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Learning, Sharing, and Teaching => Ask a Mustachian => Topic started by: Jazzpolice on April 03, 2015, 07:29:00 PM

Title: Are rental cars covered under liability only insurance??
Post by: Jazzpolice on April 03, 2015, 07:29:00 PM
Does anyone know if a rental car is covered under an insurance policy with liability only?  Called the insurance company but didn't get a straight answer…was told "whatever coverage you have is what transfers onto rental cars"   
Thanks if anyone's aware of this

Title: Re: Are rental cars covered under liability only insurance??
Post by: iamlindoro on April 03, 2015, 07:39:44 PM
Usually not.  However, usually you get basic liability coverage as part of your rental. And if you have a good selection of credit cards, check into what protection is offered under those when you rent a car with them.  For instance, the Chase Sapphire Preferred offers primary coverage for all rental cars, up to the full replacement cost, for those booked on the card.  There are others with similar perks.

Also remember that insurance is the major add on purchase sold to your by rental agencies.  They are most definitely trying to sell you something, and any insurance advice you get from them is for their benefit, not yours.  So (as you appear to be doing) do your own research and don't trust the agency. :)
Title: Re: Are rental cars covered under liability only insurance??
Post by: Ohio Teacher on April 03, 2015, 08:11:58 PM
All Visa credit cards carry this protection: http://usa.visa.com/personal/card-benefits/credit-card/collision-waiver.jsp#anchor_6 .  You just decline the coverage the rental car company tries to sell you.  There's even a FAQ on the previous link for if the company won't take no for an answer.  Your own insurance coverage is irrelevant.
Title: Re: Are rental cars covered under liability only insurance??
Post by: Lyngi on April 03, 2015, 09:36:30 PM
We have called our insurance agent and asked them to add comprehensive for the month in which we rent a car.  Also, use the Visa to pay for it.  Visa has better protection than Discover according to research I did research last year.  We rented with Visa.  Dad rented with Discover.  YMMV.
Title: Re: Are rental cars covered under liability only insurance??
Post by: Exflyboy on April 04, 2015, 01:03:57 AM
So we are going to the UK this Summer and it implies our visa (Chase freedom card) offers full coverage.. but then says something vague about "check with the plan administrator to ensure coverage"

Well.. who teh heck is the plan administrator.. i.e how can I find out if we are covered?

Title: Re: Are rental cars covered under liability only insurance??
Post by: Ohio Teacher on April 04, 2015, 03:13:14 AM

Well.. who teh heck is the plan administrator.. i.e how can I find out if we are covered?
1-800-847-2911
Title: Re: Are rental cars covered under liability only insurance??
Post by: Retired To Win on April 04, 2015, 06:46:10 AM
Does anyone know if a rental car is covered under an insurance policy with liability only?  Called the insurance company but didn't get a straight answer…was told "whatever coverage you have is what transfers onto rental cars"...

I see that as a very straight answer.  Which means that, in your case, what your auto policy will cover for a rental car is liability only.  Rental companies will want more coverage than that.
Title: Re: Are rental cars covered under liability only insurance??
Post by: Paul der Krake on April 04, 2015, 07:03:26 AM
Does anyone know if a rental car is covered under an insurance policy with liability only?  Called the insurance company but didn't get a straight answer…was told "whatever coverage you have is what transfers onto rental cars"...

I see that as a very straight answer.  Which means that, in your case, what your auto policy will cover for a rental car is liability only.  Rental companies will want more coverage than that.
That's what the lady from Allstate also said when I rented a car. The rest of the coverage came from the credit card company. What I find interesting is that my liability coverage at the time was the state minimum for NC, which are significantly lower than the state I was renting the car in. HAd I gotten in a major accident it would have been a nightmare.