car rental insurance---

[eshort]

For you insurance brokers/lawyers out there!!!!

Im receiving conflicting advice re: is the "optional" collision and "personal liability" insurance needed for rental cars..I have "platinum VISA" which allegedly supplies "collision coverage"

I also have been told my personal vehicle "insurance" applies if/when I rent a car. (my coverages include $100/$300,000 liability and $500 deductible collision and full comprehensive).

Am planning vacation next two weeks which includes car rental--rental agency charges extra $18/day for "collission" and additional $8/day for "personal liability (property damage and medical payments)......

Are these "extra" coverages really needed?

My state insurance commissiion says NO.. ie-my personmal auto insurasnce grants full rental car coverage---my insurance broker says "yes"..he warns me about "gaps" in credit card provided insurance etc....and writes terrible scenarios if rental car damaged (ie--rental co can charge me for lost time on the car, and for full repairs at $100/hour etc etc).

As this "extra" insurance" will add approx. $275 to my rental, am wondering if i really need it--or--if it's just mucho extra profit for the rental company?

thanks.

[Clover]

I spoke with my insurance agent last month about this. You DO NOT need the extra coverage if you have collision coverage on your personal policy.

[mbossman2]

As a person who spends almost as much time in rental cars as my own car, here is my advice:

1) Make sure that your credit card offers some sort of rental car coverage and use that card exclusively when renting cars (I use my Amex) and you are covered for just about everything. Just make sure that you follow the rules if you have an accident. Your insurance company hates credit card coverage as they offer for free what he wants to charge you for so he will have all sorts of horror stories about credit card coverage. It is a load of crap, all you do is fill out the same paperwork you would fill out with your insurance company and the credit card company's insurer takes it from there, just like a regular insurance company does with you.

2) Ask your insurance agent if you have coverage for rental cars, if not then what does it cost to add, if it is cheap (and it should be) add it and you are doubly covered, especially if you travel a lot and don't want to be bothered with the location restrictions that crop up with credit card insurance (like Jamaica, parts of Mexico, other 3rd world locations and occassionally non-domestic rentals)

3) unless you are in an area that is excluded by your credit card coverage (read the policy, but Jamaica is one of several that I know of), NEVER NEVER buy the CDW offered by the car rental agency, it is so over priced and so difficult to file claims against it, you have more fun watching your money circle around the toilet bowl when you flush it that way than you do buying their coverage.

[Statica]

An addendum to the good advice before, if you are covered by your insurance policy, try to carry some documentation that attests to that fact when you go to rent a car. Or if your cc: has rental insurance but is of a non-standard color (for eg. gold and platinum's are widely accepted as offering the coverage), try to take a copy of documentation that says you are covered.
A lot of times, rental companies, upset at seeing their little source of income disappear (insurance), will ask you to show documentation. (the bigger rental companies arent an issue).

[doctorgonzo]

Never, ever pay for that crap!

First of all, your regular auto insurance policy should cover liability, even in rental cars. Check to make sure, but just about all auto insurance policies do.

Second, if you use a credit card that has its own coverage, you should get collision coverage if you follow the rules. Again, check to make sure, but you should be okay.

If you want to blow $275, buy a better vid card for your computer. Don't give it to the rental company. I would also take a second look at your insurance broker. What he said would make me nervous about his insurance knowledge.

[eshort]

Spoke with an accountant friend this AM--he agrees with you guys..he nevers buys the collision insurance..

My agenct said there are so many gaps that i could end up paying rental company loss of use fees/exhorbetant labor charghes to fix their car/ and be billed for the total cost of the rentakl car if it is damaged......he even said my personal insurance would NOT cover rentals since in effect, id be insuring two cars simultaneously with one policy!...My accountant said as long as my personal car is not in use, my personal car insurance DOES apply to another (rental) vehicle.

Ill probably decline the extra insurance----

If i have an accident-hope i can take my notebook into the debtors' prision

[glc]

I'd check with your state insurance commission, maybe the Registry would have good info - Mass. has some strange rules and laws when it comes to things like this, they were the first compulsory "no-fault" state.

[mbossman2]

I know that NY forces insurance companies to cover auto rentals eliminating the CDW in NYS for NYS insured drivers, I would have to beleive that other states would do the same.

[troysvihl]

Im receiving conflicting advice re: is the "optional" collision and "personal liability" insurance needed for rental cars..I have "platinum VISA" which allegedly supplies "collision coverage"

Once upon a time, having a "platinum" card was special and their holders were able to get all sorts of perks, like car rental insurance. Now platinum cards are a dime a dozen, and you can't take for granted that they'll have car rental insurance. In fact, more often than not, they don't.

BTW, I second the American Express cards. They're excellent because they have all sorts of perks, including car rental insurance.

ABTW, the insurance from credit cards will generally just pay for property damage, nothing else. No medical expenses, etc.

I also have been told my personal vehicle "insurance" applies if/when I rent a car. (my coverages include $100/$300,000 liability and $500 deductible collision and full comprehensive).

Not necessarily. In some states, personal car insurance has to cover rentals by law. In other states, personal car insurance covers rentals by agreement. Just call up your company and ask.

My state insurance commissiion says NO.. ie-my personmal auto insurasnce grants full rental car coverage---my insurance broker says "yes"..he warns me about "gaps" in credit card provided insurance etc....and writes terrible scenarios if rental car damaged. As this "extra" insurance" will add approx. $275 to my rental, am wondering if i really need it--or--if it's just mucho extra profit for the rental company?

No, the car rental's insurance options are a waste of cash. Sure there are all sorts of scenarios where you're exposed to risk, but that's true of any of the insurance options. Try to get insurance through your personal insurance carrier, as that will cover the most problems. Failing that, get the insurance through the credit cards; it's not quite as good, but it'll be good enough for the trip.

So when the car rental place pleads with you to buy their insurance, just jam your finger in their face and yell "That's a sucker's bet!" They'll shut up right away and hand you the keys. (BTW, that line also works at casinos when the Blackjack dealer is asking you if you want to buy insurance)

(ie--rental co can charge me for lost time on the car, and for full repairs at $100/hour etc etc).

Keep in mind that there's a difference between charging you and acctually collecting the cash. Hertz can ring up charges all day long and claim you owe them, but that doesn't mean you have to give them the cash. I'm not saying that you should screw businesses over for cash that they rightfully are due. But when they try to get cute with the accounting, don't hesitate to tell them to screw off.

My $.02. It's worth what you paid for it.

[roy66]

I take it that most of this discussion has evolved around U.S. citizens.

What options other than credit cards are available to international visitors to the U.S.?????????????

roy66