Car accidents are unfortunately a common occurrence on the road, and they can cause significant inconvenience and financial burden. One question you may have as a car owner is whether you need rental reimbursement coverage as part of your car insurance policy. In this blog, we will discuss what rental reimbursement coverage is, the benefits of having it, and statistical data that supports the importance of having this coverage.
What is Rental Reimbursement Coverage In Illinois?
Rental reimbursement coverage is an optional add-on to your car insurance policy that helps pay for a rental car if your vehicle is being repaired or replaced after an accident. This coverage provides a daily allowance to cover rental expenses, usually up to a specified limit per day and for a limited number of days.
What are the Benefits of Car Rental Reimbursement Coverage for Illinois Residents?
Having rental reimbursement coverage can save you money and inconvenience in the event of an accident. Without rental reimbursement coverage, you may have to pay out of pocket for a rental car, which can be expensive. Additionally, having rental reimbursement coverage can give you peace of mind, knowing that you have a backup plan in case of an accident.
Statistical Data on Car Accidents and Rental Reimbursement Coverage in Illinois
According to the National Highway Traffic Safety Administration, there were over 6 million car accidents in the United States in 2019, with over 2.7 million injuries and 36,096 fatalities. This means that there is a significant chance that you may be involved in a car accident at some point. Additionally, according to a survey by the Insurance Research Council, only 72% of drivers had rental reimbursement coverage as part of their car insurance policy in 2020.
What is the Cost of Rental Cars and the Importance of Rental Reimbursement Coverage in Illinois?
Rental cars can be expensive, especially if you need one for an extended period. According to a study by AAA, the average daily cost of a rental car in the United States in 2020 was $47. Furthermore, if you have to pay for a rental car out of pocket, you may have to settle for a lower-quality or less convenient option than you would prefer. Having rental reimbursement coverage can help ensure that you have access to a quality rental car while your vehicle is being repaired or replaced.
The Cost of Rental Reimbursement Coverage and Misconceptions in Illinois
Some people may avoid adding rental reimbursement coverage to their policy due to the misconception that it is too expensive. However, rental reimbursement coverage is often relatively inexpensive, usually costing only a few dollars per month as an add-on to your existing policy. Furthermore, when you consider the potential cost of paying for a rental car out of pocket, rental reimbursement coverage can actually save you money in the long run.
Rental reimbursement coverage is an important add-on to consider when choosing a car insurance policy. Car accidents can happen to anyone, and having rental reimbursement coverage can provide peace of mind and save you money and inconvenience in the event of an accident.