Crash Course In Rental Car Insurance

By: Robert Cannon

Memorial Day weekend brings the unofficial start of summer and the accompanying travel season. As Americans set off on their vacations, we offer insight on rental car insurance.

Rental car companies offer Collision Damage Waivers (CDW).  There are a lot of misconceptions about what a CDW covers compared to a personal auto policy or a credit card company’s rental car insurance.

Q. Does my personal auto policy extend coverage to a rental vehicle?
A. Most auto policies will pay for actual repairs to a rental car. The policyholder will remain responsible for the deductible – and for any additional items included in the rental car agreement. Personal auto policies without comprehensive or collision coverage will not cover a stolen or damaged rental car.

Q. Is it true that my credit card company will provide insurance coverage for vehicle rentals?
A. Many, but not all, credit card companies offer rental insurance and will pay for damage to a car if you pay for the rental with that card. A credit card company’s coverage is secondary to your personal auto policy, which means it may pick up whatever your personal auto insurer does not pay – such as your deductible.

Q. If I have a personal auto policy and credit card coverage, am I fully covered?
A. While these may provide sufficient coverage in some situations, they will not cover costs and fees such as towing, loss of use (the period of time the rental car is out of service due to repairs), diminished value and administrative fees tacked on by a rental car company. The renter is always responsible for any loss or damage to a rental vehicle, regardless of who is at fault.

In the end, deciding whether or not to purchase a CDW depends on the coverage included with your existing policy and through your credit card company.  Call your insurance agent and credit card company to understand what you already have and where gaps may exist.

Spring Maintenance Tips

Spring cleaning and spring maintenance tips go hand in hand. Take a cue from the tips below and spruce up your gutters as you spruce up your rose garden.

• Inspect your smoke detectors, and make sure that there is one on each floor of your home. Test them monthly, and change the batteries annually or as needed.
• Check the light bulbs in all your fixtures to be sure they are the correct wattage as recommended by the manufacturer.
• Replace all high-intensity bulbs (such as incandescent) with fluorescent bulbs that don't produce as much heat.
• Check your electrical outlets for potential fire hazards such as frayed wires or loose-fitting plugs. Be sure not to overload electrical outlets, fuse boxes, extension cords or any other power service.
• Keep a multi-purpose fire extinguisher accessible, filled and ready for operation.
• Have your air conditioning system inspected by a professional as recommended by the manufacturer.
• Check for damage to your roof, and clean gutters and downspouts to keep debris from accumulating.
• Check water heater for leaks and corrosion.
• Clean or replace your furnace filter.
• Clean the clothes dryer exhaust duct and space under the dryer. Remove all lint, dust, and pieces of material.
• Remove all dead trees in your yard, and keep healthy trees and bushes trimmed and away from utility wires.
• Safely store oil and gas for lawn equipment and tools in a vented, locked area.
• Repair cracked, broken or uneven driveways and walkways to provide a level walking surface.