TOP 10 Car Rental Insurance Myths: True Or Faulse?


Luck of knowledge always creates myths, and car rental insurance isn’t an exception. We have collected 10 most common myths about car rental insurance.

Let’s check if they are truthful!

rentalcars24h 10 car insurace myths TOP 10 Car Rental Insurance Myths: True Or Faulse?

Share This Image On Your Site!

  • 1. Renters of sports cars pay higher insurance premiums.

rentalcars24h 10 car insurace myths1 TOP 10 Car Rental Insurance Myths: True Or Faulse?

Many factors determine insurance premiums, such as age of driver, driving record, the location of driving and even vehicle size and engine power.

There are also some factors, which are typical for sports car primarily.

It is about the high cost of repairing sports cars, in addition they are more often involved in the road accidents, and finally they attract attention of thieves.

So, we can say that the myth about higher insurance rates of sports car is plausible.

  • 2. Your insurance will cover stolen or vandalized car.

rentalcars24h 10 car insurace myths2 TOP 10 Car Rental Insurance Myths: True Or Faulse?Only comprehensive insurance will cover the stolen or vandalized car, at least a part of car’s value.

If you have liability coverage only, you won’t get any refund for the stolen car. So, in case you’re going to an area where car thefts occur frequently, it is better to think twice what kind of insurance to choose.

Concerning this myth we can say that it’s truthful only if you have comprehensive coverage.

What does comprehensive car insurance cover?

It covers the following accidents:

  • Damage from objects that fell on the vehicle (such as tree, snow, ice)
  • Fire, self-ignition or explosion;
  • Natural disasters (such as storms, hurricanes, hail, flood, earthquake and so on)
  • Damage caused by the accidental, negligent, or intentionally harmful acts of third parties
  • 3. Your car will be declared a total loss, if it can’t be driven away after an accident.

rentalcars24h 10 car insurace myths3 TOP 10 Car Rental Insurance Myths: True Or Faulse?This issue doesn’t depend on the possibility to drive the car away after an accident.

Your vehicle will be declared a total loss when the cost of repairing a vehicle after the accident exceeds the actual value of the vehicle.

So we can say the myth is untruthful!

  • 4. “No-fault” insurance refers to an accident that is not the policy-holder’s fault

Such name “no-fault” confuses people. In simple words the “no-fault” insurance means that your insurance company will pay your injury-related bills, after you’ve got into a car accident regardless of who was responsible for the accident.

  • 5. Buying insurance online allows saving money

There are no objective reasons for an insurance company to make online purchase of insurance cheaper. Another thing is that internet allows you to compare prices of different companies and find the cheapest one.

  • 6. Less expensive cars are cheaper to insure

As has been already mentioned, many other factors determine the price of your car insurance policy, so we can’t say this myth is truthful.

  • 7. Comprehensive insurance covers mechanical problems.

rentalcars24h 10 car insurace myths4 TOP 10 Car Rental Insurance Myths: True Or Faulse?There is a point of view that the comprehensive insurance covers mechanical problems, but it isn’t truth.

Yes, the comprehensive insurance covers damage caused by many factors, and it really can cover mechanical damage which is the result of the covered event.

But don’t mix the insurance policy with the warranty policy!

It is the warranty, which allows you to cover the mechanical problems of the vehicle.

  • 8. Driving history is the only factor that determines car insurance rate.

It is a mistake to believe that the only factor can determine a car insurance rate.  As we have mentioned before, there are a lot of factors determining the price of your insurance policy. They are:

  • your age and your driving experience
  • your driving record
  • the location of driving and parking the vehicle
  • engine power of the vehicle
  • the validity period of the insurance policy
  • lack of anti-theft devices, especially on frequently stolen cars models.
  • 9. “Full Coverage” includes rental and towing coverage.

There is no such a term as “full coverage” in insurance industry. Most people define “full coverage” as the summation of required and comprehensive coverage. Your insurance policy may have the towing coverage, but it will cost you additional money.

  • 10. It is more expensive to insure red cars.

rentalcars24h 10 car insurace myths499 TOP 10 Car Rental Insurance Myths: True Or Faulse?This is a very common myth, which is based on the belief that people who prefer red cars tend to fast driving and have a greater risk to get in an accident.

In addition, red cars are more often stolen by thieves. But this myth isn’t truthful; the color of the car isn’t among the factors that determine the car rental insurance rate.

Hope the article has shed light on the insurance issue and has helped you to discern myths from reality.

In conclusion, we recommend you not to be shy to ask car rental agent about all the issues that interest you. It is his job to explain all the features of your insurance policy for you to be calm and confident while driving.

TOP 10 Car Rental Insurance Myths: True Or Faulse?, 5.0 out of 5 based on 2 ratings
VN:F [1.9.22_1171]
Rating: 5.0/5 (2 votes cast)

Related posts