Things you probably didn’t know about your insurance

Does my policy cover rental car coverage?

Many drivers don’t think about their car insurance until they’ve had an accident and file a claim to help pay for car repairs and a rental car to get around while their car is in the shop.

Unfortunately, many drivers are surprised to find out that their policy does not automatically cover the cost of a rental car. Since the average car is in the body shop for up to two weeks being repaired after an accident – this means it can cost you as much as $500 to rent a car! Other drivers pay only a small fee or nothing at all to rent a car because of an often overlooked, yet very inexpensive, option known as rental reimbursement.

Rental reimbursement coverage is available for around $2 a month with almost every auto insurance policy. It is bypassed frequently though by those who believe they will not have a car accident or they are shopping only for the lowest monthly cost and are not concerned with policy features. The cost of a rental replacement car adds up quickly, so even if you don’t have an accident for 10 years the coverage will pay for itself when you need it most.

Working out the details of a claim can take time. Even if the accident is not your fault, you may have to wait several days or even a week to get the other insurance carrier to agree to pay for a rental car, leaving you to pay out of pocket or bum rides while you await an answer. With your own rental reimbursement coverage, there is no waiting; you can pick up a rental car as soon as you drop your car off for repairs.

Am I covered if I get hurt in my home?

Many people wonder if their homeowners insurance would pay for an injury that they got while at home. After all, guests and visitors aren’t the only people who can get hurt in your home. The same dangers that lie in wait for non-residents of your home to stumble upon are waiting for you and your family members as well. There is an important difference, though, between what insurance foots the bill when you get hurt at home and when a visitor gets hurt in your home.

Understanding Liability

As a homeowner, you are liable for many of the injuries a visitor can have in your home. In the event that an invited guest or unexpected visitor should be injured in your home through no fault of their own, your homeowners insurance would likely pay medical expenses and damages. It might even pay for lost wages if the injury resulted in the individual being out of work.

When it comes to injuries, your homeowners insurance only covers your liability as a property owner, though. So if you or one of your family members were to be injured in your home, it’s not your homeowners insurance but your medical insurance that would be responsible for paying for those injuries.

When Homeowners Insurance Doesn’t Pay

But what injuries of visitors would your homeowners insurance not pay for? Well, if someone was in your home acting in an irresponsible or negligent manner and you had no way to prevent them from having an accident, and their behavior causes the accident, then you would probably not be liable for that injury. However, if someone acting in a normal capacity is injured in your home—even from something that was not the result of any negligence on your part, you would likely be responsible.

Whether you do it to avoid insurance claims or to keep your family and friends safe, creating a home that is free of obvious threats to health and safety will save you both money and heartache. And while you can never create a totally risk-free zone, diligence and close observation can work together to help you remove the most obvious threats and cut down in the opportunity for injury that much more.