Is It Smart To Use Rent Money For Car Repairs

Man smiles from driver seat of rental car

After a car accident, yous have plenty things to worry about. Getting to piece of work the next 24-hour interval shouldn't exist one of them.

Nosotros've all been there—and arranging alternate transportation while your vehicle is in a repair shop can be a hassle. But rental reimbursement coverage can assistance alleviate some stress after an blow while also saving y'all coin.

Here are seven things yous should know almost before buying rental car reimbursement coverage:

one. It's optional.

Rental reimbursement coverage does non automatically apply subsequently an accident. Equally an optional coverage, it must be purchased separately. A mutual misconception is that auto insurance automatically covers the cost of a replacement rental car. In reality, you ofttimes have to select this coverage and use it to the policy.

ii. There is a limit.

Yous'll likely take a per day and per occurrence limit. For example, if y'all have a 25/750 limit, your insurance company will pay up to $25 per solar day only no more than $750 per claim for the rental vehicle. Most insurance companies will offer several different options, allowing you to cull the limit that is right for you.

iii. Your vehicle must exist in the shop due to a covered loss.

Rental reimbursement coverage can be used while your vehicle is being repaired after an blow or some other covered loss, not for routine maintenance or leisure. And so, if your automobile is at the body shop afterward an blow, a rental car is covered up to your limit. Only if your car is undergoing routine maintenance that volition keep it in the store overnight or you are renting a vehicle for a family road trip, then rental reimbursement coverage would not apply.

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iv. Y'all tin employ it right abroad.

After reporting a claim, if your vehicle isn't drivable, you can exist authorized for a rental automobile right away. Otherwise, you lot will exist relying on the at-error commuter's insurance visitor, and you may have to await a little while before they tin assess the claim and agree to pay for a rental automobile. With rental reimbursement coverage, there's no waiting.

five. No need to worry almost additional insurance.

For the most part, when you lot have collision and comprehensive coverages in your machine insurance policy, it will transfer to the rental vehicle, eliminating the need to purchase boosted coverage from the car rental bureau. Check with your Grange agent, who volition exist able to tell you when this applies.

6. You may non need it at all.

If you have admission to another vehicle, rideshare service or public transportation in the event your vehicle isn't drivable, you lot may not need rental reimbursement coverage. But if you lot adopt the safety net of having a rental available if yous need it, you lot may want to opt-in to this coverage.

7. Information technology costs less than you might expect.

One year of rental reimbursement coverage will typically price less than one day of out-of-pocket rental machine expenses.

Want to learn more than? Talk to your local independent Grange agent for consummate details on rental reimbursement coverage.

Reference
- Insurance Information Institute

This article is for informational and suggestion purposes only. If any policy coverage descriptions in this commodity conflict with the linguistic communication in the policy, the language in the policy applies. Implementing 1 or more of these suggestions does not guarantee coverage. For full details on Grange's machine insurance coverages and discounts, including rental car reimbursement coverage, contact your local, independent Grange insurance agent.