Let us help you determine if your insurance policy covers a replacement car and whether you should include this coverage on your next car insurance policy.
This is a common question, so let us assure you, you are not the first person to wonder about this. We want to tell you that there is no black or white here: simply a policy that we need to dig deeper into. But don’t worry, with these hints and tips, you’ll be on the road to making the right decision for you!
So, you thought about renting a car for a long weekend road trip, but the website asked if you wanted to add insurance for your rental vehicle for an additional amount. Confused with the question, you think back about the comprehensive car insurance you bought for your vehicle and wonder if (and secretly pray!) it covers your rental car. Well, let’s try to help you figure that out.
The Common Situation
When it comes to car insurance, most comprehensive policies don’t cover you for a rental car, and the ones that do, only protect you against third-party liability, meaning you probably need to think about the different kinds of rental car insurance you can get. UAE legislation mandates that all rental cars have basic third-party liability insurance, which is included in the daily rental rate. So with the legal requirements taken care of, you might still want to protect yourself against any nasty surprises like a big damage invoice for any “own fault” incidents whilst the vehicle is being rented to you.
Additional covers you should consider
With that in mind, you can still get an extra level of security by opting to take out one of the different types of comprehensive rental car insurance. We’ll highlight below what each one covers and what is essential for you to be prepared in case the unexpected happens.
Collision Damage Waiver (CDW)
This means that if any damage is caused to the car while it is in your possession, the rental car company will waive their rights to make you pay for the damages, but might still make you pay their excess on the claim.
Personal Accident Insurance
Covers you and the passengers in the rental car against any medical costs arising from an accident.
Personal Effects Coverage
Covers you if any of your personal belongings get stolen from the rental car up to a specified limit.
Deciding which cover to choose for your rental car can be challenging, so take your time and do your research. You might want to consider asking some friends about their rental experiences. If you’re considering a plan, we’re grateful to have it or wish you had purchased one. Contact one of the friendly Advisors at InsuranceMarket.ae; we’d love to answer any questions you might have, and wish you safe travels.
