Car rental companies are notorious for adding extra charges to your bill, so much so that you’ll be completely shocked at the final price. You may have to pay cleaning fees, upgrade fees, GPS fees, auxiliary driver fees, and other hidden fees that add to the cost of the original lease.
One of the biggest additional costs you may face is insurance. Car rental insurance should protect you from the full cost of car repairs and other related expenses in the event of a problem such as a collision. But did you know you don’t have to buy this insurance? Despite the pressure put on you by the rental company, you do not have to agree to the service. You can save yourself some money and skip this addition to your bill.
But how to protect you in the worst case? Don’t worry about it. You may already be covered through these different safety nets.
Your car insurance policy:
If you already own a car, you probably have auto insurance – almost every state makes it mandatory for you to have auto insurance in order to drive a vehicle. If you happen to live in a state that does not require auto insurance, you should still purchase it to protect yourself from the costs associated with a car accident.
Your car insurance policy may provide protection for any vehicle you rent. So if you have an accident in a rented vehicle, you will still have access to liability and collision coverage through your policy. Double check your policy to confirm that your coverage covers rental cars.
Your travel insurance policy:
Did you purchase a private travel insurance plan prior to your vacation? This is a good safety net to build for yourself. Travel insurance plans can help you pay for expenses related to flight delays, flight cancellations, lost luggage, and emergency medical treatment while you are abroad.
It may also help you with car rental problems. Check your policy to see if you have any protection against rental vehicle issues such as crash damage or theft of personal property.
Your credit card Benefits:
Some credit cards offer rental car insurance as a benefit, as long as the account holder uses the card to book a fee and declines the insurance offered by the rental company. Such rental insurance tends to cover repairs for collision damage, theft, towing costs and loss of use (which are meant to compensate the rental company for financial losses that may arise when the damaged vehicle is taken out of circulation).
Typically, credit cards offer what’s called “secondary coverage,” which means the policy doesn’t kick in until the primary insurance company (in this case, your car insurance company) accepts the claim. After the primary provider accepts the claim, you can seek help from a secondary insurer to cover any additional costs, including your auto insurance deductible.
Your emergency fund:
Do you have an emergency fund in your savings account? If you do this, then you will be prepared to pay out of pocket for emergency costs, such as roadside service charges when you are not enrolled in a roadside assistance program. You can easily use your savings to pay for services such as towing, fuel transportation, and starting dead batteries. You can also use these savings to pay your car insurance deductible if you need to make an emergency claim.
What if you don’t have enough savings in your emergency fund? When you’re facing emergency expenses and your emergency fund isn’t enough to cover the full cost, you can try applying for an online personal loan through CreditFresh as a backup plan.
Your online personal loan application may be approved, which can provide you with enough temporary funds to deal with an emergency at short notice. After paying your emergency expenses, you can commit to a simple loan repayment plan through your monthly billing cycle.
You should only use personal loans for emergencies. This borrowing solution does not apply to other types of expenses, such as paying to upgrade a rental vehicle or buying fuel for a road trip.
Don’t be forced to spend more than necessary on car rental. If something goes wrong on the road, your current safety net will likely provide you with plenty of protection.
Age and licensing requirements
Before renting a car, it is necessary to check the age restrictions and driving license requirements set by the rental company. Most companies require renters to be at least 21 or 25 years old and must have a valid driver’s license. Some companies may also charge age-related surcharges for younger drivers, so it’s crucial to be aware of these requirements to avoid any surprises at the rental counter.
Understand the lease Terms
It is important to familiarize yourself with the terms and conditions of the lease. These terms outline lease terms, mileage limits, fuel policies, and return procedures. Pay close attention to the mileage limit, as exceeding the mileage limit may incur additional charges. Fuel policies may require you to return the car with a full tank or pay for missing fuel. Understanding these terms ensures a smooth rental experience.
When you embark on a car rental journey, it’s crucial to fully understand the complexities of the process, including understanding the timelines involved in resolving a vehicle accident claim, another topic covered extensively in the resource.
Vehicle inspection
When you pick up your rental car, take the time to thoroughly inspect it. Check for any existing damage, such as dents, scratches, or internal problems. Record any findings in the lease agreement and ask the leasing agent to acknowledge them. This inspection is essential to avoid liability for damage that occurs before the lease.
Return process
Proper return of rental vehicles is essential to prevent additional costs. Follow the rental company’s refueling guidelines, which usually include using the same fuel level when returning the car as when you received it. Make sure to return your car on time to avoid late return fees. It is also a good practice to clean the inside of the vehicle and remove personal belongings before returning it.
