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WILL MY POLICY COVER ME DRIVING A RENTAL CAR?

Will your insurance extend to cover you while driving a temporary replacement vehicle? The correct answer is yes and no. Although most auto contracts will extend your coverage while operating a temporary substitute vehicle, there are four areas most all auto insurance policies will not extend coverage:

• Loss of use
  • In the event of an accident while driving the rental car the rental agency will likely continue to charge a daily rate pending repairs that would not be covered under most all auto insurance policies.
• Storage Fees
  • The rental agency may charge a daily storage fee pending repairs that would not be covered under an auto policy.
• Administrative Fee
  • The rental agency may charge a fee to administer the claim that would not be covered under an auto policy.
• Diminished Value
  • This is a big one! If you rent a $30,000 rental car and involved in a $13,000 accident the diminished value to the rental car could be as much as $6,000 that would not be covered under most auto policies.

 
The only contract I’ve found that will pick up these four areas is MetLife. It’s for the above reason’s I would encourage you to accept the rental agency insurance.

Thank you for your question. Should you have any additional questions, please know your phone call or email is always welcome.

Thank you for this opportunity to serve your insurance needs.

Thank you for your business!

Vance