You will need to ensure that you have adequate coverage, regardless of whether you are renting a car for vacation or business. The best way to do this is to learn about your auto insurance policy before you rent a car. Typically, your policy covers the same deductibles or limits as you have when your car is yours. The type of rental vehicle you use will affect your coverage. You'll need to read the terms and conditions of your policy to find out exactly what you're covered for.
You may have the coverage of your employer if you are renting a car for work. However, if you don’t have this coverage, you may need it. To help protect your vehicle and passengers, most rental car companies offer supplemental coverage. This insurance may cost $15-30 per person, depending on where you rent the car. This coverage can be purchased directly through your rental car company or added to your existing auto policy.
You can also purchase extra insurance through your credit card. Many credit cards have supplemental insurance coverage. You may not be covered adequately by this coverage, so you should check with the company before you rent your car. Some credit cards will only offer collision coverage for 15 days. You will also have to pay a deductible. You may be responsible for any damage if you fail to pay the deductible
Most states require car rental companies to have liability insurance. You are protected if you cause an incident that causes injury to someone else. You'll need to make sure that your policy includes at least $25k in bodily liability coverage per person and $50,000 in liability coverage per accident.
You can always ask your agent for advice if you're not sure if your insurance policy offers enough coverage. You may need to purchase supplemental insurance if you have a higher deductible or are traveling on business. You might also be advised by the rental company to buy additional coverage.
Another option is to rent a vehicle from a car-sharing service. This is a popular method to rent a car. However, the coverage can be varying and is not uniform. This information is often available on the website of the service. Most services will require you sign an insurance agreement.
A credit card can be used for additional rental car insurance. This coverage can provide some additional protection for those who already have primary insurance. You will need to carefully read the terms and conditions of your credit card policy. Some credit cards will only cover certain types of vehicles or restrictions. For example, if you don't plan on renting a luxury car, you may not have adequate coverage. You will also have to pay a deductible for the coverage.
You will need liability insurance if you rent a car in California. You'll also need to make sure that your policy covers you for the state minimum auto insurance requirements.