Non-Owned Coverage

A number of insurance companies in Canada offer coverage for people that are renting a vehicle for a short period of time. This is a popular coverage because insurance purchased from a car rental company can be quite expensive. TD Insurance and Meloche Monnex, for example, both have a “Damage to Non-Owned Automobile Coverage” that includes comprehensive and collision protection for your rental car. These are policies that assume you have not owned or registered the vehicle in your name or through your company.

How Much Does it Cost?

With most auto insurance companies you’ll end up spending less on the non-owned coverage then you would spend on the cost of a few days of insurance purchased through the car rental agency. If you rent a car for more than two days a year then you’re probably going to save money by buying one of these policies. However, you should compare prices before you jump into anything. Ask your insurance agent how much non-owned coverage costs and then contact the rental agency to see how much their insurance costs. In some cases your credit card may also cover you when you rent a car but be careful with this one. A lot of times your credit card will only cover you for certain situations and only up to a certain amount so look into the details of their insurance coverage before you head out on the road. Make sure you are covered and that, should anything happen, you are protected against injuries and damage to the vehicle.

Coverage for Small Business

Allstate Insurance offers a non-owned coverage through their business insurance division. This protects your employees that are driving their own vehicles, against damage and injuries that might occur while they are working for you. If you run a small business and your employees are required to drive a lot for business purposes then you should put some serious thought into this coverage. If you have a fleet of cars then it might be best to sit down with an insurance agent to discuss your coverage limits and deductible amounts. If you have a number of different vehicles and some of them are owned by employees then it can get a bit complicated. To learn more about employer non-owned car liability insurance click here.

Where Am I Covered?

This depends on the type of policy you buy. Most non-owner insurance policies protect you against damages to borrowed or rented vehicles anywhere in the United States and Canada. You should confirm this with your insurance agency before leaving though. With this coverage, most insurance companies will have you protected against damage on rented trailers, campers, and automobiles. The Personal Insurance Company is one of the insurers offering such policies, in this case the coverage is included in their Worry-Free Option. To learn more about The Personal click here.

Further Reading