Do I Need Rental Car Insurance

Do I Need Rental Car Insurance

I’m Chuck Philips, a personal injury attorney practicing in New Port Richey, Florida with satellite offices in the surrounding areas. We are frequently asked, ‘Should I buy rental car coverage went I rent a car?’  It’s a very good question and not a simple answer.  It depends on what you have on your automobile insurance policy and what coverages under that policy will cover you in a rental car.

So the first rule of thumb, talk to your agent.  But I’ll tell you what I do. When I rent a car, I purchase Loss Damage Waiver Coverage. Even though I have bodily injury liability coverage and I have collision coverage, those fall short of protecting me if I’m in an accident and there is damage to the rental car.  My collision coverage will pay for the damage but it will not pay for my deductible nor will it pay for the time that that  rental car is down and out either being repaired or is a total loss, meaning you become responsible for the loss of rental charges that that company is losing on that rental car when it’s out of service.  Lastly, they’re going to hit you with diminishment of value which means the lesser value of that vehicle now that it’s been involved in an accident versus what it would’ve been valued at if it hadn’t been.  Those are all personal damages that you’ll have to satisfy.

We had a client one time that owed thousands of dollars in an accident even though he had a policy of his own just because he didn’t buy this valuable coverage. That’s why I buy it now.  So if you have any questions concerning what rental coverage you need on a rental vehicle, call your agent. And then, if you have any other questions concerning this or any other legal matters, call my office.  We’re always here for you.