Risk & Business Magazine Spectrum Insurance Magazine Fall 2018 | Page 28

RENTAL CAR INSURANCE

Rental Car Insurance Considerations

BY : GREG GOETZ , INSURANCE ADVISOR , SPECTRUM INSURANCE GROUP

When it comes to renting vehicles for business use , it ’ s important to understand your coverage options to smooth out any surprise bumps in the road . Since coverage varies from one rental agency to the next , it ’ s important to know the risks and how to protect against them .

For years , we have been advising our clients to purchase “ hired car physical damage ” on their business auto policy and to reject the insurance offered when you rent a car . Since hired car physical damage covers rented vehicles the same as it would an owned vehicle , why would you pay more for a loss damage waiver ( LDW ) or a collision damage waiver ( CDW )? Because rental agreements have evolved in recent years and can possibly create pitfalls for auto renters .
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