How do you know when you need to purchase rental car insurance? Many people are confused about rental car insurance and do not know if they are being scammed into purchasing insurance they do not need when they are renting a car. Here are some tips which help you determine if you should purchase rental car insurance.

Business Traveling

* Check with someone at your company to see if there is a company car insurance policy that covers you in a rental car when you are on a business trip.

* If they do not have coverage that covers you in a rental car, ask your company if they will reimburse you if you take out rental car insurance.

When You Have Regular Insurance

* Is your car insurance policy valid during the time you will be driving a rental car?

* Does your policy cover you when you are driving a rental car?

* What is your deductible if you were to wreck the rental car?

* Does your normal car insurance cover any of the deductible from the car rental company?

* If you are in a high traffic area, will your present insurance policy cover you against uninsured or under insured motorist?

* Will your insurance pay for downtime if a rental car has to be repaired if you were involved in an accident?

* Are there specific types of rental cars that your regular coverage will cover? (Some may not cover sports cars.)

* Can other people drive your rental car and be covered under your regular insurance policy?

When You Have A Credit Card

* Read through your credit card policies regarding rental cars.

* Find the answers to all of the questions listed in the section about regular insurance and apply them to your credit card company's rental car insurance.

Once you have investigated all of the above options, you should know whether you need to purchase rental car insurance.