What is an insurance replacement rental?

An insurance replacement rental is when an insurance company provides you with a rental car, or it is when you rent a vehicle to replace your own vehicle and get rates and calendar day billing as if the insurance company was paying for it. Most people don’t know that if you have a current insurance claim, the larger rental car companies will extend the discounted rates to the customer in most cases.

When I am the claimant in an insurance claim( not at-fault party), do I receive a rental car comparable to my vehicle? The insurance company is not required to provide you with a comparable vehicle; however, more often than not, adjustors will authorize you to get vehicles similar to what you currently drive. In other words, don’t expect a Mercedes if that was the vehicle involved in the accident. But it doesn’t hurt to ask for a luxury vehicle. However, if you drive a minivan because you have 4 children, it has been experience that adjustors accommodate you with the same. If you are the insured party, you need to check your policy to see if you have rental reimbursement and what, if anything it covers.

Do I have to leave a deposit?

Most rental car companies require a security deposit when renting the vehicle through insurance replacement, even though the accident may not have been your fault. In some cases, a deposit is not required and additional paperwork is required through the rental car agency. Be sure to speak with your adjustor before going to the rental car agency if the security deposit may be an issue. Also call the rental car agency before going to get the rental vehicle to avoid problems in renting the vehicle.

What is the minimum age required to rent a vehicle through an insurance replacement? The minimum varies with rental car companies and the agreements they have with insurance companies. You would need to call the rental car agency and your adjustor before renting the vehicle.

Why do rental car companies offer coverage for the rental car when I already have insurance to cover the vehicle and who pays for this? In most cases when you have rental car coverage your adjustor will take you not take the “insurance” provided by the rental car agency. However, the coverage is not “insurance”, it is a coverage for their vehicle into which it allows you to assume no responsibility for any damages to the rental vehicle. If you were to have an accident in a rental vehicle and your insurance covers it, you would have to file a claim and pay your deductible as if the car was your own. In my opinion, ,if you are going to have the rental for only a few days, you may still be a somewhat indifferent from your recent accident and me be somewhat nervous in the new vehicle, it may be beneficial to accept their coverage. I am speaking of the CDW (Collision Damage Waiver), LDW (Loss Damage Waiver), DW (Damage Waiver) only. The name of the coverage depends on the rental car agency; however, I am speaking of only coverage for the vehicle, not medical or liability. Or if you are going to have the vehicle for a long time, it may be beneficial to add the protection for a few days or until you get acclimated to the rental vehicle. If you put the coverage on, it is something that you would pay for out of pocket. Secondly, if you want to take the coverage off, the original renter, along with rental vehicle are required in person to take the coverage off. It must be signed off. Beneficially, the coverage or protection for the vehicle is discounted because you are going through the insurance company. Use your discretion and choose wisely to accept or decline the protection. Most importantly, check your rental vehicle for damages before signing the contract!

If you are the claimant (not-at fault party), and your personal insurance does not extend to a rental vehicle, you would need to contact your adjustor and let them know. Most reputable companies would require that you send them proof of this in the form of a declaration page from your own personal insurance company before they would cover it. Secondly, the age of the renter determines the amount of coverage with some rental car companies.

If you have any more questions concerning renting the vehicle, your P.I.P. rights or benefits, questions about injuries, call 904-329-0990 or use this site to send an email! Ask Frank, he has the answers that can help!

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