Rental Car Insurance Abroad

Rental Car Insurance Abroad Scam: How It Works

Beware of the International Car Rental Insurance Scam if you’re about to travel. It is also known as the Rental Car Insurance Abroad Scheme. Imagine this scenario:

You are planning a great vacation in a different country. You book your hotel, rental car, auto insurance, and then catch the plane. Once you arrive at the destination and go to pick up your vehicle, you are told that their rental company doesn’t accept insurance bought in other countries.

You are forced to pay an extra few hundred dollars, because they only recognize their own and you are told that you’ll be held responsible for any damage. What to do if you travel soon?

Watch the video below to see tips on how to buy rental car insurance:

Tips On How To Buy Rental Car Insurance Video


International Rental Car Insurance Scam: How To Avoid

Always rent from the most renowned car rental companies when you are traveling. Try to find deals and discounts available from all the top rental companies you know (Avis, Hertz, Budget, Entreprise, Thrifty, Alamo, Dollar, National, etc). However, besides the scam presented above, here are some notes for you to keep in mind when you are looking to get insurance for your rental car.

cars driving in the rain insurance


You might not know this, but your personal insurance is going to cover a large part of your rental car. In another words, the liability coverage you have transfers over to that rented vehicle. Do not purchase liability insurance on rental vehicles because your insurance – without deductible on liability – carries completely over.

Just make sure that you have your insurance card and your insurance information to show to the rental car company when you’re there. Have it with you at all times.

The issue comes in with comprehensive and collision, aka physical damage. When you look at that rental form and you see physical damage that’s where you want to start paying attention. This is when you should buy insurance. Why? You do not have to deal with any deductible in that situation. With your personal insurance – even though it does carry over the rental cars – you might have a deductible. When you’re on vacation that may become an issue.

There are other problems to deal with at a rental company, such as “loss of use”. If you get the car damaged (especially it’s your fault) and they can’t use it, they can actually come back against you for the days they couldn’t use the vehicle! The other problem is something called “Diminution in Value”. How does it work?

Let’s say you have a brand new vehicle you rent, but unfortunately you damage it two miles after you leave the company’s lot. The minute you damage it what is owed on it and what the value is changes. That difference can come back on you. When you sign off and get their full comprehensive coverage on physical damage… that saves you from all of that.

You can drive the car with full confidence and you can just return it to way it was, or with marks, scratches, or dings, because everything is take care of. You can drive that car knowing full piece of mind that you don’t have any worries.

If you are about to travel soon, watch the video below to learn great tips on how to get the best deals on rental cars and find cheap car hire.

How To Get The Best Deals On Rental Cars Video


International Rental Car Insurance Scam: How To Report

Make your family and friends aware of the Rental Car Insurance Abroad scam by sharing it on social media. You can also officially report the questionable foreign rental car companies to the Federal Trade Commission using the link below:

Report To The FTC Here


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Rental car insurance ranaround You’ve finally gotten off the plane, picked your bag out of the 150 identical pieces of luggage on the carousel, and slogged your way over to the rental car counter. It’s late, you’re tired, and the last thing you want to have to do at this point is think any more than is absolutely required to get to your hotel and to take a shower. And then that darn guy behind the rental counter asks you the question: Do you want to purchase the additional insurance today? *sound of gears grinding* Well? Do you? The $20/day… Read more »

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