Whether you are on a business trip or on vacation, you may have heard the question that is normally asked by rental car companies; that is if you want additional insurance for your rental car. You could say yes and buy it out of fear or turn it down, believing that you are covered for rental car purchases. However, the reality is that unless you look up your current auto insurance policy and see if you are covered, you won’t truly know and may lose out on some savings. It’s always a good idea, then, for you to call your insurance agent to get the details about your policy.
Normally, there are two cases in which you are covered by car insurance for a rental car. Both of these ideas have their pros and cons.
Having an auto insurance policy. Some insurance companies extend their coverage to rental cars as well, as long as you are taking a leisure vacation, so be sure to question this to your insurance agent. But know that whatever coverage gaps that you have in your policy will extend to your rental car, too. And if you are traveling for business, you should have your employer pay for the insurance, since your car insurance policy will not apply.
Having auto insurance protection with a credit card company. Some credit card companies can give you protection for automobiles that are rented by their credit cards. While coverage varies by credit card company, the terms and conditions of your policy may change from time-to-time. However, insurance protection usually only covers the physical damages of the car; it usually does not cover personal injuries, liability, or theft of personal belongings.
Types of Additional Auto Insurance Coverage By Rental Services
If you know that having additional coverage fits your situation, then know that there are usually four common insurance options that are given by most automobile rental companies:
Collision Damage Waiver and Loss Damage Waiver (CDW and LDW). Pays out if you lost your rented car due to theft, or if it’s vandalized or damaged from a collision.
Personal Accident Insurance (PAI). Pays out for your medical costs due to a car accident in your car rental.
Supplemental Liability Insurance (SLI). Gives you up to $1 million in extended liability coverage.
Personal Effects Coverage (PEC). Pays out for any personal belongings of yours stolen from your car rental.
Some Things To Keep In Mind With Auto Insurance
Here are some tips to keep in mind as you figure out whether you want to add on additional coverage to your car rental:
Don’t purchase the same coverage twice, if you have an auto insurance policy, unless you have coverage gaps.
Talk to your auto insurance agent before deciding to buy additional auto insurance for your car rental.
Ask the rental car company for a copy of their insurance policies.
Compare company’s price to auto insurance quotes in your area to see which one’s better.
For more information about this article, read The Rental Car Dilemma
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Filed under auto insurance price quote by on Dec 10th, 2009. Comment. 
Do you find yourself pinching pennies these days? With today’s tough economy due to inflation and job losses, it’s no wonder so many are opting for cheaper everything….from groceries to beauty supplies to pet products. Even saving a few dollars and cents on numerous small purchases can add up at month’s end. What many don’t realize is they can potentially save hundreds of dollars each year or even quarterly by shopping for cheap car insurance online.
The term “cheap car insurance” shouldn’t be used just to find the cheapest price. You should search for cheap car insurance that meets all your insurance needs without sacrificing good customer service. Cheapest isn’t always best, but you might be able to secure a premium that costs hundreds less than your current policy while offering the same or more coverage. Maybe you’re skeptical about switching insurers. Even if you’re hesitant about using a different insurer, you can still compare cheap car insurance rates online without obligation just to see what you can possibly save. It never hurts to shop around, ask questions, and study the type of coverage being offered at various premium rates.
Budgeting Made Easier
Car insurance often poses a heavy burden on finances. Many families pay their premium either monthly or quarterly. Not too many are able to pay for the year in advance to receive a discount. Quarterly bills are usually large and difficult to pay for struggling families. Car insurance may equal hundreds of dollars each quarter, causing a real panic for families who are barely scraping by.
Monthly payments are an option, but some auto insurance companies will only allow monthly payments on a direct pay basis (directly withdrawing from one’s bank account on a pre-set date). This too can cause more stress for families who are already financially unstable. Sometimes the money might not be in the account on the due date, or the family might be running behind on other bills. Does this sound like your situation? No matter what payment option you prefer or the cost, finding ways to save on your car insurance can greatly reduce the burden.
More Coverage for the Money
Cheap car insurance sometimes means more, not less. Consider all the factors that help a company determine your insurance rates. Find a company that caters to people just like you. Do you have a safe driving record with a history of driver’s training? Do you own a car with lots of safety features? Are you married or single? Do you have a teenage driver? Are you considering downgrading to a less expensive car? These factors and more can greatly affect your premium. Insurance companies tend to specialize in coverage for certain types of drivers. Find the one that caters to your needs at the cheapest rate.
Coverage through your current company may include only the state’s minimum liability while another may offer lots more liability protection at a lower rate. The same goes for comprehensive, medical payments, and collision. Some companies offer better coverage for under-insured or uninsured motorist insurance. As you shop around, you’ll notice the varying rates for different types of coverage (including various amounts paid out) among several companies. Also, keep your deductible in mind when shopping for cheap car insurance online. If you’re willing to pay a higher deductible such as $1,000 instead of $250 if an accident occurs, then your insurance premium will likely be much lower. It’s a trade-off with the odds (hopefully) in your favor.
Look for Discounts
Most car insurance companies offer discounts for a safe driving record, safety features on your car, good grades for teen students, drivers over a certain age, etc. Whatever company you choose, find out what discounts are offered and how much you can save with each one. Even saving $50 per year is worth the effort!
Don’t Settle
As you compare auto insurance rates, don’t settle for only minimal coverage. Most states require a minimum amount of liability coverage. Lenders often require liability and collision until your loan is paid in full. If you settle for minimal coverage only, you might be sorry if you do have an accident. I don’t suggest that you buy all the coverage that’s available, but do try to find a policy that offers more coverage for less money. Insurance rates may seem high until you have an accident and really do need to cash in on your investment. Then you’ll be glad you opted for a little more coverage than the required minimal amounts by your state or lender.
Some extras to look for include: comprehensive (for theft, weather damage, accidents involving animals such as deer, and fire); uninsured and under-insured motorist (for accidents in which the other driver does not have insurance); and medical payments (extra liability in case you cause an accident that injures the other driver or their passengers).
Use online resources to compare cheap car insurance companies within your state. You don’t even have to visit their office. You can simply fill out a form online, and your request for quotes will be sent to multiple companies. You’ll receive immediate quotes from some, and e-mail notifications from others.
As you compare quotes, narrow your choices to a few reputable companies that offer the most coverage at the lowest rates. Saving money by finding cheap car insurance online will ease your financial woes while putting money in your pocket!
Chris Robertson is an author of Majon International, one of the worlds MOST popular internet marketing companies on the web.
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Filed under auto insurance price quote by on Nov 29th, 2009. Comment.
When planning to apply for rental car insurance a lot of questions come to mind. These questions confuse us as to whether to apply for it or not. Furthermore, one wants to know whether the auto insurance at present covers the rented cars or not. The insurance for a rented car will cover theft or a damaged rented car and you will not be held liable for it.
When you are to apply for rental car insurance you need to consider a few things. Firstly you should check with your own personal auto car insurance and see whether it will cover the rented car or not. You should also find the auto rental insurance type that is covering you with the help of your credit card company.
It is more likely that the auto car insurance will cover the rented car if you have rented it for the purpose of leisure and not for business. The existing auto insurance coverage and the deductibles will apply to the car rented. Remember if it is providing coverage then find out the type as well. Also, check for the offers by auto car insurance as they will be less expensive than getting it from a rental company.
It is advisable to apply for a rental through your credit card. This will give you a variety of insurances depending on the bank providing the credit card, card type etc. In general, the insurance will only cover for the damaged car and not the property, personal belongings or liabilities.
These are few things that you should consider and ensure that you get firsthand knowledge before you decide to get rental car cover.
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Article Source: ArticlesBase.com – Rental Car Insurance- Should You Get It
Filed under auto insurance price quote by on Jul 3rd, 2009. Comment.