It should not be confused with rental reimbursement coverage, which is a supplement to the car insurance policy that offers reimbursement for a car rental in the event that the car is repaired due to a covered loss or accident. Rental car insurance is insurance that covers you when you rent a vehicle directly from a car rental company, such as Enterprise Rent-A-Car. When you rent a car at the airport or another car rental agency, you will be asked if you want to add insurance to your rental or if you want to exempt it from insurance. You can talk to a Geico customer service representative at 1 (800) 207-7847 to see if your personal policy will be extended to your rental car.
If you don't have enough coverage through Geico to cover your rental car, you can buy insurance from your car rental company or see if your credit card company offers it. Geico also offers rental car reimbursement coverage, which helps pay the cost of renting a car while your personal vehicle is being repaired for a covered claim. However, Geico's comprehensive and collision coverage limits may not be high enough if you rent a car worth much higher than your personal vehicle and the car is completely liquidated. Yes, Geico policyholders get discounts of up to 20% to 50% at popular agencies such as Enterprise, Alamo, Hertz and National Car Rental.
If you don't have either type of coverage, you can take out personal accident insurance through the car rental company. Then, you get a clipboard with an intimidating car rental contract full of confusing insurance options. Generally, your health insurance will cover injuries that result from a car accident, and home or renters policies cover items stolen from a car. This is not an insurance product, but rather an exemption that transfers your financial responsibility to the car rental company in the event of damage or theft.
Keep in mind that not all states require car rental companies to automatically provide mandatory minimum insurance coverage. While each standard auto insurance company has its own criteria for covering rental cars, some situations are generally excluded. If you already have a personal car policy with Geico that includes liability, comprehensive and collision coverage, this insurance will likely be extended to cover your rental car. Since rental car insurance isn't something most of us deal with on a daily basis, it's easy to get confused or overwhelmed when presented with the option of this type of coverage.
Read on to learn some basic facts about rental car insurance and whether or not you need additional coverage beyond your personal auto insurance policy.