Rental Car Insurance

What You Need to Know About Rental Cars and Insurance

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Understand how your auto insurance helps you when renting a vehicle.

Despite the rise of ridesharing services such as Uber and Lyft, the demand for rental cars continues to soar. The most common scenarios for needing a rental vehicle are replacing your primary vehicle after an accident and driving a car while traveling away from home. Learn how your car insurance supports you with renting a vehicle after an accident or while sightseeing on holiday!

After an Accident

While a breakdown or auto incident isn’t ideal, you can prepare yourself for the unexpected. An accident shouldn’t hinder your day-to-day life. You’ll need a vehicle to go to work, run errands, and keep scheduled appointments. A rental car steps in to help you carry on your life as normal when your car is out of commission.

If you have Collision and Comprehensive coverage on your vehicle, your Transportation Expense (or Rental Reimbursement) Coverage will help to cover the price of a rental car after a comprehensive or collision loss. Although, if you only carry Comprehensive coverage, your Rental Reimbursement coverage will only kick in for a comprehensive loss, not for a collision loss. Furthermore, your Rental Reimbursement coverage may not provide the total amount of the cost of the rental vehicle. Even though you drive an SUV, your coverage may limit you to rent a compact car. If a smaller car would hinder your daily activities, take a look at your insurance policy to decide whether to increase coverage!

Renting on Vacation

Depending on where you travel and what type of car insurance coverage you have, your auto policy may cover your rental vehicle. Typically, you’ll need to be traveling within the United States, its territories, Puerto Rice or Canada to qualify for rental coverage through your auto policy. If you have collision coverage too, then your holiday travels may be protected by your current policy. Talk to your agent to find out more!

For all of your auto insurance inquiries, including rental car coverage, please contact your team at Hoffman Brown Company in Sherman Oaks, California. We are happy to of service!

COVID-19 Update:

The Coronavirus, officially COVID-19, has become a global health emergency. One of the measures Hoffman Brown Company has taken to keep our CLIENTS and Teammates safe was to design a complete virtual work environment. For the foreseeable future, our colleagues will be conducting business virtually to avoid any disruption in our ability to serve you. These measures are based on the CDC’s guidance and will evolve with the situation. Please know that we are fully functional, available and look forward to being of service.