SLI - optional rental car insurance ?? Do you buy it?

[riu girl]

Someone on the transportation recommended that I post this on the Canadian board:

Supplement Liability Insurance (SLI)??



DH has been researching our rental car insurance and has informed me that between our two platnium credit cards as well as the rental car rider policy on our personal auto insurance we DO NOT have SLI coverage.

SLI:
Third-party automobile liability coverage with benefits up to a maximum protection of $1,000,000 combined single limit (CSL) per occurrence.

( I think basically between our credit cards as well as our personal auto insurance we are covered if we are in an accident for damage to all vehicles involved but NOT bodily damage to anyone in the other vehicle(s) involved in the accident. If we are sued we would be 100% liable without SLI)

1. Does anyone actually purchase this insurance? It looks like even with a platnium card as well as a rider on your own auto policy, no one is covered but yet I have read next to nothing about this insurance on DIS??????

2. Does anyone know if there is somewhere I can purchase this for a decent rate instead of having to pay the high daily rate from the car rental company. We have a 21 day rental and the price from the rental car company is very $$$.

Thank you

 

[RoyalCanadian]

I never purchase any insurance from automobile rental companies. $1,000,000 is not a lot of liability insurance. The first phone call you should make is to your personal automobile insurance broker. Check your coverage with them.

If you are not already covered it is likely that you would be able to purchase this exact insurance for a much more economical rate than through any rental agency.

 

[OntFamily]

It is rare that insurance provided by credit cards will cover liability insurance (they usually only cover collision insurance).

If you purchase a rider on your personal insurance, whatever coverage your personal insurance has, will extend to the rental car. So, if you have $1,000,000 liability insurance on your personal insurance, you will also have this insurance on your rental car.

 

[NancyK]

I never purchase any insurance from automobile rental companies. $1,000,000 is not a lot of liability insurance. The first phone call you should make is to your personal automobile insurance broker. Check your coverage with them.

If you are not already covered it is likely that you would be able to purchase this exact insurance for a much more economical rate than through any rental agency.

I totally agree. I called our insurance broker and had it added to our automobile policy. It wasn't much money - I want to say about $35/year?

 

[RoyalCanadian]

I totally agree. I called our insurance broker and had it added to our automobile policy. It wasn't much money - I want to say about $35/year?

I recall paying a similar, hilariously low rate when I added the rental car rider to my automobile insurance a number of years ago

 

[minnie56]

Never purchase it...we do have multiple coverage on our Credit cards but every time I go away I let out Ins agent know and she makes sure to note and I am told I have complete coverage on any and all rental vehicles!

 

[mommytodarlings]

Former Ins. Broker here.

If you are in Ontario, just look for OPCF 27 on your insurance policy to see if you already have the coverage. If not, as previous posters have said, just call and add it. It is a minimal additional premium. Mine is $48/yr, but it's with a couple other endorsements.

HTH

 

[OntFamily]

Never purchase it...we do have multiple coverage on our Credit cards but every time I go away I let out Ins agent know and she makes sure to note and I am told I have complete coverage on any and all rental vehicles!

You only have complete collision coverage, and not liability.

You'll be covered for any damage to the car you're driving. However, if you are injured in the accident and require months of rehabiliatation, your credit card insurance will not cover this rehabilitation cost.

 

[dishguy1977]

You only have complete collision coverage, and not liability.

You'll be covered for any damage to the car you're driving. However, if you are injured in the accident and require months of rehabiliatation, your credit card insurance will not cover this rehabilitation cost.

The poster isn't saying they have complete coverage through their credit cards but through their own personal auto policy as they call their broker to add it before they go away.

 

[Mr. & Mrs. Smith]

I also have full coverage for rentals through my insurance company. So, no, I never take it.

 

[drag n' fly]

We also have complete coverage through our insurer. It costs us an extra 50 bucks a year for up to 50,000 dollars worth of vehicle. One thing to note is make sure you have high enough coverage. Some policies only cover up to 35,000 on a vehicle so make sure you ask for a policy that covers a higher amount. We only rent what we need no high end rentals in case of an accident also.

 

[Jaymie]

In Ontario, your basic liability coverage automatically extends to any vehicle you operate. (rentals included). OPCF 27 only extends to the physical damage to the rental. The credit card co.'s also only extend to the physical damage of the rental vehicle. I'm an insurance broker and I never buy the extra insurance. The only real benefit to the rental co.'s insurance it that you won't have to deal with your own insurer if there's a loss. Just pretty much report it and walk away. Sometimes they also offer some coverage that your own policy won't cover, like tire blow outs.

Always call your own insurer/broker before you assume you have coverage or even buy additional coverage. That's what they're there for.

 

[CanadianGuy]

I rented about 2 weeks ago from the Car Care Center just outside the Magic Kingdom.

The woman at the counter was pretty insistent that my State Farm policy with the rental add-on would not cover me entirely. I had spoken extensively with my agent before travelling and knew that not to be the case. He was very clear that my liability would extend only to my deductible.

I politely declined all the counter woman's attempts to get me to buy some 'add-on' at the counter. I admit, had I not been so thorough with my agent prior to the trip, I might have been tempted to pay extra for something I truly didn't need.

Frustrating.

Knox

 

[OntFamily]

I rented about 2 weeks ago from the Car Care Center just outside the Magic Kingdom.

The woman at the counter was pretty insistent that my State Farm policy with the rental add-on would not cover me entirely. I had spoken extensively with my agent before travelling and knew that not to be the case. He was very clear that my liability would extend only to my deductible.

The car rental agent is paid a commission for each upgrade he/she convinces you to purchase. Some of them are pretty good at upselling.

 

[CanadianGuy]

The car rental agent is paid a commission for each upgrade he/she convinces you to purchase. Some of them are pretty good at upselling.

You got THAT right!

Knox

 

[dishguy1977]

The only real benefit to the rental co.'s insurance it that you won't have to deal with your own insurer if there's a loss. Just pretty much report it and walk away.

This can be a pretty good benefit. I don't think I would ever take the car rental insurance but I have considered it for this reason. It is my understanding that as Jaymie said you pretty much just "report it and walk away" - whereas when using your own coverage you have to go through all the standard claim stuff co-ordinating with the rental company, etc AND your insurance rates will go up for the next 7 years or whatever because of a claim! I'm sure everybody would be wishing they had taken the extra insurance if they are ever in an accident when they realize their everyday car insurance rates are going through the roof!

 

[OntFamily]

This can be a pretty good benefit. I don't think I would ever take the car rental insurance but I have considered it for this reason. It is my understanding that as Jaymie said you pretty much just "report it and walk away" - whereas when using your own coverage you have to go through all the standard claim stuff co-ordinating with the rental company, etc AND your insurance rates will go up for the next 7 years or whatever because of a claim! I'm sure everybody would be wishing they had taken the extra insurance if they are ever in an accident when they realize their everyday car insurance rates are going through the roof!

You're correct in that it's a good benefit -- you just walk away. However, there are two other things to consider:

1) Like any insurance, there's a cost to the benefit. If you're on a 14 day vacation, you're paying about $200 for this benefit. Is it worth it?

2) When you apply for insurance, you are asked if you've been in an accident during the last 7 years (regardless of whether you've filed an insurance claim). If you say no, and your insurance company finds out, they'll invalidate your insurance. I'm not sure if Canadian insurers have access to Florida police files (as most accidents in any jurisdiction require a police report). Probably, this type of insurance investigation would only occur in a major instance (ie if at home, you've had a major accident). Every insurance company will try to get out of paying a major claim, and if they find you lied on your application, you are in trouble. I'd be curious of the opinion of some of the insurance brokers on this board, on this.

 

[dishguy1977]

You're correct in that it's a good benefit -- you just walk away. However, there are two other things to consider:

1) Like any insurance, there's a cost to the benefit. If you're on a 14 day vacation, you're paying about $200 for this benefit. Is it worth it?

2) When you apply for insurance, you are asked if you've been in an accident during the last 7 years (regardless of whether you've filed an insurance claim). If you say no, and your insurance company finds out, they'll invalidate your insurance. I'm not sure if Canadian insurers have access to Florida police files (as most accidents in any jurisdiction require a police report). Probably, this type of insurance investigation would only occur in a major instance (ie if at home, you've had a major accident). Every insurance company will try to get out of paying a major claim, and if they find you lied on your application, you are in trouble. I'd be curious of the opinion of some of the insurance brokers on this board, on this.

Good point on #2...I don't recall though, do they ask if you have had an accident or if you have filed a claim? I know if you have a little fender bender but don't go through your insurance company it doesn't affect you. They do ask about being charged with traffice offences and such but I think the big increase in insurance in more in if they have actually paid a claim for you isn't it? I'd love to hear opinion of insurance industry people too! It is kind of a moot point for me though...like you said it is very expensive and I can't see myself ever getting it...like I said before, it's one of those things you wish you would have had but aren't really willing to pay for in the first place...I guess like insurance in general!!

 

[Mr. & Mrs. Smith]

Good point on #2...I don't recall though, do they ask if you have had an accident or if you have filed a claim?

When we recently applied for insurance after moving, they most definitely asked if we had an accident in the past NOT if we had filed a claim.

 

[CanadianGuy]

The Insurance Bureau of Canada (or some such organization) tracks this and most agents can actually see your claim history. So you are VERY much advised to be honest on these points.

When I applied for insurance in Canada after 8 years in the states, the State Farm agent was able to pull up my Canadian claim history with a different insurance company in 2002 that showed a claim that was filed in 1992 ..! Impressive I thought.

I asked if a claim that old mattered and she said no. She then called a State Farm office in the states and got my American claim history (there were no claims).

Knox