This optional coverage saved my family a fortune after a car accident

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Without this optional coverage, drivers can face large costs after an accident.


Key points

  • Recently, my husband’s parents were in a car accident.
  • Their vehicle is destroyed and it will take time to get a new one.
  • Luckily they had optional rental car insurance coverage.

My husband’s parents were recently involved in a three-car accident. Another driver in front of them stopped because there was a turtle on the road. My in-laws stopped their vehicle but the person behind them did not and hit them hard from behind. Their car was rammed into the vehicle in front.

Fortunately, no one was injured, but their car was destroyed. And since three vehicles were involved and the drivers behind are believed to be at fault for the crashes, the situation is a bit complicated and will take time to resolve. The good news is that they had an important type of optional auto insurance coverage that saved them a lot of money.

This type of insurance can be crucial after an accident occurs

So what was the insurance my family needed after the accident? It was something called rental car reimbursement coverage.

In this case, the rental car reimbursement coverage does not mean that their insurance will provide protection against losses while driving the rental car. Instead, the coverage allowed them to get a rental car paid for by their auto insurance company while they waited for a decision to be made on what would happen to their old vehicle or how much money they would get for it.

Because they have this protection, they won’t be forced to go without a car for weeks on end until everything is resolved — which would be difficult since we don’t live in a walkable area and they have a lot of activities that are They too they don’t have to pay privately to rent a car.

Instead, they were able to get a rental sedan the day of the accident, and the bills will be covered almost entirely by their insurance company. They’ll pay just $2 a day for the rental car, while their car insurance picks up the rest of the bill.

Drivers should check their insurance coverage to make sure they are covered

My in-laws didn’t even remember purchasing this insurance when they signed up for auto coverage, and it’s an add-on with most companies, not a standard coverage offering. But it ended up saving them a lot of money, so they’re glad they got it in the end. This is especially true since the rental coverage premiums were only a few dollars extra per yearmeaning that the protection was extremely affordable compared to the amount that the insurance ended up paying out.

Unfortunately, many drivers may not have signed up for this or other optional coverage because they may have neglected to purchase just the minimum protection required by law. This can be a short-sighted mistake that results in large out-of-pocket costs if an accident occurs (even one that is not their fault).

Each driver should carefully review their current coverage as well as the various additional options offered by their insurer. This is critical to making sure they have the right protection so they don’t end up with big bills when a collision occurs. Do this as soon as possible before something goes wrong leading to regret.

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