An umbrella offers a cushion of protection above and beyond auto limits by covering lost wages, pain and suffering, emotional distress, essential medical care, co-pays and deductibles — and it costs just a tiny fraction of the liability rental car coverage which can run $15/day. (Most policies start at 83¢/day.)
Adding excess UM/UIM coverage to an umbrella is an even stronger option because it’ll follow you in any car as a driver or passenger, or even when walking or riding a bike.
If you operate a rental car while intoxicated or let someone else drive, the rental car coverage is null and void while the umbrella will still protect them, even under these inadvisable circumstances.
REAL-WORLD CASE
Nathan rented a car so he could meet up with his friends at Coachella. As he was driving through the desert, strong winds began to blow dust causing decreased visibility.
On the same highway, Roger, a recent retiree familiar with these conditions, slowed his car below the speed limit for safety.
Nathan didn’t see Roger until it was too late. Roger’s car overturned on impact and he was taken to the hospital where he ultimately succumbed to his injuries.
Since Nathan was a listed driver on his parents’ policies, their standalone personal umbrella covered Roger’s medical expenses and ongoing litigation once their underlying auto was exhausted.
Claim: $875,000
Identifying details in this story have been changed to protect the privacy of individuals. Supplemental rental car coverage estimate based on a search conducted April 17, 2017.
Story courtesy of: http://www.insurancejournal.co...