In most cases, a standard auto insurance contract will extend liability coverage to a rental car as long as there is a rental agreement in place and the vehicle is under a specific weight.
The insured will need to verify if their policy has comprehensive and collision coverage and if that coverage will extend to the rental car. They must carry comprehensive and collision on your active policy for physical damage to extend to the rental car.
They will also want to speak with an insurance advisor to see if your respective carrier extends that coverage.
If you are at fault in an accident while in a rental vehicle, most carriers will not pay for the loss of use of the vehicle.
Meaning, every day the car is unable to be rented while the vehicle is being repaired or replaced.
Most rental companies will assess their loss of income to their customers. That can add up very quickly.
Reposted from Google's Question/Answers forum.
March 28, 2018
by Scott Ligouri
Founder + Managing Partner