Car rental Florida - minimum insurance needed?

In light of another thread that I have on here, I'm considering renting a car for a day in Fort Lauderdale next year. Each country has different insurance laws and you often find that the car rental quote you get doesn't include the minimum requirements for the country you're in.

Assuming I have no other car insurance, what insurance do I need for a day in Florida? Most of the rental companies list: LDW LIS.

Company will provide secondary liability protection from claims of injury by others against you resulting from an accident with the rental car. Your personal/business insurance is primary to the minimum state limits. In the event there is no applicable liability protection, Company, by default, becomes primary.

I don't have any personal/business insurance - does that mean the rental company is the main insurance on the car?

However, Company makes available additional liability protection, which is primary, if the optional Liability Insurance Supplement, LIS, is purchased.

LIS is included in the quote.

Liability Insurance Supplement (LIS)

 

Liability Insurance Supplement (LIS) provides coverage for you and other authorized operators of your rental vehicle for third party claims.

 

LIS is primary protection to customer’s personal policy and provides the first USD 1,000,000.00 of combined bodily injury and/or property damage protection for each occurrence regardless of the state in which the accident occurs.

 

 

LIS is third party liability coverage only,except where permitted by law or pertaining to Uninsured/Underinsured Motorist Coverage. LIS does not cover personal injury to you or any authorized operator of the rental vehicle or to your or their family members who are related by blood, marriage or adoption and reside in your or their household.

Uninsured Motorist Protection (UMP)

 

Uninsured/Underinsured Motorist Protection (UMP) covers the bodily injury sustained by the renter, family members and passengers traveling together in the rented vehicle, caused by another driver who has no insurance, minimal insurance, or is a hit and run driver.

 

UMP provides up to USD 1,000,000.00 of Uninsured/Underinsured protection for bodily injury sustained while driving the rental vehicle.

 

 

UMP is only available when first accepting Liability Insurance Supplement (LIS). In states where UMP is offered, LIS does not contain any Uninsured/Underinsured Motorist coverage.

This isn't included - is it something I legally need?

Loss Damage Waiver (LDW)

 

In most states, in the event of any other loss or damage to the car, regardless of fault, your financial responsibility extends to the full value of the car at the time of rental, less its salvage value, plus expenses for towing, storage impound fees, an administrative fee and a reasonable charge for loss of use.

 

However Company offers Loss Damage Waiver (LDW) an optional service, which for an additional daily charge relieves you of all financial responsibility for the loss or damage to the rental car, whether or not you have insurance to cover such damage, provided the car is used in accordance with the terms of the Rental Agreement.

 

F.Y.I. – You are under no obligation to purchase LDW or any other optional service as a condition of rental. Your own personal insurance may provide protection for loss or damage to the rental vehicle depending on the state in which you live and the type of policy you have. Also, various credit card companies provide cardholders with some degree of damage protection providing you use their credit card for the rental and decline the optional LDW offered by Company at time of rental.

This was also included in the quote.

So, with LIS and LDW, does that meet all my insurance obligations to drive in Florida, if those are the only insurance policies on me/the car?

Check with the credit card company you are going to use...they may also provide ins. for you.

Check with the credit card company you are going to use...they may also provide ins. for you.

That's not a normal thing over here. My credit card gives me protection if, for example, I had prepaid for a car, and the car rental company went out of business (credit card would refund the payment), but it wouldn't cover me for a car crash.

I'd make sure I had liability . The rest I would self insure.

Since you aren't from here, I'd talk to a major rental company in Ireland and see what they say. Then compare to what you hear from the same office in the US. Insurance add ons are a big money maker. And you won't be forced to buy anything except, I think, liability.

Could you get more help from a travel agent there?

Might want to read this. There are some travel insurance companies which provide rental insurance which would probably be much cheaper than through the car rental company.

https://www.squaremouth.com/press-room/check-before-buying-travel-insurance-for-rental-cars-most-travelers-are-already-covered-advises-squaremouth/

The car rental company provides the basic minimum insurance as prescribed by law for the car, so technically you don't need to do anything else. Many people have as part of their own car insurance a clause that covers a rental car from damage while you are driving it. Then there is the LDW you mentioned that the rental company sells you. Many people won't pay that because it's, as said, a cash grab and expensive in relation to how much the rental actually costs.

However, that LDW also lets you off the hook for a lot of stuff. If you don't have it, and someone drives into your rental in the hotel parking lot, you and the car rental place are going to be long term "friends" while you fight with your insurance company about all the various charges the rental company is going to go after. Your insurance, for example, might not be willing to pay for the rental costs of that vehicle while it's sitting in a body shop somewhere for 3 weeks. Well, then that falls on you, because the rental company is not going to lose income of not being able to rent a vehicle that was damaged in your possession. If you bought that LDW, then you call the rental company, and they provide you with a new rental, tow the other one away and you are done with it. Is it worth it? Who can say. Is any insurance worth it if you never needed it?

Might want to read this. There are some travel insurance companies which provide rental insurance which would probably be much cheaper than through the car rental company.

 

https://www.squaremouth.com/press-room/check-before-buying-travel-insurance-for-rental-cars-most-travelers-are-already-covered-advises-squaremouth/

The car rental company provides the basic minimum insurance as prescribed by law for the car, so technically you don't need to do anything else. Many people have as part of their own car insurance a clause that covers a rental car from damage while you are driving it. Then there is the LDW you mentioned that the rental company sells you. Many people won't pay that because it's, as said, a cash grab and expensive in relation to how much the rental actually costs.

 

However, that LDW also lets you off the hook for a lot of stuff. If you don't have it, and someone drives into your rental in the hotel parking lot, you and the car rental place are going to be long term "friends" while you fight with your insurance company about all the various charges the rental company is going to go after. Your insurance, for example, might not be willing to pay for the rental costs of that vehicle while it's sitting in a body shop somewhere for 3 weeks. Well, then that falls on you, because the rental company is not going to lose income of not being able to rent a vehicle that was damaged in your possession. If you bought that LDW, then you call the rental company, and they provide you with a new rental, tow the other one away and you are done with it. Is it worth it? Who can say. Is any insurance worth it if you never needed it?

Irish car insurance is an oddity in that it specifically insures me, for this specific car. Other countries seem to have either the car is insured (so anyone can drive it) or the person is insured (so they can drive any car). In Ireland you have to be named against a particular named car. I pay a little extra to allow me to drive other people's cars (but that isn't as comprehensive as the insurance on my own car). Rental cars/business cars are specifically excluded.

So I think in my case I'd probably take out both the LIS minimum and the LDW (as I can't afford to buy them a new car, and my own car insurance wouldn't cover it).

I can also buy an optional insurance that that covers any excess required when renting a car. It all gets a bit confusing!

That's not a normal thing over here. My credit card gives me protection if, for example, I had prepaid for a car, and the car rental company went out of business (credit card would refund the payment), but it wouldn't cover me for a car crash.

Credit cards in the US like American Express, Capital One (depending on type of card, basic cards do not) will cover rentals by giving a loss damage waiver up to a set amount usually $20k but not on exotic cars.

I don't own a car and use my Amex Gold card for rental, have to pay in full with the CC, for coverage. That does not cover you for personal liability or roadside assistance though even some credit cards come with roadside assistance now.

I've observed Florida car rental companies very good on the hard sell of all the insurance add ons. Don't push it as much when I rent in NY.

I've also observed LDW in NYC is $9 a day and in FL its $20+ a day.

If you are that concerned go with what was suggested and get a third party travel insurance that covers rental cars and deny all they try to add on when you pick up the car and yes they make you initial the "no" on the rental form.

FWIW

I know it's a money grab but it is Florida. I'd get as much insurance as I could.

South Florida drivers are the worst on the planet.

You will not get pulled over by a police officer on I-95 for speeding from Palm Beach south to Miami because it is so dangerous for police officers.

Ooh - I'd forgotten I have a corporate American Express card. It's a work credit card, but I rarely use it as it's not accepted very much in Europe. There wouldn't be a problem putting a car hire for a day on it (such a small amount) - we're allowed put small personal expenses on it as long as we pay off the balance before the due date.

Must look into seeing what benefits come with it.

The quote I got for a small car (which would do me fine) was less than €40 for the day including LIS and LDW. I'll try to avoid speeding on the I95, despite the lack of policing :)

The car rental company provides the basic minimum insurance as prescribed by law for the car, so technically you don't need to do anything else. Many people have as part of their own car insurance a clause that covers a rental car from damage while you are driving it. Then there is the LDW you mentioned that the rental company sells you. Many people won't pay that because it's, as said, a cash grab and expensive in relation to how much the rental actually costs.

 

However, that LDW also lets you off the hook for a lot of stuff. If you don't have it, and someone drives into your rental in the hotel parking lot, you and the car rental place are going to be long term "friends" while you fight with your insurance company about all the various charges the rental company is going to go after. Your insurance, for example, might not be willing to pay for the rental costs of that vehicle while it's sitting in a body shop somewhere for 3 weeks. Well, then that falls on you, because the rental company is not going to lose income of not being able to rent a vehicle that was damaged in your possession. If you bought that LDW, then you call the rental company, and they provide you with a new rental, tow the other one away and you are done with it. Is it worth it? Who can say. Is any insurance worth it if you never needed it?

Purchase the full coverage from the rental car company, its only one day that you are renting. Florida is a NO fault state, if you are in an accident you are responsible for your cars repair 100%. Does not matter who was at fault.

The rental company will provide Florida's minimum legal liability coverage as part of the rental since you don't have coverage of your own. The Supplemental Liability coverage (LIS) increases the amount of coverage far above the minimum required, to a level that someone with assets to protect might consider prudent.

My credit cards, and those of many American renters, automatically provide insurance coverage against damage to a rented car, as does my auto insurance policy (rendering the credit card coverage secondary). An interesting observation is that most credit card issuers don't provide rental damage protection in Ireland (or Israel and some other countries) which caused me to pay for Hertz's insurance, a rare thing for me.

Purchase the full coverage from the rental car company, its only one day that you are renting. Florida is a NO fault state, if you are in an accident you are responsible for your cars repair 100%. Does not matter who was at fault.

That's so very weird to me. So if my car is parked, and you come along and drive a tank over it, and I have you on video doing it, I still have to pay to fix my car?

The rental company will provide Florida's minimum legal liability coverage as part of the rental since you don't have coverage of your own. The Supplemental Liability coverage (LIS) increases the amount of coverage far above the minimum required, to a level that someone with assets to protect might consider prudent.

 

My credit cards, and those of many American renters, automatically provide insurance coverage against damage to a rented car, as does my auto insurance policy (rendering the credit card coverage secondary). An interesting observation is that most credit card issuers don't provide rental damage protection in Ireland (or Israel and some other countries) which caused me to pay for Hertz's insurance, a rare thing for me.

Irish car insurance is just weird, as I said. I think it's because it's historically been a very captive market. For a long time there was very little competition between underwriters (small market, high cost of repairs/replacement) and policies still are very restrictive.

That's so very weird to me. So if my car is parked, and you come along and drive a tank over it, and I have you on video doing it, I still have to pay to fix my car?

No fault basically means when there is an accident, each party deals with their own insurance company. No fault doesn't mean "no blame" though. The insurance companies will definitely be investigating, and using police reports, to determine fault and then they settle amongst themselves. It used to be that if you wrecked my car, I had to deal with your insurance company. Now I deal with mine and they deal with yours. Not all jurisdictions are like this though.

Basically, as several of us have suggested, just buy the extra insurance the rental company is selling. Lets you off the hook in many ways. Especially, like me, when renting in another country.

I'll try to avoid speeding on the I95, despite the lack of policing :)

God no!! If you don't speed you have an almost 100% chance of getting in an accident! Go with the flow on I95.

Also, keep in mind many people in South Florida do not have car insurance which is probably why are insurance is so stupid expensive here.