Does My Personal Auto Policy Cover Rental Cars?

We frequently get calls from customers wondering if their rental vehicle is covered by their auto insurance policy while on vacation.

If you have an Auto-Owners personal auto policy, it has specific coverage provisions that address whether an accident in a rental vehicle is covered. Let’s look at common example:

You take a vacation to Las Vegas and rent a car. How does coverage extend from your car to a rented car while on vacation? Under a Auto-Owners personal auto policy, if you have comprehensive and collision coverage, it carries over to a rental vehicle.

Liability coverage (coverage for another person’s medical bills or damage to another person’s property) extends only to the insured(s), a spouse, relatives who live with the insured, and anyone the insured gives permission to use the rental vehicle.

Physical damage coverage (coverage for the rental car if it is damaged or stolen) applies only to the insured(s), spouse, and relatives who live with the insured.

The broadest or best coverage from any vehicle on your policy extends to the rented vehicle. In other words, as long as one of the vehicles on your policy has both liability and physical damage coverage, the car rented on vacation will have those same coverages. If coverage can be extended to the rental vehicle it is not necessary to purchase the damage waiver from the rental car company.

The Auto-Owners policy is broader than the industry when it comes to rented vehicles regarding what is covered. If you have questions on this coverage, please give D. Ward a call at 770-974-0670.

Keep in mind that it will be important to understand why the vehicle is being rented and who will be driving it, as these facts are important in determining if coverage will apply for a potential claim.  

D. Ward Insurance would be happy to answer any questions you may have about personal auto policies or to begin the process of getting a personal auto policy for yourself. Call us today at 770-974-0670 or click the button below to request a quote. We look forward to doing business with you!

Disclaimer: This report is for information purposes only and is not to be construed as definitions of policy coverages or limits. This report does not alter, amend, or change the policy wording and the intent of this report is to bring attention & to have a conversation with D. Ward about your insurance needs.