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Does Auto Insurance Cover Rental Cars in USA?

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If you rent a car for a short period of time, such as for a vacation, your auto policy’s widest coverage will apply to the rental car if you are driving in the United States or Canada. This means that if you only have liability coverage, the only coverage that applies to the rental car is liability coverage. If you have Comprehensive and Collision coverage on a vehicle on your policy, these coverages will also apply to the rental vehicle.

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What isn’t covered if I have a rental car claim?

If your rental automobile is damaged while you are renting it and the rental company charges you rent for the time the car is out of service while it is being repaired, the rent you are charged will not be covered by your auto insurance.

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What happens if I file a claim for the rental automobile on my insurance policy?

The deductibles would apply if you filed a claim on your auto coverage for damage caused by or to a rental car (for comprehensive and collision). Your rates would be affected in the same way that they would if you were driving your own car and got into an accident. Accidents have a five-year impact on your auto insurance costs.

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