What is rental car insurance?

What is rental car insurance

All rented vehicles must have at least, Civil Responsibility insurance.

If you plan to rent a car, you should know that during the rental period, you will be responsible for anything that happens to the vehicle or its occupants if you suffer an accident.

Car rental platforms, such as Social Car, are required by law to have their fleet insured with at least Civil Liability Insurance for damages caused to third parties. However, depending on the company, it may have some more coverage.

In any case, the driver who rents the car has the option of contracting the coverage that he needs since he must consider that he is going to drive a car that he is not used to and indeed also in a place that he does not know. For this reason, he should also be clear about what insurance coverage is included in the rental company’s policy to assess if he needs any additional coverage.

Types of car rental insurance coverage

As we have explained, rental cars can be insured with different coverages, although always compulsory Civil Liability insurance. The rental company will give you further options, always with a maximum amount that, if exceeded, will be borne by the driver. In addition, it is also likely that there are some exceptions in the coverage, with which you must agree when signing the car rental contract, which will also include the chosen insurance.

So that you know the characteristics of each of the insurance options for a rental car, below, we will present the different coverages that can be contracted for a rental car.

Liability insurance

The Civil Responsibility Insurance is the one that, as we have said, is already included in the car that you are going to rent, intending to cover the driver’s responsibility for the damage that may be caused to third-party vehicles. Or the injuries that may be caused by accident to drivers and passengers of other cars.

You must remember that Civil Liability Insurance does not cover damage to the rental vehicle.

CDW or LDW insurance

Insurance with collision damage waiver, Collision Damage Waiver (CDW), or Loss Damage Waiver (LDW) has coverage for thefts, crashes, or accidents during the car rental period.

Whether this type of insurance covers the total costs or not will depend on the company, and it should also be taken into account that some damages, such as those caused by vandalism, may not be included.

Theft Protection Insurance (TP)

Theft protection insurance, also known as TP or TW, covers the car’s value in the event of theft, so the responsibility no longer falls on the renter, and the insurer will take over.

This coverage does not usually cover the car’s total value since it is associated with excess, so you would have to pay the amount of the quantity. That is, the amount that the driver assumes in the event of an accident with the car and that has been previously agreed with the company that has rented the vehicle. This concept is closely linked to the car’s market value, which you must know how much money you are entitled to in the event of the vehicle being stolen.

Personal accident insurance (PAI)

The PAI (Personal Accident Protection) is the insurance that covers the damages that the driver or the vehicle’s occupants may suffer in the event of an accident. The PAI includes medical expenses until disability or death. In addition, the PAI also covers the theft of personal items found inside the car.

Window and wheel coverage

On the other hand, you can also take out insurance with coverage for windows and wheels, which covers the damage that these two elements of the rented car may suffer and for which you will not have to take responsibility.

Rental insurance for days

Remember that at Seguropordias, you can take out your car, motorcycle van, classic car, or quad rental insurance online if the license plate is Spanish or by phone if it is a foreign license plate, but always quickly and conveniently. You will find all the documentation we send you if you take out daily insurance for your vehicle.

By aamritri

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