If you ever get involved in an accident in which you are at fault, your insurance company is required to pay for all the damage caused by the accident. In addition to the medical expenses, your insurance policy will cover the expenses of carrying out repairs. This is the reason why you have to take auto insurance.
What if you are involved in an accident, your car is undergoing repair and you are left with no other means of transportation? The first thing you would think of would be renting a car. But who is going to cover the expense associated with rental cars? Well, let’s find out.
Covering Charges Of Rental Cars?
Some auto insurance policies cover the charges of car rentals too but this won’t be the case all the time. It all depends on thetype and nature of the insurance coverage you have. These details will be usually mentioned in the fine print of the insurance policy. If you are not really sure whether your insurance policy covers rental vehicles, better go through your policy and see if there is a mention of a rental car.
Car insurance policies do not mostly include car rentals in their price. However, many offer it as an additional option in case you need it. You can expect a slight increase in your premiums if you are being offered this feature. Other companies arrange a hire car for you but may not pay for it.
The nature of the rental car is another important factor. Some insurance companies offer luxury cars while some offer basic models, probably with the option of upgrading, in case you want it in the future.
Should You Include Car Rental In Your Insurance Policy?
Your decision of including car rental in your insurance policy depends on the cost of car hire, your current circumstances and the features that are offered with the car. Your current circumstances very much influence your car rental decision. If you have two cars, you can use the second car while the first is undergoing repairs. Similarly, if you live near your office or have a friend who can offer a ride, you do not really need a rental car. In these scenarios, you will not have to include car rentals in your insurance policy.
Analyze your circumstances well before making the decision to get your auto insurance cover car rentals.