The Ins and Outs of Rental Reimbursement Coverage

When your car is out of commission due to an accident, it can be a major inconvenience. Fortunately, many insured drivers are eligible for rental reimbursement coverage during that time frame. In the event of an accident or other covered event, it is important to find out if your rental car is covered through your policy. Read on to learn more about rental reimbursement coverage.

Are You Covered?

Not every policy contains rental reimbursement coverage. It is typically only available to consumers who purchased this type of coverage specifically. Additionally, it is usually unavailable to those who only have a liability policy. You will usually be required to purchase comprehensive and collision insurance coverage in order to gain rental reimbursement. To find rates on this type of coverage, search for auto insurance in Salt Lake City.

When It Is Needed

Rental reimbursement coverage provides several benefits to the insured. Generally it pays for the rental car coverage when the damages to your car are covered by your comprehensive and collision insurance. This can occur in the event of a car accident or due to theft or vandalism. Severe weather is another common type of causation.

What Is Excluded

It is important to remember that rental reimbursement only covers rentals you need for protected damages. One frequent misconception is that insurance companies will provide rental cars when your car is in the shop for regular repairs or maintenance. Additionally, rental reimbursement coverage will not usually cover additional insurance purchased from the rental car company during the rental period. The driver will be responsible for this cost if additional coverage is purchased from the car rental business.

How It Works

There are usually a few different choices given to drivers when using their reimbursement coverage. One option is to use an approved rental car provider. This company will rent a car to you and bill your insurance company directly. Your insurance company can provide you a list of approved companies. Another option is to rent a car from any company and pay for the costs out of pocket. You can be reimbursed by your insurance company by submitting a claim form along with receipts.

It is important to keep in mind that most policies put a limit on the amount of coverage provided per-day. There are also limits on how much will be paid for rental coverage per-accident. That means that it is necessary to choose a vehicle that is priced accordingly. The amount of coverage typically provides for a vehicle that is similar to the one that you are having repaired. Choosing a lower-cost rental vehicle is a great option for those that may have time-consuming repairs. This will ensure that your coverage amounts will not run out prior to the completion of the vehicle repairs. These amounts will vary based on the type of protection you select. Search car insurance in Salt Lake City in order to find the best rental reimbursement coverage for your vehicle.

ASA Insurance provides excellent coverage for car and home insurance in the Salt Lake City area with the lowest rates to the English and Spanish communities. Affordable rates and superior service for all home, auto and business/commercial insurance needs.

Asa Insurance provides excellent coverage for auto insurance in the Salt Lake City area with the lowest rates to the English and Spanish communities. Affordable rates and superior service for all home, auto and business/commercial insurance needs.