Car-InsuranceMany people think that their insurance company will automatically provide a rental car for them if they have full coverage. This is usually not the case.

First of all, you usually have to add an endorsement to your policy to have coverage for a rental vehicle.

Second, even if you add this coverage, your insurance will only pay for a rental vehicle if you have a covered claim. If a claim hasn’t been turned in to your auto insurance company, they will not pay for your rental vehicle.

Most insurance companies offer rental insurance on a daily dollar limit. For instance, you may have coverage of $20 a day. If you choose a car that costs more than that, you pay the difference.

If you have 4 kids and usually drive a mini-van, you will probably want to rent a mini-van if your car is in the shop for a covered claim. Chances are, $20 a day will not cover rental fees for a mini-van.

Rather than offer a daily limit, Erie policies allow you to select a class of vehicle.

Class 1: Compact sedan
Class 2: Traditional sedan
Class 3: Small SUV or pickup truck
Class 4: Minivan or midsize SUV
Class 5: Luxury sedan or large SUV

You may not know what kind of vehicle you can rent for $30 a day but you know what kind of vehicle you would require to meet your needs.

*Due to state requirements, ERIE maintains dollar limits for Transportation Expense coverage in North Carolina and Virginia.

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