Do you understand your Auto Insurance policy? Most people will tell you that they do not. Well, I am here to help. Today we will talk about Rental Reimbursement. I know, you can hardly contain your excitement, but this is important. In a day and age that a lot of people buy their insurance online you need to understand this.
This coverage reimburses you for a rental car that you would drive while your car is at the auto body shop if your car is in an accident. I often hear people say "I have full coverage." That usually refers to collision and comprehensive coverage being added to the policy, but does not necessarily mean that you have rental reimbursement coverage.
I have had clients over the years who bought their insurance online come to me after a claim with the other company. So often when buying online, the computer dictates the cheapest coverage for you, which leaves this important coverage off. Some of the companies make you use their repair place and it sometimes takes a while to get your car back.
I had a client that found out the hard way and came to me after her horrible experience. She had an accident. The repair place that was dictated by the insurance company took 32 days to fix the car. She had a rental for about $30 a day. So, $30/day X 32 days=$960. She had to pay $960 out of pocket just for the rental car! That does not even take into account her deductible for the car repair.
If she would have been offered this coverage, or had someone explain this coverage to her, she would have paid the extra $6 every 6 months for it. (Just an example, in this case the coverage would have costed her $6).
If you are in Arizona or Wisconsin and would like someone to do a free, no obligation review of your policies, get in touch with me.