What Not to Do When Renting a Car
The costly mistakes happen before you leave the rental lot, not after.
The biggest mistake is not checking what coverage you already have
Most of the trouble with rental cars starts with assuming you're covered and finding out later you weren't. Your own auto policy may extend to a rental car, but not always in the same way, and the rental company's own insurance options are sold to you fast, at the counter, without much explanation.
The fix isn't complicated. Call your insurer before you rent and ask directly what your policy covers on a rental car and what it doesn't. Then you can say yes or no to what the rental counter offers you with an actual answer instead of a guess.
Skipping the walk-around before you drive off
A rental car has usually been driven by several other people before you, and any scratch or dent already there can get billed to you if nobody wrote it down first.
Walk around the car with the agent, or take your own photos and video before you pull out of the lot. Check the bumpers, the wheels, the windshield, and the interior. If the counter is busy and nobody offers to do a walk-around, ask for one anyway.
Keep the photos until well after you return the car. Some damage claims show up on a bill days or weeks later, and the only thing that protects you is proof of the car's condition when you took it.
This matters more for older drivers, since a disputed claim can also show up as a mark against your own insurance history if you let the rental company process it that way instead of catching the error yourself.
Assuming your credit card covers everything
Some credit cards include rental car coverage, but it usually has conditions. It may require you to decline the rental company's own collision coverage, or it may not cover certain vehicle types, or it may only apply in certain countries.
Check your card's benefits guide or call the number on the back of the card before you rely on it. Don't take the rental counter's word for what your card covers, and don't take your own memory of a benefit you read about once.
If your card does cover it, ask whether it's primary or secondary coverage. Secondary coverage only pays after your own auto insurer pays its share, which means you'd still need to file a claim with your insurer first.
Questions people ask about this
Does my auto insurance cover a rental car?
It depends on your policy, not on rental cars in general. Call your insurer and ask specifically what applies to a rental, including liability, collision, and anything else on your policy. Don't assume your coverage transfers exactly as it is on your own car.
Should I buy the rental company's insurance?
It depends on what you already have through your own policy or a credit card. If you've confirmed real coverage from one of those sources, you likely don't need the rental counter's version too. If you haven't confirmed anything, buying it removes the guesswork.
What happens if I get in an accident in a rental car?
You report it the same way you would with your own car, to the rental company and to your insurer if your policy is involved. Keep a copy of the police report and any paperwork the rental company gives you, since you may need both later.
Can a rental car accident raise my insurance rates?
If your own policy pays out on a claim from a rental car accident, it's treated like any other claim on your record. Ask your insurer directly how they handle rental claims before you decide whose insurance to use.
Do I need extra coverage for a rental car in another state?
Insurance rules and your own policy's coverage can both vary once you cross state lines, so ask your insurer before the trip rather than assuming the same coverage applies everywhere you drive.
Before your next rental, it helps to know what your own insurance actually costs and covers.
Before you book your next rental, call your insurer and ask what your policy covers on a rental car, including liability and damage to the rental itself. If you have a credit card you plan to rely on, call the number on the back and ask the same question. Write down what each one tells you so you're not relying on memory at the counter. When you get to the rental counter, do a full walk-around of the car and photograph any existing damage before you drive off. Keep those photos along with your rental agreement until you've returned the car and seen the final bill.
