Renting a car (insurance) in the States

[malcolmk14]

Hi there,

My girlfriend is going to the US in a month, and we've gone and rented cars in the past but I'd just like to get some input on the different types of car rental insurance.

If anyone would be able to help out that'd be great.

She has the Capital One Aspire Mastercard and through that she has "Car Rental Collision/Loss Damage Waiver" insurance, and it says to decline the collision damage waiver insurance from the car rental company. What exactly does Collision/Damage cover?

Is it necessary to add any of the other insurances that the rental companies offer? For example, Thrifty offers Personal Accident Insurance and Personal Effects Insurance, as well as Supplemental Liability Insurance, and Uninsured Motorist Protection. What do those cover and are they worth it?

Last time we rented a car in LA, we declined the Collision/Damage insurance and bought Supplemental Liability, and the insurance cost almost as much as the rental.

If anyone would be able to explain in Layman terms, that'd be awesome!

[BlackArcher101]

Make sure you look at the max allowable time limit on the card coverage. It may cap out and anything past it cancels the insurance coverage.

[malcolmk14]

Card coverage is good for under 48 days, she will be there for a week.

[BlackArcher101]

Whoops, read it as renting for a month. 48 days ain't too bad at all, better than mine.

Sorry, can't comment on the different types though. :/

[Derek Sutton]

Does her own vehicle insurance policy include coverage of a rental as well? I know mine does as long as the vehicle is worth less then $50k.

[opendoor]

Collision and damage is exactly as it sounds; it covers any damage to the car that's you'd normally be liable for. Either due to an accident that was your fault or something like vandalism. If you don't have it and you damage the car, you're on the hook. This is the coverage that credit cards generally provide.

Liability is really the big one you have to watch out for as that covers you against any damage to people or property that you cause. Most places will include the state or provincial minimum liability as part of the rental fee, but some don't include anything at all. If you cause a serious accident and don't have some form of liability you're going to be in a mess.

Often your own car insurance will cover you for liability and if you're not covered it's usually possible to get it with a pretty small yearly fee. So I'd check your own policy (if you have one) and then the policy of the place you're renting from. If you have liability coverage through either of those you're good (though you can pay extra to bump up to a higher limit if the minimum coverage is low). If you're not covered you really should get some kind of liability insurance; the risk of not having it is simply too great.

[trew]

If you have an insurance pink slip in North America, the liability coverage from your own car insurance will extend as "secondary" coverage for any vehicle you drive in North America (not Mexico or Europe).

Many US states (including, I believe, California, Nevada, and Hawaii) do not require rental car companies to carry liability insurance. If you rent a car in one of those states, and do not have a pink slip for your own car, you are essentially an uninsured driver and will be personally responsible for any liability/injury claims against you.

It's also a really good idea to keep a copy of your pink slip in your wallet. (I recently avoided a "driving without proof of insurance" ticket when driving some one else's car by showing my own pink slip).

Credit card coverage is for damage to the vehicle only, and actually works pretty well for that. You have to make sure to pay for the car with the card, though.

If you don't own a car, you can get liability insurance that will cover you, or you can pay for the "SLI" at the rental car counter.