Is It Ever Worth It To Buy Extra Rental Car Insurance?

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Whether or not to rent a car is a hot topic among many travelers, especially those looking to cut costs while maximizing their time on the ground. While car rentals can certainly add to travel expenses, it's often still worth it to rent a car at an airport or search elsewhere rather than rely solely on public transportation. This is especially true when visiting national parks or nature reserves outside city centers, where taxis and rideshare apps, while available, offer less flexibility for travelers who prefer exploring at their own pace and can rack up a steep bill. 

For visitors who choose to rent a car, renters' insurance is highly recommended among travel experts. However, there are usually a few different insurance plans to choose from, and picking the right one can be confusing. Insurance can significantly increase the total cost, especially on deals advertising super-low daily rental rates, but it's ultimately worth it if an accident happens. Make sure to read the fine print and ask questions about anything that isn't clear. 

In a nutshell, basic car rental insurance typically covers damage to the car in the event of a collision and may also apply if any of your valuables are stolen from the vehicle. It might also cover medical expenses in the event of an injury. Extra car rental insurance is typically offered as an add-on and can further reduce your deductible or extend coverage if the rental car is damaged or your personal items are stolen.

When deciding whether or not to buy extra rental insurance, understanding what is and isn't covered by your personal insurance plan can be really helpful. Before renting a car, brush up on your existing car insurance policies (if applicable) so you don't end up paying for a higher insurance tier than you actually need. In general, buying extra insurance that covers collision damage makes sense if you don't have personal auto insurance at all or if you're renting a luxury vehicle that would lead to considerable out-of-pocket costs if damaged or totaled.

On the other hand, extra insurance is probably unnecessary if you can comfortably cover your personal policy's deductible and any minor damage costs. It's also likely not needed if your personal insurance or credit card already provides collision and liability coverage — although if you're renting a car overseas, you might not want to rely on your credit card's policy. Be mindful of add-ons such as personal injury coverage, which may overlap with protection you already have through health or renters' insurance.

Even when opting for extra car rental insurance, there are still tips to help cut costs. For example, when rental car prices are high, try this bold workaround hack to get on the road for less. That said, sometimes the peace of mind is worth paying a bit more upfront. It really comes down to what you're comfortable with and how much risk you're willing to take.