Rental car insurance questions

[adamak]

I'm NY resident and renting in Hawaii. I don't own a car, so don't have car insurance. My credit card will provide primary CDW so it'll pay for my rental if I scratch it or whatever. I think I''ll still need liability to cover the other party if I hit someone, right? Should I buy liability from rental car agency? Or are there cheaper options?

TIA.

 

[Klayfish]

Yes, you would get liability from the rental agency.

Double check to be 100% certain your credit card will cover the car. Fine print can be funny.

 

[Jeff Bruch]

Really check the fine print on your card. There may be a deductible. Also, they generally do not pay for loss of use which a rental company can charge you. Depending on how many days you will have the car it might be wise to take CDW. I spent twenty years in the rental car business and recommend it if it is for less than a week. Sorry I know it's pricey.

 

[supersnoop]

I'm NY resident and renting in Hawaii. I don't own a car, so don't have car insurance. My credit card will provide primary CDW so it'll pay for my rental if I scratch it or whatever. I think I''ll still need liability to cover the other party if I hit someone, right? Should I buy liability from rental car agency? Or are there cheaper options?

TIA.

Do you carry any personal liability insurance?

 

[adamak]

No I don't think so. I have home owner insurance but don't think that covers personal liability.

 

[tvguy]

Really check the fine print on your card. There may be a deductible. Also, they generally do not pay for loss of use which a rental company can charge you. Depending on how many days you will have the car it might be wise to take CDW. I spent twenty years in the rental car business and recommend it if it is for less than a week. Sorry I know it's pricey.

I agree with everyone, verify what your credit card will cover. Only buy coverage you need.

Most legitimate rental car agencies gave up asking for loss of use years ago. The insurance (and credit card) companies started demanding an accounting showing that the car would actually had been rented and doing that accounting cost more than they would have gotten from any money from loss of use.

Remember, when you purchase CDW you are NOT buying insurance, you are buying a Collision Damage Waiver, the rental car company is, for that fee, waiving their right to seek money from you, if there is collision damage, THEY are assuming liability.

I worked briefly for a Budget franchise and the owner pushed us hard to sell CDW because he said he made more money on selling the CDW waiver than on renting the car. But that was 38 years ago.

 

[supersnoop]

No I don't think so. I have home owner insurance but don't think that covers personal liability.

Talk to your agent. Homeowners insurance usually has some amount of personal liability, at least in my state.

 

[Mackenzie Click-Mickelson]

Talk to your agent. Homeowners insurance usually has some amount of personal liability, at least in my state.

That's different than automobile personal liabilty. With autos we're talking bodily injury and property damage arising from the operation of a motor vehicle not legal liability because of something that occurred (which is usually something that occurs on the homeowner's property like a dog bite or falling/slipping {think something like the mailman slipping on snow or ice}).

Homeowner's liability can be extended (depending on the company) for example when you host an event like a graduation or wedding anniversary party at a community center, etc. Or like when people get married and you're required to have X amount of personal liability (that would either be from your renter's insurance or homeowner's insurance if your policy allows for that or the person buys a separate policy for that) the event space requires.

Obviously I cannot speak for all but I have never ever seen at the company I worked for along with any of the stories over the years a homeowner's insurance extending coverage for bodily injury and property damage coverages in the case of an automobile. I will say I haven't indepthly looked at each and every state and each and every company though.

 

[adamak]

Thanks all. So, if I were to buy liability, are there independent companies that I can buy from instead of from Budget or Alamo?

 

[NinaBella]

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