Familiarize yourself with your existing collision or loss damage waiver insurance. This insurance covers damage to the car due to an accident and covers the car if stolen. If you are in the process of an illegal driving act, such as speeding, when the accident happens, the car rental insurance company can void this policy even if you've paid for it. If you own a car and have it insured with comprehensive and collision, your personal insurance policy covers the rental car, but if an accident occurs, your personal car insurance rates may increase.
Consider liability insurance. If you have liability insurance on your personal automobile you may not need to request additional coverage, but you still run the risk of your rates increasing in the case of an accident. If you have an umbrella liability policy on your personal automobile, it usually provides a high dollar amount of additional liability insurance that protects you when driving your own car or a rental car. If you travel often, it might be worth adding an umbrella policy to your personal insurance.
Review your personal accident insurance. If you have a personal accident insurance policy with your personal auto insurance or health insurance and short-term and long-term disability, you probably will not benefit from the cost of this coverage through the rental agency.
Decide whether you need personal effects coverage. Under most homeowner's or renter's insurance policies, you are covered for personal items away from the home. Check the limit and deductibles on that coverage before traveling, and then assess the value of the items you're traveling with. If you're traveling with a considerable amount of electronic equipment or jewelry that is not individually insured, you may want to consider adding personal effects insurance to cover gaps between your homeowner's insurance and the value of the items.
Purchase only the insurance you need. If you know going in what you already have covered, it is easier to tell the rental agent exactly what you need and avoid paying for coverage that isn't necessary.
