Rental Car Insurance Checklist
Verify this information before renting a car to save yourself time, angst and money.
- Is my trip for business or personal reasons?
- Will I be renting for a week or longer?
- Does my current auto policy apply to this rental?
- Do any of my credit cards offer additional or better coverage if I use them to pay for my rental car?
- Do I have to decline coverage at the rental counter for these coverages to apply?
- Do I have medical coverage through my auto or health insurer?
- Do I have homeowners or renters insurance to protect my personal belongings?
- Is my rental part of a travel package, and is insurance included?
- Does my auto policy cover rental agency administrative costs, loss of use and other expenses?
How Do I Know If My Car Insurance Covers Rental Cars
Most personal car insurance policies cover basic car rental incidents. You can check your auto insurance policy or call your insurance agent to find out the current coverage amounts.
Most credit cards offer collision and damage waiver coverage. With the exception of the Chase Sapphire Preferred and Chase Sapphire Reserve, you will likely have to submit a damage claim with your car insurance provider first.
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What Can Impact My Car Rental Price
The companies that offer you a rental car will charge based on different factors, such as the drivers age, the length of your rental contract, and the type of car you rent. If possible, go online and try to book in advance to get a better price. Also, consider choosing alternative locations such as airports where rates should be cheaper than downtown areas.
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The Cost Of Car And Campervan Rental Insurance In New Zealand
Insurance cover is the extra that many travellers go for. For this reason, it is important to include it when comparing your different options for car or campervan rentals. A simple NZ$20 difference on an insurance daily rate can add up to a lot at the end of your trip.
Almost all car and campervan rental companies in New Zealand have basic insurance included in the standard rental rate. This basic insurance has a high excess with the option to reduce this excess to, for example, NZ$250 or NZ$0 excess for an extra daily cost. Be aware that some accidents like damage to tyres and windscreens are often not covered.
Learn more about how vehicle rental insurance works in New Zealand Rental Car & Campervan Insurance: Explained!
The Cost Of Renting A Car
So, leasing is a sure way to get around town the way you wanted it to. An idea of how much does it cost to rent a car is a breather since its flexible and allows you to make the most of your trip by going where you want. The average car rental cost varies by car class. According to USA Today, there is what we call the economy, intermediate, standard and luxury classes to determine what they can offer and which is perfect for your budget.
Economy Class. Economy rental cars are the basic leasing cars with rental car prices ranging from $25 to $65 per day. These cars are small and can fit only a family four. Theres hardly enough room for bags and luggage. Because of the average car rental costs they have, only basic features of driving is available. By that, it means, no GPS.
Intermediate Class. These are mid-size rental cars that cost approximately $50 to $70 per day. Its roomy-ness can fit four to five people. The trunk is wide as these mid-size cars have enough space to fit two large suitcases and two smaller ones.
Standard Class. Big cars or the full-size rental car prices from $55 to $75 per day. These babies have the most room for the best prices. Possibly, the car can fit five to six people inside of it. Standard cars are the best choice for those who travel with lots of luggage.
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Hidden Fees And Additional Costs
Car rental companies also charge hidden fees that affect the cost of the rental. They build some of these fees into the cost of the rental. Others may appear on statements several months after the rental period.
Although knowing about these hidden fees helps renters understand why the total rental fees cost more than the advertised rental price, there is usually little that can be done to avoid them.
Where You Pick Up
Renting a car at the airport is incredibly convenientand significantly more expensive. If you are flying into a large city that has easily accessible public transportation options, ride share services, or taxis, consider looking for rental car deals outside the airport. You might save much more than the taxi fare.
Part of the greater expense of an in-airport car rental is a concession fee that some companies charge to cover the amount they must pay to the airport for having a rental counter there. For example, Thrifty may charge you that concession fee, and Budget may charge both concession and facility fees at airports.
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Average Cost To Rent A Car
To give you an idea of how much it costs to rent a car, weve selected some of the most popular car rental locations in the US and abroad so you can check the price difference.
Here, weve added the lowest and average price paid per day for every location. Please keep in mind that the prices listed as lowest will most likely be found for economy cars and the average is calculated between all car rental categories.
The prices youll be seeing below are taken directly from the Rentcars.com website you can do your own search with specific dates and locations here!
| US Location |
Pip Or Medpay Vs Rental Car Personal Accident Insurance
If you or your passengers are injured in an auto accident in your own car, the medical expenses may be paid by personal injury protection , medical payments coverage or health insurance. The coverage may also include reimbursement for funeral costs. Rental companies offer the same type of insurance but call it personal accident insurance.
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International Car Rental Insurance
If you travel to Mexico or Canada, your personal insurance may or may not cover rental cars in those locations. Its a good idea to speak to your agent to find out before you go. Generally, standard auto insurance companies in the U.S. dont cover rentals abroad, so it may be wise to purchase rental car insurance in that situation.
Book Rental Before Airfare
The shortage is likely to last at least through the summer, according to Jonathan Weinberg, founder and CEO of AutoSlash.com.
So instead of booking trips the way most people have in the past plane first, accommodations second, rental car last this year, he said, youre going to need to turn that process on its head. Youre going to need to check your car rental rates before you even book your airfare.
Even if you do, be prepared for the fact that rental rates are crazy high right now, Weinberg said.
When Brittney Martinez first started looking for a rental car on Maui a couple of months ago for her August honeymoon, it was over $1,000 for a week, she said. When I saw $1,000, I was like, Oh no, this is way too much.
She started looking at rental places away from the airport, which is something Twidale of AAA recommends, and found a car for a bit less $600 for the week instead of a thousand.
It was still more than she was hoping to spend, but she decided to reserve it, just in case.
You dont have to pay at the time that you book it, Martinez said, so I was like, I can always shop around and see if theres anything that comes available.
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Eu/eea Residents: Typically Free
In most cases, EU/EEA residents should be able to obtain a NIF number simply by going into a Finanças or Loja do Cidadão office and requesting one. A fiscal representative is not required and EU/EEA residents dont typically need a NIF before moving to Portugal, which means that they generally dont need a lawyer or company to obtain the NIF for them.
If for whatever reason someone does obtain a NIF on your behalf your lawyer when youre buying a property for example then you would obviously pay for that service, and the figures above would apply here. If youre in Portugal, however, you can probably save money by going and getting the NIF yourself.
Variables That Affect The Cost Of Renting A Car
The total price of renting a car depends on a number of variables that in the majority of cases increase the amount you will have to pay.
Here is the full list of things that affect the cost of your car rental:
- Location – country and city you are renting the car in
- Dates during which you rent
- How long in advance you book
- Premium location surcharges
- One way rentals affected by drop off location
- Type of car you choose
- Extras to go alongside your rental
- Whether you are paying direct or using a broker
- Your age and personal details
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Rental Car Insurance For International Travel
You may find that your U.S. auto insurance policy excludes coverage in foreign countries. You can fill the gap by purchasing rental car insurance from the rental agency, a standalone policy or through your credit card.
However, check your credit card benefits first. One real advantage they offer is coverage in many overseas locations. MasterCard, for instance, offers rental car coverage in countries worldwide except Ireland, Israel, or Jamaica. MasterCard says that you may be unable to receive benefits in Australia, Italy, or New Zealand.
When Youre On A Budget
Hiring a car rental allows you to keep driving to get where you need to go. This can be very useful for people who are on a budget and want to use their vehicle for as long as possible. Try to rent for longer periods if cost is not a concern, but be prepared for additional charges with the length of your rental agreement.
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What Is Included In The Price
You should decide if there is anything that you need to have included in the price. If additional fees are tacked on during your rental, it will be harder to negotiate a lower price once youre at the counter. You should find out what kind of fuel policy is being used and whether or not they offer upgraded plans. It is also crucial to know what kind of insurance is offered and how much it will cost you. Youll also need to decide if you need an additional driver or if you will be the only one driving the vehicle.
Best Car Rental Insurance
At the end of the day, its more economical to get a full coverage car insurance policy from a reputable provider than to pay for rental car insurance regularly. Many of the industrys leading providers like Geico and USAA offer coverage that can apply to rental vehicles when you travel within the U.S. To find coverage that works for you, we recommend comparing car insurance quotes from multiple providers.
Geico: Editors Choice
Geico offers a wide range of coverage options with a number of extras like roadside assistance and classic car insurance. After comparing every major provider, we rated Geico at 9.2 out of 10.0 and named it the top insurer in the nation. Drivers tend to find affordable rates from Geico, and many have positive experiences with the companys claims service. Having been in business for over 80 years, Geico has a strong reputation with an A++ financial strength rating from AM Best and an A+ rating from the Better Business Bureau .
Our rate estimates show full coverage insurance from Geico costs $1,308 per year on average. This estimate applies to 35-year-old drivers with good credit and good driving records. Compared to other national providers, Geico is one of the top three companies for affordability.
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The Route You Take Can Make A Lot Of Difference To The Car Rental Price
The route can affect your price in 3 key ways:
1. One way car rentals can significantly increase your rental cost. In most cases your price will have an extra one way rental fee added to it. The rental company will claim that it’s to cover getting the car back to the original location but in truth that will never actually happen and the extra fee goes straight into the profit column.
If at all possible, try to avoid one way rental itineraries.
If you can’t avoid it, try not to plan routes that cross multiple states or, even worse, multiple countries. In Europe, the extras can be very high. In other countries you will often not be able to drop off in a different country, but you may have to pay a big premium to drive there for part of your rental.
Top tip: If you are doing a one way rental, check every major rental website and ignore our advice above by checking the biggest locations such as those at airports. This works well if you are booking close to the time when you are going – some rental companies will have cars that have to make their way back after the previous one way rental in the opposite direction.
Check all the prices, including the special cars and you might just find a bargain. We once drove a very nice Mustang GT from Memphis over to Savannah in Georgia for a lower price than the cheapest compact car. The car had Florida plates, so we were clearly doing the rental company a favour in taking it most of the way back!
Average Daily Rental Car Costs Have Shot Up $35 To $81 Only In The Past Two Years
The semiconductor shortage means it is difficult for rental companies to restock their fleets
Rental car prices have soared during the COVID-19 pandemic and are expected to continue to rise throughout 2022.
Data from travel company Kayak reveals that the average daily rental rate for a car in the U.S. in December 2021 was $81. That is up 31 per cent from the year prior and up even more since December 2019 when the average rental rate was around $46 .
A number of reasons help to explain why prices have jumped so dramatically. At the start of the pandemic in early 2020, many rental car companies sold large numbers of vehicles and while travel has rebounded, the global semiconductor shortage has made it difficult for rental companies to restock their fleets.
Auto Rental News reports that a total of 725,000 new cars were added to the U.S. rental car industry throughout 2021. While that may sound like a lot, it is a 9 per cent drop from 2020 and a 58 per cent drop from 2019 when the industry added almost 1,739,000 new vehicles.
Speaking with The Wall Street Journal, Hertz revealed that it had about 390,000 vehicles in its U.S. fleet in the third quarter, roughly 130,000 less than it did at the end of 2019.
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Typical Cost Of A Car Rental
The expected cost to rent a vehicle varies depending on factors including location, car type and rental company. But the average cost in mid-October 2022 was about $81 per day, according to travel website Hopper. To calculate your expected cost, reach out to Hertz, Enterprise, Avis or other rental companies youre considering to best prepare for the cost.
From Knowing How Much It Costs To Rent A Car For A Road Trip To Finally Understanding If You Should Accept The Rental Company’s Insurance Here’s Everything You Need To Know Before Renting A Car For Your Next Road Trip
While your vacation may first involve flying into a destination and then renting a car, you could also be curious about a cross-country car rental, need to know how to find the best car rental prices, or simply want to know if its better to rent a car than take your own on a road trip. This ultimate guide for renting a car on a road trip has everything you need to know to save money, avoid expensive extras, and how to get behind the wheel of an exciting new vehicle thatll fit all your people and stuff comfortably. Heres everything else you need to know on how to plan a road trip and an American road trip guide to help you get started.
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The Rental Cost For A Couple Renting A Small Self
In winter : NZ$80/day with included insurance or NZ$105/day with add-on insuranceIn summer : NZ$220/day with included insurance or NZ$245/day with add-on insuranceIn spring/autumn : NZ$160/day with included insurance or NZ$185/day with add-on insurance.
For the cheapest campervan companies, check out The Cheapest Motorhome & Campervan Rentals in New Zealand.
