So, you went on a trip and you need a rental car. While looking online you found a site that you can rent a car starting today. Great! This is awesome, you can rent some really cool expensive cars for good price!
Quick question, does the site say anything about a coverage policy? Some site will have this information readily available and others don’t. Let’s say this site does, it has their own plan that you have to buy while renting. Not the worst in the world, but let’s look a little closer at what it covers.
The minimum plan covers the amount that the primary Guest is liable to pay out of their own pocket for Physical Damage (other than Mechanical or Interior Damage) to the Vehicle during the booked trip, plus Related Costs such as claims administrative fees and appraisal costs (and after exhaustion of any other applicable insurance), is contractually limited to $3,000. When damage is reported, the primary Guest will be charged a $500 damage deposit unless there was major damage (non-drivable) to the Vehicle, in which case a $3,000 damage deposit will be charged.
Ok, so that is not a terrible plan. Maybe you’re a good driver and this could work for you. The standard plan is $500 damage deposit and you’ll only be contractually limited to $500 out of pocket for any other physical damage. That plan sounds a little better but what about the premier plan? Under the Premier plan, the primary Guest isn’t responsible for paying out of pocket costs for reported Physical Damage (other than eligible Mechanical or Interior Damage) to the Vehicle. When Physical Damage is reported, the primary Guest won’t be financially obligated for the cost of the damage and will pay no deductible to Turo. A Guest who chooses the Premier plan is still responsible for costs unrelated to liability or physical damage costs. These may include such costs as excess mileage costs, parking tickets/tolls, and unremitted fuel costs. The Premier plan isn’t available for trips booked in some vehicles with a total market value of more than $25,000.00 or any vehicles with a total market value of more than $60,000.00.
So, fun fact these are all policies from a real site. There are a lot like it, and a lot of them either don’t have as good coverage or coverage at all. Only 1 or 2 have better coverage for guests. Then to top that, when you think about your own coverage for your car, this doesn’t even come close.
By Miya Gomberg