Industry experts are advising Americans to get additional coverage for any rental cars they may use. With entire families on vacations, they say that the chances of getting in an accident far away from home are high. Business trips can also turn into nightmares, they say, if motorists are involved in auto accidents using rental cars.
Some insurance specialists also contend that while it may be a good idea to purchase insurance from the rental companies themselves, the daily costs could be prohibitive. Current rates for collision/loss damage waivers range from $15 to $30.
However, getting added protection from the rental companies themselves does not assure drivers of full protection. Experts explain that with the weak economy, rental companies are doing everything to get out of paying for expensive insurance claims.
Some of these practices involve placing fees and charges whenever a car is damaged in an accident. One of the fees, the diminished value charge, is often used by rental companies to justify what they see as the reduced resale value of a damaged car.
Aside from that, experts say that companies would even charge customers ‘loss of use’ fees for the firm’s loss of income while a car is being repaired. On top of that, companies often charge motorists administrative fees to cover expenses for the processing of claims.
To avoid shelling out thousands of dollars, experts recommend purchasing additional coverage from the drivers’ insurance providers to cover rental car insurance. By taking on comprehensive coverage, motorists are assured of extensive protection even if the cars they are renting get damaged or wrecked.
According to the AAA Foundation for Traffic Safety, the average American motorist gets in an accident once for every 285,000 miles driven. Auto insurance specialists say that while the findings may convince car owners not to avail of added coverage, drivers should never be complacent. They point out that there are numerous factors that contribute to the risk of an accident. Some areas, they contend, are more dangerous to drive in, and that alone can lead to high insurance costs.
Analysts also say that drivers should be aware of insurance laws in the states or countries they will be renting cars. Laws governing auto insurance differ in the various states. Getting complete and comprehensive protection from reliable insurance providers can mean total protection for drivers, no matter where they rent cars.