We have 10 employees that travel each week and the cost of most rental car insurance from the rental agency is at least $40 a day. All travel expenses get pass directly to the client with proof of receipt. Relying on credit cards and the employees personal insurance is becoming more and more a risky proposition. I was wondering if someone has any info regarding rental car insurance for a small business, if there is any company that you might recommend.
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March 6, 2010 @ 4:15 am
I don’t like credit cards and I don’t have one but I though if you booked a rental car on a credit card that offered rental car insurance then you would be covered with the credit card and you did not have to get the insurance from the rental car company. One other think I would do is talk to your insurance agent and see if there is a add on to your business policy that will cover this.
March 6, 2010 @ 4:45 am
First of all under your own Automobile Liability policy you have (should have) for your business you can purchase non owned & HIRED auto liabiltiy coverage. This gives you two types of coverage (1) liability for employees using thier own car in the business of the firm accountant running to bank, or another employee going to post office. (2) liability coverage over the liability provided by rental car company (which isn’t much). Also under you own coverage you can purchase Hired Physicial damage for damage to the rental unit. HOWEVER this needs to be checked closely for two areas (1) alleged loss of income by the rental company if the unit is not available (2) loss of residual value.
HOWEVER with all this said be sure and check the credit cards you are using. I was in the Insurance business for a number of years and had clients with the same problem you have. The Master Card gold & Visa Gold provided total coverage for damage to the car as long as they were used to rent the unit. Just a couple of ideas.