Does Allianz offer rental car insurance?

Third-party rental car insurance is coverage provided by a company other than the rental car vendor. Major third-party rental car insurance companies include Allianz and Bonzah, though online travel agencies and travel insurance companies usually offer third-party rental car coverage as well.

Key Things to Know About Third-Party Rental Car Insurance… read full answer

If you need rental car insurance, buying from a third party is normally much cheaper than buying additional coverage directly from the car rental company. Buying enough coverage is very important, too. Although the mandatory minimum liability insurance is automatically included when you rent a car in most states, this bare-bones coverage is probably not enough to protect you if you get into a serious accident.

On that note, Bonzah is the only major third-party rental car insurance company that offers supplemental liability insurance. The other insurers offer the equivalent of comprehensive and collision coverage, along with some other benefits.

Third-Party Rental Car Insurance Companies

Allianz

• What It Covers: Damage to or theft of rental car; Trip interruption; Loss, damage, or theft of personal effects; 24/7 travel assistance
• Coverage Limits: $40,000 for the rental car; $1,000 for baggage; $1,000 for trip interruption
• Deductible: $0
• Pricing: $9 a day ($7 a day for Florida residents)

Bonzah

• What It Covers: Damage due to collision, theft, vandalism, windstorm, fire, hail, flood, and any cause not in your control; Personal effects; Option to add liability coverage
• Coverage Limits: $35,000 for the rental car; $500 total for personal possessions (or $250 per item); Option of primary liability coverage (state minimum) or supplemental liability coverage up to $1 million total
• Deductible: $0
• Pricing: $7.99 a day; $14.88 extra per day for primary liability; $11.90 extra per day for supplemental liability

Insure My Rental Car

• What It Covers: Damage to or loss of rental car; Option to add coverage for personal property, flat tire expenses, misfuelling fees, towing charges, and lost key reimbursement
• Coverage Limits: $100,000 for the rental car
• Deductible: $0
• Pricing: Varies by state, but often $9.75 a day

P’teet

• What It Covers: Damage to or theft of the rental car; 24/7 travel assistance
• Coverage Limits: $40,000 for the rental car
• Deductible: $0
• Pricing: $9 a day ($7 a day for Florida residents)

Rental Cover

• What It Covers: Damage to the car due to collision, theft, or vandalism; Lost key reimbursement; Loss of use fees
• Coverage Limits: $35,000 for the rental car
• Deductible: $0
• Pricing: $12 a day

Sure

• What It Covers: Physical damage to the vehicle or personal property; Flat tire expenses, misfuelling fees, towing charges, lost key reimbursement
• Coverage Limits: $100,000 for the rental car
• Deductible: $0
• Pricing: Varies by location and driver information

Even if you have car insurance that already covers rental cars, buying coverage from a third-party rental car insurance company can keep you from paying a deductible or from driving up your rates if you need to file a claim. Frequent car renters can also buy annual rental car insurance from Insure My Rental Car and P’teet.

What to Look For When Buying Third-Party Rental Car Insurance

If you plan to buy third-party rental car insurance, be sure to check coverage options and restrictions. Third-party companies often exclude unusual vehicles like limousines or motorhomes, or the coverage may be geographically limited. The many credit cards that offer rental car insurance have similar restrictions, by the way. Some also require you to file a claim with your normal car insurance company first.

Finally, if you are looking for a wider variety of coverage for an entire trip, travel insurance companies like Generali and Travel Guard offer rental car coverage in certain packages.

No, you do not need insurance to rent a car because rental companies have their own insurance. Rental car companies usually provide minimum liability coverage only, so if you don’t have personal insurance, you’ll probably want to purchase extra rental car insurance through the rental company. If your personal car is insured and you pay for your rental with a credit card, you can probably skip the optional coverage offered at the rental counter.… read full answer

Coverage Offered by Rental Car Companies

• Collision Damage Waiver:

Covers: Damage to the rental car in an accident

Similar to: Collision and comprehensive

• Supplemental Liability

Covers: Damage and injuries to the other driver from an accident you cause

Similar to: Bodily injury and property damage liability

• Personal Accident

Covers: Medical costs for injuries to you and your passengers

Similar to: Personal injury protection, MedPay and health insurance

• Personal Effects

Covers: Personal items stolen out of the rental car

Similar to: Homeowner’s or renter’s insurance

You don’t have to purchase all of these coverage types to be protected while driving your rental. But minimum liability insurance carried by the rental car company isn’t enough protection if you get into an accident.

When You Don't Need The Rental Company's Insurance

Before you buy the rental company’s insurance, you should consider what coverage you may already have through your personal car insurance. The coverage limits and deductibles you have on your personal vehicle typically still apply to rentals, as long as you’re renting for personal use. Many major credit cards also offer coverage for rental cars if you pay with your card and decline the collision damage waiver offered by the rental company.

The best rental car insurance is a personal car insurance policy. People who already have car insurance for their personal vehicle are usually covered up to their normal policy limits when driving a rental car in the United States. If you don’t have a personal car insurance policy, you can purchase rental car insurance from a third-party provider either directly or through the rental car company. Keep in mind that purchasing the coverage directly is usually the cheaper option.… read full answer

Third-party rental car insurance providers are affordable, costing around $6 to $25 per day, depending on the type of coverage. In comparison, the insurance a rental car company will sell you at the counter can easily cost twice as much.

Best Third-Party Rental Car Insurance

• Bonzah
• Sure
• Insure My Rental Car
• Allianz
• Rental Cover

Bonzah is the best third-party rental car insurance provider because it’s the only option that offers supplemental liability insurance. The other major providers protect you from the cost of rental car repairs, roadside assistance, trip interruption, and/or stolen personal items, but they lack liability coverage options.

Some credit cards also provide rental car insurance, though they usually only cover damage to the rental car itself rather than bodily injury or property damage liability. Most cards offer secondary coverage, too, meaning that you must file a claim with your own car insurance company first – if you have one – before filing a claim with the card.

How to Choose the Best Rental Car Insurance for You

The best overall choice for rental car insurance depends on preference and personal circumstances. Some drivers consider their primary insurance to be the best option, especially when paired with the right credit card, since there’s no extra cost. But drivers who need additional coverage or who don’t want to pay their normal insurance deductible can purchase third-party rental insurance. Finally, buying insurance at the rental car counter is the most expensive choice, but it does add convenience and peace of mind.

If you plan to use your standard insurance policy or your credit card as rental car insurance, just be sure to read the fine print or call your insurer to make sure you’ll be covered. Also, check that you’ll fulfill the state’s minimum requirements for car insurance to avoid driving without sufficient coverage.

In most states, rental car companies automatically include the mandatory minimum coverage in your contract. California is a key exception, however, since state laws allow companies to rent out cars without providing any insurance. Consequently, if you don’t have a standard car insurance policy and you rent a car in California without purchasing liability coverage from the rental car company or a third-party insurer, you will be driving illegally without insurance.