Summer Vehicle Rentals

May 28, 2014 at 12:19 PM | Posted in Rental Vehicles | Leave a comment
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Do your summer plans involve renting a vehicle?  Whether it is a U-Haul truck, motor home, party van, or a passenger car while on vacation, you should know if your personal auto insurance policy will cover the rented vehicle.

Here are some scenarios you may want to think about before renting:

U-Haul Trucks – Your personal auto policy will not cover this type of vehicle.  The vehicle you rent must be similar to the vehicle you insure on your policy in order to be covered.  If the rental agent offers insurance coverage you should take it.

Party Van – These types of vans or small buses usually hold 12 or more people.  If it does not meet the description of a private passenger auto then it is not covered under your policy.

Motor Homes – They are not covered under your personal auto policy unless you own a motor home and it is listed on your policy as a covered vehicle.  If you need to rent a replacement motor home, the carrier will usually extend some coverage to the rental.  Check with your agent to be sure.

Private Passenger Vehicle – If you are renting a private passenger vehicle, the coverage from your personal auto policy will extend to the rental.  However, your auto policy only covers physical damage for actual cash value.  The rental agency will hold you responsible for full replacement value of the vehicle should there be a loss. Some insurance companies are now offering that coverage for rental vehicles as an endorsement to your personal auto policy.  Check with your agent to see if you can add it to your policy for year round coverage, rather than paying the daily insurance price at the rental agency rate.

No matter what type of vehicle you plan on renting, it is a good idea to check with your agent to make sure you know how your personal auto policy will respond before you sign the rental agreement.

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What to Consider When Renting a Vehicle

June 19, 2013 at 9:00 AM | Posted in Auto, Insurance Policy, Personal Insurance, Rental Vehicles | Leave a comment
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When renting a vehicle for your vacation this year, here are some things to consider:

  • Your personal auto policy extends physical damage coverage to the rental vehicle, but the coverage territory is limited to the Continental US, its territories, and Canada.
  • Coverage extended from your personal auto policy will always be settled on an Actual Cash Value basis at the time of a loss.  You could be responsible for out-of-pocket expenses such as administration fees, depreciation vs. replacement value, and loss of use of the rental car.
  • If you purchase the Damage Waiver Coverage from the car rental agency, you are not held liable for any damage to the rental vehicle as long as you have met the requirements of the rental contract.
  • The credit card used to rent the vehicle may provide some coverage for the rented vehicle.  Double check to make sure it will cover administration fees, diminished value, and loss of use.
  • All drivers that may operate the rental should be listed on the rental contract in order for coverage to apply.
  • Most auto insurance companies now offer enhanced rental coverage that may provide some or all of the coverage you would normally purchase from the car rental agency

Before making any decisions on how best to insure the rental car, read your rental contract carefully.  If you have any questions on how your auto insurance coverage would respond to a rented vehicle, call Protector Group at 1-888-850-9400.

Common Winter Claim Coverage Gaps

September 19, 2012 at 9:38 AM | Posted in Auto, Home, Insurance Policy, Personal Insurance, Reminders, Rental Vehicles, Seasonal, Specialty Policy | Leave a comment
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The crisp autumn days and cool nights are a reminder that winter months are closing in fast, promising to deliver wind, snow, and ice storms. This is the perfect time to review your policies, to make sure you have the coverage you need before the first winter storm.  Special Coverage for Personal Property: Warmer sunny days and freezing cold nights cause ice dams.  Your Homeowner policy will cover the damage an ice dam causes to your home, but the contents inside your home will not be covered for any resulting water damage.  In order to cover your contents you want to make sure you carry the Special Coverage Personal Property Endorsement.   Debris Removal: Storms are nature’s way of trimming the trees, leaving debris in your yard after strong winds, and snow or ice storms.  Your Homeowner policy will respond to tree limbs and branches that damage a structure, but it does not cover the debris left in your yard after a storm.  That is considered property maintenance.  In order to get coverage for this type of loss you need to have the Debris Removal Endorsement, which is offered by most companies.  This provides a certain dollar amount to help you with the cost to clean up large amounts of debris left behind after a major storm.  Refrigerated Food Coverage: We have learned to expect power outages after a storm.  Power outages that last for several days will cause food in refrigerators and freezers to go bad.  Homeowner policies exclude this coverage, but most will offer the Refrigerated Food Coverage Endorsement. When available, a deductible would apply.  Autos: Slippery roads are a leading cause of auto accidents during the winter.  If you want coverage for your vehicle – even if you are at fault in an accident – you want to make sure you have collision coverage on your auto policy.  You also want to check your property damage to others limit as well to make sure that is adequate.  In order to get coverage for tree limbs that fall and damage your vehicle, you will want to add comprehensive coverage.  This is also a great time to make sure you have rental car coverage when you need to rent a vehicle while your car is tied up in repairs due to a covered loss.  Call The Protector Group and make sure you have the proper coverage you need to be prepared for whatever New England weather comes our way.

Things to Keep in Mind When Renting a Vehicle.

July 11, 2012 at 9:03 AM | Posted in Auto, Insurance Policy, Personal Insurance, Rental Vehicles | Leave a comment
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When you rent a vehicle there is so much to decide:  Should you pay for the Damage Waiver coverage? Who should you list as an operator? Should you extend coverage from your personal auto policy? Before you rent your next vehicle, keep a few things in mind:

  • If you purchase the Damage Waiver Coverage when you rent the vehicle, you are not held liable for any damage to the vehicle as long as you have met the requirements of your rental contract.
  • All drivers that may operate the vehicle should be listed on the rental contract in order for coverage to apply.
  • Physical damage coverage will extend from your personal auto policy only if you will be driving the rental in the continental U.S, its territories, and Canada.
  • Coverage extended from your personal auto policy will always be settled at Actual Cash Value at the time of a loss, which could leave you responsible for out-of-pocket expenses such as administration fees, diminished value, and loss of use of the rental car.
  • If you extend coverage from your auto policy and there is significant damage to a rental car, the rental company may decide to replace the vehicle rather than repair it. You could be responsible for the difference between the market value on the day you rented the vehicle and how much it is sold for at auction.
  • The credit card that you use to rent the vehicle may provide some coverage for the rented vehicle. Be sure to ask if it will cover administration fees, diminished value and loss of use.

If you have additional questions, please call us at 888-850-9400.

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