Car Rental Question-Help

 

Hello.

I don't own an automobile but will be renting a car soon for a trip.
The fact that I don't own a car means that I don't have car insurance,
either.

I looked at car rates through priceline, and I see that Priceline
offers $11 a day for collision coverage. Should I get this? Would that
be all the insurance I'd need in my case?

Or am I better off getting the insurance that the rental company
offers?

Do I need both collision and liability coverage?

Thanks.

 




Your credit card MAY offer free auto rental insurance.  Ask them.  If they
do, you have to pay for the car rental with that card.

 



No credit card offers liability insurance for car renters, but many
offer CDW coverage.

 

Mark Ratner wrote:

If you don't have auto insurance, you should consider purchasing a CDW
(collision-damage waiver) AND personal liability protection from the
rental car company. A CDW will keep you from being held personally
liable if your rental car is in an accident, vandalized, or stolen. If
the $11 is for a CDW, that's actually pretty reasonable - $15 per day is
more typical.

Some form of personal liability coverage is a must - damage to other
cars and injury to other passengers won't be covered without it.
Liability coverage from the rental car place will probably run you an
additional $7-$14 per day — a small price to pay to avoid a potential
financial disaster.

 




You need liability.

If you cause an accident that sends a bus full of pro football players off a
cliff, you'll also be on the hook for replacing the several hundred million
dollars of earning potential you just destroyed. Collison coverage won't
help you there. Depending on what state you're in, there are also financial
responsibility laws that make it illegal to drive if you don't have $50,000
(or some other big number) on tap to pay for other guy's losses in a timely
fashion. That's where your need for liability insurance comes in as it's the
only feasible way for most drivers to comply with this requirement.

You may not "need" collision if you're rich enough to pay for the rental car
and the loss of use without going into hock. Of course, the rental company
is free to refuse to rent to you if you don't have proof of collision
coverage and arent' willing to buy their CDW.