Rental reimbursement coverage can be very confusing to people who
sometimes forgo the coverage. The cost of this type of coverage is
usually cheap and added onto your policy if you decided to take it.
Determining if you need, this can be tough depending on many different
factors. Today we will take a look at rental reimbursement coverage and
how to decide if it is something you will need.
The first thing you must understand what rental reimbursement coverage is exactly. It pays the cost of a rental car if your car is stolen or becomes disabled due to a covered loss. This means that with most policies your transportation costs will be taken care of to a certain limit. Many consumers get into trouble because they never look at the limits of their policy. Some people tend to think it will last until they get their car back or repaired. It does not necessary work that way. Different insurance companies do it different ways so check with your insurance agent.
Rental reimbursement coverage is usually an additional option if you have comprehensive or collision coverage. One of the most important keys is to understand this addition to your policy. Sometimes your policy will only cover rental cars in the event of an accident. Other policies will cover if stolen or in an accident. There are other factors with rental reimbursement coverage you need to know as well. Where you live can also determine how much your rental reimbursement coverage may cost you. The type of vehicle you can also get may be affected by your policy as well. Beware as some insurance companies may make you pay first for a rental car then reimburse you when you file a claim. By knowing where you stand with rental reimbursement coverage is a very good idea.
If you have a backup vehicle not getting, rental reimbursement coverage is something you may want to consider. For most people though this added coverage can be invaluable especially if you travel a lot with your own vehicle. Deciding on rental reimbursement coverage has to be based on many factors. For some it is perfect for others it is not.