Should I purchase rental car insurance?
When you’re travelling, rental car insurance is the last thing you want to spend your time figuring out. Whether you’re on vacation or a business trip, you’d probably prefer to focus on where you’re going rather than making sure you’re insured while getting there.
At Millennium Insurance Corporation, we’re here to answer all your car insurance questions and provide the best insurance solutions to people in the Calgary, Edmonton, Sherwood Park and St. Albert areas. When it comes to whether you should opt for rental car insurance, there’s no easy answer. Here are a few tips that’ll help you make the right choice.
Check your car insurance policy
It’s important to know whether your car insurance policy offers rental car coverage. Many car insurance policies cover costs incurred while driving a rental car only if you are using the rental as a replacement while your vehicle is under repairs. The coverage offered by most Canadian insurance policies won’t extend to cars rented for personal use while travelling, unless you’ve purchased the SEF 27 endorsement to extend your coverage to vehicles you don’t own. Be sure to know exactly what your policy says.
Why are you travelling?
If you’re on a business trip, your employer’s insurance policy may cover car insurance while you’re travelling on their behalf. Check with your company before leaving so you know what to expect while on the road.
Find out if you have rental car insurance through your credit card
Even if your car insurance policy doesn’t cover the use of rental cars, you may have access to rental car insurance through your credit card. Many major credit cards offer rental car coverage if the cost of the rental car is charged to the card.
When is it a good idea to buy rental car insurance?
It’s a good idea to buy rental car insurance if you’re not covered through your personal car insurance or your credit card, especially if you’re travelling outside the US and Canada. Many car insurance plans and credit card companies don’t offer coverage in certain countries. Keep in mind that even if you’re covered by your insurance, you’re still responsible for the deductible if an incident does occur. You’ll have to decide whether it’s worth the risk of paying a significant deductible, or if you should invest in insurance through the rental car agency.
Check with your insurance company if you’re unsure
If you’re uncomfortable wading through all the complexities of rental car insurance,
and you’re in the Calgary, Edmonton, Sherwood Park, or St. Albert areas, contact us at Millennium Insurance Corporation. We’re committed to making car insurance affordable and easy to understand for all our customers.