Does Your Auto Insurance Cover a Rental Car? 

Even if you own your vehicle and maintain suitable auto insurance, there may be times when you choose or need to rent a different vehicle.

Whether your car is in the shop, incapable of performing certain tasks or you need a rental for other reasons, you must be diligent in ensuring that you have appropriate coverage for your temporary vehicle.

At First Priority Insurance Agency , we’re ready to help you approach this subject.

What is Rental Car Insurance?

Rental car insurance is often included in a personal auto insurance policy. This component of your coverage can transfer various financial protections cast over your own vehicle to other automobiles you might rent, including the following:

• Liability coverage for third-party losses for which you’re at fault while behind the wheel

• Collision coverage for damage sustained by a rental vehicle in crashes with other cars or stationary objects (e.g., buildings and signposts)

• Comprehensive coverage for noncollision-related losses, such as those caused by criminal activity, fires, severe weather or falling objects

• Medical payments coverage for health care costs incurred by you and your passengers if involved in accidents, regardless of fault

When Will Personal Auto Insurance Cover Rentals?

You’ll need to check the specifications of your auto insurance policy and work with your agent to understand the exact capabilities and limitations of your coverage regarding rented vehicles. Personal auto coverage can often apply the same coverage limits and deductibles for rentals, but certain exceptions may exist.

If you don’t have a personal auto insurance policy, you’ll be required to purchase coverage through your rental car company. Third-party liability coverage is typically mandated, with additional options, such as collision coverage and comprehensive coverage, also available.

You should also consider varying insurance requirements across state lines and international borders. For example, if you’re planning a road trip to Mexico, you’ll likely need to purchase a Mexican auto insurance policy for your vehicle, regardless of whether you own or rent it. Your personal auto insurance policy will not provide coverage across the border and you’ll be in violation of Mexican laws unless you secure appropriate rental car insurance.

We’re Here to Help

Contact First Priority Insurance Agency today to learn more about coverage options for rental cars or to compare personal auto insurance quotes.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.