Temporary Auto Insurance
If you are searching for a temporary auto insurance policy there is a very good possibility that you do not need it...
Is short term auto insurance required when you are renting out a car?
The rental car service will offer you either a loss damage waiver (LDW), personal effects insurance, liability coverage, or accident insurance. If you already have you own car insurance, you likely don't need any of these additional insurances. Just make sure to use the rental car for recreational use and not business use.
Below is a list of the 4 insurance types that the rental car service may offer you and why you probably don't need them...
Liability coverage: The liability insurance on your own policy will protect you.
Loss Damage Waiver: The collision & comprehensive coverage, which you probably have on you auto, make the LDW superfluous. Collision coverage pays for damages to the car regardless of who is at fault and comprehensive coverage pays for damage caused by things such as a thunderstorm or a collision with a deer.
Personal accident coverage or accident insurance: This type of insurance from rental car companies is health related. If you already have Personal Injury Protection (PIP), health insurance, or Medical Payments coverage, this type of insurance is unnecessary.
Personal effects coverage: This type of coverage protects from the loss of personal items or baggage. If you have homeowners or renters insurance, you likely do not need this coverage as both types of home insurance also cover belonging outside of your house.
To be on the safe side, it is best to call both you car and house insurer to make sure that both policies carry over. Or, you can just read your policy. Its likely that you'll get some type of insurance from your credit card company as well.
What if you're borrowing somebody's car?
If you have your own car and thus have the respective car insurance, you needn't worry. Furthermore, the lenders policy (as long as they give you permission to drive the car) transfers over to you. But what if you're borrowing somebody's car and don't have your own car insurance?
If you want to borrow somebody's car and do not have you car insurance, the main thing, which can hurt you, is lack of liability coverage. Yes, the lenders liability protection will cover you when you borrow their car. But if their liability coverage is not enough, you are liable for any amount, which is not covered by the lenders liability insurance. You can easily prevent this from happening by purchasing a cheap nonowners policy. As always, if you are innocent in an accident, the other person will pay for the cost to repair the lenders vehicle (although this isn't the case in some states).
If you borrow somebody's auto, who is going to pay for damage done to the lenders car? If the owner of the car has collision and/or comprehensive insurance, they will pay. You may pay if you have these two insurances. - 23211
Is short term auto insurance required when you are renting out a car?
The rental car service will offer you either a loss damage waiver (LDW), personal effects insurance, liability coverage, or accident insurance. If you already have you own car insurance, you likely don't need any of these additional insurances. Just make sure to use the rental car for recreational use and not business use.
Below is a list of the 4 insurance types that the rental car service may offer you and why you probably don't need them...
Liability coverage: The liability insurance on your own policy will protect you.
Loss Damage Waiver: The collision & comprehensive coverage, which you probably have on you auto, make the LDW superfluous. Collision coverage pays for damages to the car regardless of who is at fault and comprehensive coverage pays for damage caused by things such as a thunderstorm or a collision with a deer.
Personal accident coverage or accident insurance: This type of insurance from rental car companies is health related. If you already have Personal Injury Protection (PIP), health insurance, or Medical Payments coverage, this type of insurance is unnecessary.
Personal effects coverage: This type of coverage protects from the loss of personal items or baggage. If you have homeowners or renters insurance, you likely do not need this coverage as both types of home insurance also cover belonging outside of your house.
To be on the safe side, it is best to call both you car and house insurer to make sure that both policies carry over. Or, you can just read your policy. Its likely that you'll get some type of insurance from your credit card company as well.
What if you're borrowing somebody's car?
If you have your own car and thus have the respective car insurance, you needn't worry. Furthermore, the lenders policy (as long as they give you permission to drive the car) transfers over to you. But what if you're borrowing somebody's car and don't have your own car insurance?
If you want to borrow somebody's car and do not have you car insurance, the main thing, which can hurt you, is lack of liability coverage. Yes, the lenders liability protection will cover you when you borrow their car. But if their liability coverage is not enough, you are liable for any amount, which is not covered by the lenders liability insurance. You can easily prevent this from happening by purchasing a cheap nonowners policy. As always, if you are innocent in an accident, the other person will pay for the cost to repair the lenders vehicle (although this isn't the case in some states).
If you borrow somebody's auto, who is going to pay for damage done to the lenders car? If the owner of the car has collision and/or comprehensive insurance, they will pay. You may pay if you have these two insurances. - 23211
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For a more complete look check out Short Term Car Insurance or Borrowed Car Insurance
posted by X - Men @ 1:36 AM
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