Insurance offered by the car rental company

Insurance offered by the car rental company

Collision and Accident Coverage with No Collision or Down Payment: This coverage is normally referred to as Collision Damage Waiver or Loss and Damage Insurance by the Rental Company. If your own auto insurance policy or credit card does not cover this risk, you should obtain this disclaimer from the rental company. Other costs resulting from an accident, such as administration costs and storage and locker charges, are usually covered by these guarantees when you purchase Collision Damage Waiver / Loss and Loss Insurance. damage.

Third Party Liability: Third party liability included with vehicle rentals acts as primary coverage in all provinces except British Columbia, Alberta, Ontario and Nova Scotia where your personal liability coverage may act as primary coverage. due to newly instituted vicarious liability laws. If you don't have individual auto insurance, the rental company's liability insurance policy is the first one used when you rent a vehicle for personal use. If applicable, confirm any warranties that are available for commercial rentals. If you do not have individual auto insurance, it becomes important to purchase insurance from the rental company. Regardless of the situation, it is recommended that you take out liability insurance for an amount of at least $ 1,000,000.

Loss of use: The rental contracts stipulate that the renter is responsible for any “loss of use” as well as damage, that is, the loss of income resulting from the fact that the rental company cannot rent the car during the repair period. damage. These costs can be covered by a credit card, and should be covered by riders to an auto insurance policy if you have purchased them. If you buy the collision damage waiver and loss and damage insurance coverage, they should cover consequential damages, otherwise the lessee who signs the contract will be personally responsible for these costs. However, a breach of the terms of the contract will void any coverage for collision damage free or loss and damage insurance. For example, driving off public roads or outside authorized territory, or towing a trailer are considered breaches of the contract. See the "General Conditions" section for a detailed list.

Other Considerations: One of the typical exclusions from insurance offered by rental companies is operating the vehicle on unpaved or gravel roads. Driving "off public roads" can be problematic for those wishing to get to a chalet using a rental car, as the roads leading to the chalets are often unpaved. In this case, it would be prudent to add the appropriate rider to your own auto insurance policy so that the coverage is extended to the rental vehicle.