car you drive and liability covers damage you do to someone else. You must ask your agent if there is a limit on collision insurance. If you regularly drive an older car, but rent a brand new luxury car (remember, sometimes if the car is available, you can upgrade to one of these types of vehicles for free), make sure your personal insurance policy will cover the entire cost of replacing more expensive car. If your policy does not cover the cost of replacing your car is worth $ 2,000 and you total lease worth $ 20,000, you are on the hook for $ 18,000.

Often, consumers who drive older cars do not carry collision at all. If this is your situation, you need to buy a policy on the rental counter or use a credit card that will give you this coverage. Consumer advocates recommend renting a car if you can often get an estimate from your agent on the policy cover you because it might be cheaper.

Now, about that credit card .... Many major credit card companies say they will provide insurance coverage if you use their card rent a car. Read the fine print because they do not always provide full coverage. Some cards only cover you if you rent from a particular agency, some limits on coverage for certain types of cars, some of you must enroll in the program to coverage, one can catch you admit you would have to pay under the regular auto insurance, while others can only provide collision and comprehensive and leave you hanging for personal injury or property damage to others. Read the fine print or call and ask the credit card company. Additional advice here - get it in writing what your credit card covers

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What about insurance car rental company offers? Again, you'll find exactly what they cover. Some car rental agencies offer collision, liability, contents and life insurance and others offer some version of the collision. Their impact can cover all or may exclude something like tires, wheels and glass. Find out in advance, so you can get in the rental counter feeling rushed and trying to make these choices. If you are concerned about things stolen from the car - check your homeowner policy to see if you are covered

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Finally, some people think if you use a rental insurance company, and they have an accident, they are protected from rate increases from the insurance company. You are not protected. According to some large insurers, if you're wrong, no matter who pays, your home insurance company can raise your rates.