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Does My Auto Insurance Insure a Rental Car?

rental car auto insurance coverage

While most California drivers are familiar with rental reimbursement from their car insurance, many people still wonder if their car insurance covers the car they rented. If you are in an accident while driving a rental car, insurance coverage isn’t always the same as if you are driving your own car. This varies depending on your auto insurance policy and what kind of coverage you may have. Here are common questions to rental car insurance coverage:

Does My Auto Insurance Plan Cover A Rental Car?
With most car insurance plans in California, yes, your insurance plan would cover you while you are driving the rental car itself. You may not receive identical coverage, this would depend on the rental car you are driving, and your auto insurance provider.

Does Rental Reimbursement Insure the Car?
Rental reimbursement within auto insurance plans typically is meant to cover the cost of renting a vehicle while your car is being repaired. If your car needs extra time for repairs, this is where a rental car may be necessary. If you are in an accident while driving the rental car, this is not the same type of coverage.

What Kind of Coverage Do I Have For the Rental Car?
Typically, your car insurance provider would cover you for Liability for third party vehicle damages. Also, PIP can cover yours and others’ medical bills from a car accident. If you are in an accident, your collision and comprehensive coverage would likely cover your rental car similar to if you are in an accident in the car you own. Before declining the car insurance the car rental company offers, you should verify with your own insurance provider that you will be covered in the event of an accident or other issues. The add-on insurance provided by the car rental company may still be needed.