Not all types of insurance policies are for people who own cars. Yes, there is also coverage for non car owners, and this is known as non owners auto insurance. You would probably ask why get this particular insurance since you do not own a car. Unlike regular auto policies, non owners auto policy does not cover the car. Technically, this type of policy covers the driver – you. Here is how.
Because car owners have automobiles their policies are fixed to cover their cars in unfortunate events. However, in your case, non owners auto insurance does not have a certain vehicle to cover so it would cover you instead. This policy will pay for any vehicle repair expenses for any type of car that you drive. Once you rent a vehicle and get involved in an accident, non owners policy will pay for the expenses. Unfortunately, there are some conditions regarding the vehicle and the situation in order for this coverage to take effect.
First, keep in mind that rental companies may also have insurance policies for their automobiles. If you borrowed a vehicle that has coverage from the company and you met an accident, your non owners auto coverage will only be effective once all the insurance of the vehicle was exhausted. If expenses exceed the amount of coverage a company has purchased, your additional rental car insurance would save you from any financial obligations.
In case the rental company’s coverage was sufficient for the damage costs of the accident. You can also use your non owners auto insurance to pay some amount that you owe to them. Paying for just one policy is definitely cheaper than paying for it through the rental company whenever you borrow an automobile.
If you plan to get yourself this type of insurance policy, make sure to get it from an insurer who specializes in this field because they are relatively cheaper. Because they know and understand what they are offering, you can ask for questions or clarifications regarding your coverage and receive informative responses. Before you sign a deal or make everything legal, remember to full understand all the terms and conditions indicated to avoid confusion and misconceptions that could possibly arise later on.
Maybe you do not have a car, but you still rent one for work or other travel appointments. In that case, an alternative auto policy is certainly necessary. Getting non owners auto insurance would not only protect you from possible financial setbacks, but also from tons of worries.