When you’re at the counter to rent a car while traveling, you will probably face a persuasive agent encouraging you to purchase the coverage waivers that quickly multiply your daily rental rate. Many people already have the insurance coverage to protect themselves if an accident or theft happens. If you are renting a vehicle for business purposes, you need to know more to be sure you and your district are protected.
Rental companies typically offer four kinds of waivers. They are called “waivers” because the rental car company waives their right to hold you liable for any losses.
- Collision (or Loss) Damage Waiver protects against everything from a door ding to the whole car being stolen.
- Liability Waiver covers any injury to others or property damage caused in an accident.
- Personal Accident Coverage takes care of any medical costs for your own injuries.
- Personal Effects Coverage reimburses you if your luggage and other belongings are stolen from the rental car.
If you have your own car insurance (including statutory liability, comprehensive and collision), you may already have enough coverage to pass up the extra waiver surcharges. But if you return the car with damage, you will probably have to pay for them up front and file a claim with your insurer for reimbursement. Renting on district business, personal car insurance may not cover you, however. Schools usually have the right insurance in place, but it’s important to include the name of the district on the rental agreement.
“Ask your Risk Management department for your organization’s car rental policies.”
Employees who travel on school district business need a clear understanding of what coverage is provided for rental vehicles, and what they should do if they are in an accident or suffer another loss with the rental. Ask your Risk Management department for your organization’s policies on car rentals and how to report a claim. You may also need to know about your district’s expense reimbursement policies. Because they have their own insurance, school districts may not reimburse rental coverage waivers if an employee accepts those charges.
Business travel can be hectic, and there’s a lot on your mind as you head for your destination. Having a clear understanding of your district’s business car rental policy will help you avoid uncertainty and indecision at the rental counter.