If you are interested in a short term car insurance policy or cover you are either going to be renting a car or borrowing one from someone. I explain the different scenarios and why you may not need car insurance for each one…
Renting a car: You are likely to be offered liability coverage, a loss damage waiver, personal effects coverage, and/or personal accident insurance. If you have already have car and health insurance you probably don’t need any of the rental car company’s insurance policies. Furthermore, if you use a credit card to pay for the rental car, the credit card company may pay for the cost to insure the rental car. To be on the safe side it is in your best interest to call your car insurance and/or your credit card company to make sure that you are covered. Because a rental car company’s insurance fees are expensive, it is worth your time making sure that you don’t need any of their inflated coverage.
Borrowing a car: If you own a car and have the respective car insurance you needn’t worry as the coverage on your car transfers over to the owner’s vehicle. If, however, you don’t own a car you’re going to need a nonowners policy to protect yourself against liability claims if you are found guilty an accident. If you damage that person’s car and only have a nonowners policy you better hope that that person has collision and/or comprehensive coverage to help pay for the costs to repair his or her car.
By: Nickolay Lamm
Posts Tagged ‘Renting A Car’
Short Term Car Insurance Policy
December 25th, 2009Why You May Need Short Term Car Insurance
December 13th, 2009
Just like its name implies, short term car insurance will insure your car for a short period of time. This option is reasonable if you have recently purchased a car at a private dealership, or are in flux regarding the final details of your long term car insurance. This kind of insurance is also a solid option for those who need to lend out their own car, or borrow someone else’s car.
You also might desire this type of insurance plan if you are renting a car to travel on vacation or a short trip, or even if you have a foreign guest who needs the use of your car. Your regular insurance plan may cover a secondary driver of your vehicle, but an additional short term insurance policy can protect you from damages that fall outside of your normal policy.
You can choose a period form three days up to a few months for your shorter term car insurance policy. Different companies will offer different plans. Any insurance policy that spans a period of time under one year is called ‘temporary insurance’. It’s even possible to obtain an insurance policy that covers a single day, if that’s all you need. This is also very convenient, as you can download any documents you’ll need to fill out, and can obtain this insurance on the spot. All you need to do is print it out and carry it with you when you go driving.
This option is free from hassles and easy on your wallet, as opposed to the complicated process of getting a normal insurance plan. You won’t have to worry about annual premiums at all. Usually, you can extend your short term policy if needed, or you can also augment it into a long term policy with additional money. You can also use your credit card to instantly pay your cover claims online.
Shorter term insurance suits those who do not use their car frequently or on a regular basis. If this is you, your car might not be an asset, but a liability. You can decide to rent a car for a defined period of time in some circumstances, and a short term insurance policy would also work in this situation.
Be aware that all insurance policies will have conditions that you should make yourself familiar with. Consult with a few companies and make comparisons before you settle on one business. Because you can instantly receive short term car insurance, doing some research can be invaluable to you.
By: I T Jenkinson
Short Term Car Insurance
November 25th, 2009
Short term car insurance is very convenient for people who have a short term need and don’t want it to affect a policy that they may have in effect on another vehicle. Short term car insurance is extremely useful if a car is stored in an area where there may be a hurricane or tornado.
Short term car insurance can be acquired for the hurricane season and if a car is damaged or destroyed during the insurance period it will pay the costs of repair or replacement. This is very important in regions of the United States that experience severe hurricanes and tornadoes during the year.
When renting a car, the insurance that is issued on the car’s contract often only covers the person renting the car. When the car is being used by a group of friends for vacation travel, short term car insurance can be acquired to cover all of the individuals who will be driving the car. This is an important benefit if the driving will take place in regions of the country or cities that the drivers may not be familiar with. In some cities there is a very high incident of accidents because traffic is very heavy and the drivers do not obey all of the rules of the road. As a visitor, it is easy to become distracted and get into an accident on a busy city street. By acquiring temporary car insurance any accidents that occur during the vacation are covered and will not be reflected on your established policy. Therefore, insurance rates will not increase for you or your driving partners.
As a visitor to the United States, many people become quite confused by our driving rules and regulations. Many of the rules of the road in other countries directly conflict with the rules of the road in this country. This can create a very distracting driving experience for visitors who may not be familiar with our regional laws. Temporary car insurance will take care of any damage that occurs if a visitor to the United States gets in an accident. They will be able to focus on enjoying their stay in the United States and not worry about what the ramifications of getting into an accident in a foreign country are.
If a person is going to have a vehicle for a very short time or transport it from one location to another, it is important that they acquire temporary car insurance to cover the time they will be driving the car. If an accident occurs the temporary car insurance policy will cover the repair or replacement of the car and the accident will not increase your insurance rates with your established insurance company.
By: Oliver Williamson