The last time you rented a car, you may have been pushed towards getting some pricey insurance to cover the rental car or yourself in case of an accident or other damage. The rental clerks can be quite persuasive and make it seem like you will be out of a lot of money if you don’t cover yourself. But, is that extra insurance really necessary?
In most cases, rental car insurance purchased from the rental company is simply not needed. You should definitely confirm this with your own insurance company, but generally speaking, the insurance you already carry will cover you in the event of an accident or damage to your rental. There are certainly exceptions to this situation. For one thing, you may not have the adequate coverage or your own policy if you drive an older vehicle and only carry liability insurance. Also, most coverage will not last if you plan to rent a car for over 30 days or so.
Another level of protection for you and a rental car is you credit card. Most companies will provide some coverage if you reserved and paid for the rental using the credit card. You will find they cover damage or loss of the rental car, but usually only above and beyond your own car insurance. That is, if you don’t have comprehensive or collision insurance and the car is stolen or in an accident your credit card may kick in to provide the coverage you need.
Of course, you should always contact your insurance company as well as your credit card company in order to verify exactly what is covered when you rent a car. Doing so will likely save you some money and leave you better prepared to decline the rental car companies pricey extras.
