Mike McDyer: Hi my name’s Mike McDyer and I’m the owner of McDyer Insurance Agency with locations in Cherry Hill and Medford, New Jersey. I’m providing answers to some frequently asked questions around auto and property insurance. This one falls under auto insurance.
The question is, what is rental reimbursement coverage and should I have it on my policy? Rental reimbursement coverage is an optional coverage that you can have on your vehicles that carry full coverage on your policy. So if you have multiple vehicles on your policy, this is a per vehicle type coverage. It’s not a blanket coverage on the policy. If the vehicle that has the coverage is involved in an accident, and you set up a claim and the car is in the shop for a period of time, you will be provided a rental car. The rental car will be a certain allowance per day, a 30 dollar, or 40 dollar, or 50 dollar allowance per day depending on the coverage that you select on your policy. Typically, a 30 dollar a day coverage is gonna cost you about, between 20 and 30 dollars for a six month period.
It also comes with a max amount of days that you have coverage. Typically, it’s about 30 days worth of rental coverage. So I think it’s definitely a good coverage to consider having. You may have other vehicles at your disposal, but if you don’t, you want yourself or a family member not having a vehicle at their disposal to get to work or school or wherever when they need to. So it can be a major inconvenience and a major cost. So I would check with your agency you deal with or your broker to make sure you have this coverage and if you’re not satisfied with the answers that you get, you can always check in with myself and my team at the McDyer Insurance Agency. Again, with locations in Cherry Hill and Medford, New Jersey. Thank you.