Why you should purchase the "Damage Waiver" when renting a car.
In an article published by the International Risk Management Institute, Timothy O'Brien lists several reasons why you should obtain a Damage Waiver when renting a car. O'Brien explains even though many personal auto insurance policies have some coverage for rental cars, there are still risks in renting a car that may not be covered by your policy.
O'Brien states that that by declining the Damage Waiver you become liable for many costs that may arise if the car is damaged or stolen. Some of those costs include:
- Minor Damage claims - charges for minor damages (small scratches & dents) that are usually less than the deductible on your auto policy.
- Loss-of-use - charges resulting from the rental company's inability to rent the car while it is being repaired.
- Loss of value - charges resulting from the loss of value in the vehicle once it is damaged or involved in an accident.
Fees - charges to cover towing, claims adjustment, and storage.
Settlement Disputes - Charges resulting from the discrepancy between what the insurance company will pay and what it costs to replace/repair the damaged vehicle.
O'Brien also lists some additional benefits of purchasing the damage waiver which include: reduced time and stress when renting a vehicle, not having your credit card charged for uncovered charges in the event of damage or loss, and the benefit of not having a claim filed under your own insurance which may affect your rates and insurability.
Call us today at 877-506-5061, to ensure your auto insurance policy meets your needs.