When planning a car rental and driving trip to the United States, choosing an insurance policy is often one of the most troublesome and frustrating processes. With all the different insurance options, difficult English words, and complicated contract details, it can be difficult to know which insurance policy to choose to protect yourself during your trip. However, it is important to understand the basic concepts and differences between different types of insurance policies so that you can enjoy your trip with peace of mind and be prepared in case of road conditions. In this article, we will introduce a few common types of U.S. car rental insurance to help you choose the best option for you when renting a car.
Rental Car Insurance 1. Collision Damage Waiver (CDW)
CDW Covers the cost of repairing or replacing damage to the rental vehicle in the event of a collision. This is not really insurance, but a waiver, meaning the rental company will cover the damage to the vehicle and you will only have to pay a deductible, so it's important to be aware of how much the deductible is and whether it's enough to cover the risk of total loss. Generally speaking, an insured amount of US$35,000 will cover the loss of an affordable mobility scooter.
Travelers should note that CDW is actually a generic term. Some companies only cover "collision damage", while others cover "theft" (which is the same as LDW), so you need to check the terms and conditions carefully when renting a car to ensure that you are fully covered.
Rental Car Insurance 2. Loss Damage Waiver (LDW)
LDW is an additional coverage for damage caused by vehicle theft in addition to the CDW coverage mentioned above. Sky Horse provides LDW coverage for both collision and theft.
Rental Car Insurance 3. Vehicle Liability Insurance / Third Party Liability Insurance (SLI)
Vehicle Liability InsuranceThat's what we've been hearing about.third party liability insurance.This means that in the event of a driving accident where the driver is the at-fault party and is liable to others or their property, this type of insurance will cover these losses. This is essential to protect the renter from possible liability resulting from a car accident. Some countries require car rental travelers to have minimum liability insurance, but the specific requirements vary from region to region.
Rental Car Insurance 4. Personal Accident Insurance (PAI)
Personal Accident InsuranceCovers medical expenses, injury benefits and even death benefits for the driver or passengers in a car accident. This type of insurance is important for renters traveling overseas, especially if their health insurance does not cover international medical expenses.
Rental Car Insurance 5. Personal Effects Coverage (PEC)
Personal Effects InsuranceProtects the belongings of the renter and their passengers. If your finances are stolen or damaged during the rental period, this type of insurance will cover the loss.
Rental Car Insurance 6. Roadside Assistance
Emergency roadside assistanceTo assist you in case of break down, flat tire or emergency, such as unlocking, towing, spare tire change, battery change and so on.
Do I need insurance to rent a car in the US?
Depending on state regulations and individual needs, most U.S. car rental companies do not offer an insurance package at the time of booking, but rather add it to the cost of the rental when you pick up the car at the counter, which can be a big test for foreign travelers and make it difficult to determine how much you will need to pay in the end. We strongly recommend that you take out additional insurance when driving in the US. Not only are you unfamiliar with driving in a foreign country, but in the event of a medical emergency, the cost of medical care in the US is incredibly high, so it's a good idea to pay a small amount of money in exchange for peace of mind.
In addition to this, Sky Horse's Insurance B and C programs specifically enhance these coverages that are rarely offered by U.S. rental car companies:
1. car window (window break-ins happen all the time) or tire damage (nails)
2. damage to the interior or chassis
2. Lost or damaged keys (replacement fee is usually more than US$300)
3. Loss of downtime during vehicle maintenance (average of about US$50-60 per day)
If you are worried about not being able to read English at the counter and are afraid of asking questions or expressing yourself, Sky Horse offers three complete insurance packages when you book your vehicle, from the most basic collision insurance to complete third party liability insurance, as well as the above mentioned comprehensive coverage for windows, tires, lost keys, etc., all of which are clearly labeled in Chinese with the contents and fees, and there is no need to increase the price or change the package when picking up the vehicle, which is simple and easy to understand and covers all the needs of general self-driving travelers. It is simple, easy to understand and covers all the needs of ordinary self-driving travelers. Whether it is a short trip or a long trip, you can find a suitable insurance plan to make your trip safer and more worry-free.
If you are unsure of any part of the U.S. rental car insurance policy, or if you are not sure which plan to choose, please contact us directly. LINE Ask us!
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