Rental Car Coverage in Travel Insurance

It’s not uncommon to rent a car when going on a vacation or taking a business trip. However, what would happen if you got into an accident in your rental vehicle? Would you be responsible for paying for the damage, or would your insurance coverage take care of it? And if so, which insurance is responsible? Will your travel insurance cover rental car accidents? Let’s explore those questions and answer them.

The Basics of Rental Car Insurance

Every rental car has to be insured in some way or another. Certain rental car companies may require you to show proof of a personal auto insurance policy. Others require no such proof if you have a credit card. No matter the case, the car rental company will almost always try to sell you rental car insurance directly. Certain rental agencies may require you to buy this coverage, and others may offer it optionally depending on what other coverage you have. Some personal auto insurance policies also offer rental car insurance, as do certain credit cards, and even travel insurance plans, which we will discuss. 

The important thing is not to assume you have coverage. Make sure that either your personal auto policy, your credit card, or your travel insurance plan offers sufficient rental car coverage. If it doesn’t, buy insurance coverage from the rental car company at the rental counter. The last thing you want to do is be stuck with a huge bill because you got into an accident and you weren’t insured like you thought you were.

Does Travel Medical Insurance Cover Rental Cars?

In a word: No. None of the travel medical insurance plans or visitors medical insurance plans we sell offer any kind of rental car coverage. These plans are primarily focused on covering you for new, unexpected medical issues that occur after the effective date of the policy. If you need rental car coverage, you will need a travel insurance plan. 

Which Travel Insurance Plans Offer Rental Car Coverage?

We offer a number of travel insurance plans that can provide rental car coverage either as part of their base coverage or optionally. They can provide between $25,000 and $50,000 in rental car coverage depending on the plan you select. 

How Rental Car Coverage in Travel Insurance Works

Rental car coverage in travel insurance provides coverage for physical loss or damage to a rental vehicle during a covered trip. It generally does not provide liability coverage for damage to any other vehicle, property, or people.

Certain vehicles are usually excluded and you would need to file a report with the police and the rental car company.

You should also keep in mind that rental car coverage through a travel insurance plan may be subject to geographic restrictions. Certain plans we offer are not valid in certain states, so be sure to read the policy documents before purchasing. 

Other Things to Keep In Mind

If you already have rental car coverage, you may still be able to benefit by having it through your travel insurance as well. You will simply need to file a claim with each insurance provider, and they will hash out which company covers which amount based on who is the primary or secondary insurer in the situation. 

However, if you do not already have rental car coverage through another means, it pays to do some research before spending more on a travel insurance plan to get it. Take some time to determine whether the rental car coverage offered by the travel insurance plan you’re considering fits your needs as well as the coverage you can get through the rental agency, your credit card, or your auto insurer. Whichever method offers the best combination of benefits for the price is the one you should select to cover your rental car.

Although we certainly want to sell you travel insurance coverage, we also want you to get the best insurance coverage for your needs. Virtually no one buys travel insurance for rental car coverage alone. Rather, they purchase it for valuable primary benefits like trip cancellation coverage and emergency medical coverage. Rental car coverage is more or less an extra bonus in travel insurance that may or may not suit your needs or be worth the extra money (if required) depending on your situation.

If you’re considering a travel insurance plan with rental car coverage but you aren’t clear on which would be the best choice for you, our licensed agents would be happy to help. Just give us a call or send us an email and we would be glad to explain the best options for your needs.