Rental Reimbursement Coverage

Drivers in Florida are required to carry personal injury protection and property damage liability insurance which meet the minimum limits. Rental reimbursement coverage helps you pay for a rental car while your car is repaired after a crash. It will also cover the cost of a rental car if your vehicle is stolen, vandalized or damaged due to a natural disaster. It is optional insurance added to your policy. But, is it worth the extra cost every month?

How Rental Reimbursement Coverage Works:

If the extra cost is steering you away from adding rental reimbursement coverage to your policy, it is important to know that rental insurance is typically a low charge, to your premium.

Adding rental reimbursement coverage to your auto insurance policy will allow you a daily limit. Your insurance company will pay up to a certain amount per day up to a certain amount per claim. If the amount of rental reimbursement coverage has been depleted, you will need to pay for the remainder of the rental contract or turn the rental back into the company.

Since you will be allowed a certain amount per day to cover the cost of the rental car, you may have to share some of the cost with the insurance company if the cost of the rental car exceeds the daily limit. An economy car will save you money, and therefore, your rental reimbursement coverage will last longer. There may be other out-of-pocket costs for deposits through the rental car company. Any deposits should be returned to you upon return of the car.

When Does Rental Reimbursement Begin?

As soon as you file a claim with the insurance company, they will inspect your vehicle for damage. If the claim is approved and rental reimbursement coverage is on your policy, the rental reimbursement coverage will begin as soon as you drop off your damaged vehicle at the repair shop and head to the rental car location.

The Gordon Agency will work with you to find you a repair shop and rental car location. If your car is a total loss, it is wise to begin shopping around for a new one. You will want a car as soon as possible, so you do not exceed the amount of coverage your rental reimbursement policy carries. When the amount exceeds the cost of any extra days, the cost will then be incurred by you.

What If You Decide Rental Reimbursement Coverage Is Not Necessary?

If you have access to an extra car or a family member can drive you where you need to go in the event of an accident for a period of time, optional rental car reimbursement may not be necessary. If these scenarios are not probable for you, it may be worth paying a slightly higher premium and having the peace of mind of having a rental car paid in the event of an accident. Without rental car reimbursement, the total cost of the rental will come out of your pocket.

Insurance Agent Boca Raton

The Gordon Agency

This is the home of Florida’s Insurance Professionals. We are a multi-line independent agency that provides insurance solutions for both personal, and commercial lines. Combining decades of relationship building with motivated licensed insurance agents to provide coverage options for all of your insurance needs. Our team of agents relies on our education, integrity, experience, and attention to detail to accurately assess each opportunity and to offer the optimal solutions for all of our clients. We are dedicated to matching the right product for every situation, always at the best price available. Call us at 561-988-3330, visit our website or paste our address in your browser..


The Gordon Agency Inc.
1825 NW Corporate Blvd Ste 110,
Boca Raton, FL 33431
(561) 988-3330


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