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- If you have comprehensive and collision coverage on your auto insurance policy, it often extends to rental cars.
- A non‑owner policy covers injuries or damage to others when you’re driving a rental, but it does not pay for damage to the rental vehicle.
- Many credit cards provide rental car insurance benefits, typically known as Auto Rental Collision Damage Waiver (CDW).
Consider non-owner car insurance if you don’t plan to own a car but will be renting frequently. This provides liability coverage when driving a vehicle you don’t own, such as a rental. It doesn’t cover damage to the rental car but can provide bodily injury and property damage coverage.
If you live in Florida for part of the year, be aware that Florida requires drivers to have PIP (Personal Injury Protection) and Property Damage Liability (PDL).
However, you may not need to worry about this if you’re renting cars, as the rental company’s insurance typically covers these requirements if you book the entire rental on that credit card – check with your card issuer prior to booking.
Does a non-owner policy cover damage to the rental car?
No. Non-owner insurance covers liability to other people and their property. You can purchase the rental agency’s Collision Damage Waiver for damage to the rental vehicle or see if your credit card offers primary or secondary collision coverage.
How credit card car rental insurance works
Many credit cards offer some form of rental car insurance as a complimentary benefit, typically referred to as auto rental collision damage waiver (CDW) coverage. This coverage can help pay for damages due to collision or theft, saving you from having to purchase the rental company’s insurance. However, it’s important to note that the specifics can vary greatly depending on the card provider and the type of card you have.
Some cards provide primary coverage, meaning they pay out before your personal insurance, while others offer secondary coverage, which kicks in after your personal policy has been exhausted.
Does my car insurance cover me when renting a car in Florida or Hawaii?
Yes, your personal car insurance can often extend to cover rental cars, but it depends on your specific policy. If you have comprehensive and collision coverage on your personal vehicle, that coverage might also apply to the rental car. This typically includes damage to a rental car caused by accidents, theft or vandalism.
However, it is important to check with your insurance provider to confirm the details, as some policies might have exclusions. For example, if you’re renting a car for an extended period, your personal auto insurance may not fully cover the rental. Additionally, liability coverage for injuries and property damage to others may be limited, so you should purchase supplemental liability coverage from the rental company.
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Frequently Asked Questions: Rental car insurance for snowbirds in Florida and Hawaii
Do I need rental car insurance as a snowbird in Florida or Hawaii?
You may not need extra insurance if you already carry full coverage on your personal auto policy because liability, collision and comprehensive often extend to rental cars. However, coverage varies by insurer, so check your policy before you travel.
Does my credit card provide rental car insurance?
Many major credit cards offer secondary rental coverage, which pays after your auto insurer. Some premium cards offer primary coverage. Benefits vary, so review your card’s terms before declining the Collision Damage Waiver at the rental counter.
Are rental insurance requirements different in Florida and Hawaii?
Yes. Florida and Hawaii have different state minimum limits, so your rental agreement may require certain minimums, especially for liability.
Will my home state car insurance cover me in Florida or Hawaii?
Most auto insurance policies extend to all U.S. states, including Florida and Hawaii, but limits and exclusions can differ. Some insurers exclude loss of use or diminished value fees charged by rental companies.
Should long-term snowbirds buy additional rental coverage?
If you plan to rent for an extended stay or do not carry full coverage on your home vehicle, buying the rental company’s Collision Damage Waiver may offer peace of mind and avoid paying out of pocket for rental company fees.
Final thoughts
Renting a car while living in Florida and Hawaii for extended periods is a convenient way to get around. Still, it’s essential to understand the insurance coverage options available to you.
Whether you rely on your personal car insurance, credit card benefits or rental company coverage, each option has pros and cons. To avoid unexpected costs, it’s essential to verify your coverage details before renting and ensure that you’re adequately protected from both damage to the vehicle and liability for accidents.
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