Whether for vacation transportation or a temporary ride, you probably will end up renting a car. You might be uncertain about what financial responsibility you have in the case of an accident. You can ease your fears with rental car coverage offered by the rental company. This coverage usually acts in concert with your personal car insurance, so check your policy carefully before paying for additional coverage you might not need.
Most rental companies offer liability coverage for purchase, to cover damage to other vehicles or property if you have an accident. This coverage usually works in conjunction with liability coverage you have on your personal vehicle. This supplemental coverage does not pay for damage to the rental car in the case of an accident. If you do not have any or adequate insurance on your personal car, you should consider this coverage option.
Personal Accident Insurance
This type of rental insurance offers a one-time payment if you are responsible for the death or injury of another person. It does not cover property damage. This coverage is recommended if your personal auto insurance policy does not cover death or injury. This policy will not cover medical expenses for you or for any passenger in your car.
Personal Effects Coverage
Personal effects coverage pays for personal items stolen from the rental vehicle while it is in your possession. This coverage is recommended if your personal policy does not cover theft. Limitations, or caps, may be placed on the monetary amount of the claim. Carefully review any limitations on the policy before purchasing.
Rental car insurance often is available through your credit card company, sometimes for free as a benefit of the card. This insurance might provide liability, theft or even comprehensive coverage, depending on the company; most don't cover death or bodily injury. Make sure you understand what the policy covers. Ask your credit card company to send you a copy of the policy. You probably have to use the credit card to rent the vehicle in order to be eligible for the coverage
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