Auto Insurance Policies

Reader’s Question:

Hello, this is Terry of Missouri. Do all automobile insurance policies cover car rental reimbursement?

Terry

Columbia, MO

Hello, Terry of Missouri. The answer is not all automobile insurance policies do. Most people don’t think about car rental reimbursement until they are unable to use their car because it has been damaged and is at the repair shop. Only at this time do they fully realize they need a car, and it would be better if the automobile insurance policy would reimburse what they spend on car rental.

Many, likewise, don’t realize that Car Rental Reimbursement isn’t a given in automobile insurance policies. They will need to have chosen an automobile insurance coverage that explicitly includes car rental expenses if they don’t want to pay for it out of their own pocket. If their car is in the repair shop for about two weeks, they might end up spending as much as 500 dollars on rental alone. The good news is car rental reimbursement, when included in an automobile insurance policy, doesn’t actually cost that much. The average cost on top of the premium is one or two dollars a month.

Even though some people think that they are unlikely to get into an accident that makes their cars unusable, it helps to be prepared. So, the next time you go shopping for an automobile insurance policy, be sure to check whether the insurer will cover what you spend on car rental. In the end, it will be worth it.

Tags: auto insurance, auto insurance coverage, auto insurance policy, auto insurance premium, rental car insurance