Rental Car Coverage

Recently, some rental companies have made changes in the rates and terms of their insurance coverage, adding certain conditions and restrictions that could affect coverage. At the same time, some have increased the financial responsibility of the renter to cover the full value of the rented auto. As a renter, you are seemingly faced with the dilemma of paying high rates for rental car coverage which might provide coverage, or risking up to $10,000 or more if the rented car is damaged.

If you have Physical Damage coverage on your Personal Auto Policy, most auto policies (including Central's) automatically provide coverage for rented cars under the Physical Damage coverage. You should check with your agent to determine what type of coverage your policy provides for rented cars and then decide whether or not you want to purchase insurance from the rental company.

What to look for in a car rental contract.

If you choose to purchase coverage from a rental car company, some of the things you will want to know include:

• What is the limit of your responsibility for damage to the rental car?
• Are there conditions in the rental contract that, if violated, can void the contract?
• Car rental companies can differ greatly in their contracts, sometimes from location to location. It is up to you, as the consumer, to make sure you get a fair deal.

A few helpful guidelines when you rent a car:

• Inspect the rental car for damage before driving it off the lot. Be sure the rental company is aware of any existing damage.
• Carry a copy of your insurance policy on your trip, both as proof of insurance and as a handy source of the terms of coverage in case of a loss.
• In the event of a loss, notify your auto insurance carrier or agent as soon as possible.

The policy coverages described above are in the most general terms and are subject to the actual policy exclusions and conditions. For specific coverage details and policy exclusions, refer to the policy itself or contact a Central Agent.