Car Rental Insurance United States
Complete rental guide for the United States
The USA is vast and varied, from Alaska’s wilderness to Miami’s beaches. A rental car is often the easiest way to see it. Roads range from open interstates to gridlocked city driving, and the US has a higher rate of road fatalities than many developed nations, so caution matters.
This guide covers what you need to know about rental car insurance in the USA — what’s covered, what to ask for at the rental desk, and how to drive safely.
Understanding rental car insurance in the USA
In the USA, coverage isn’t guaranteed the way it is in most other countries. You may get basic third-party liability insurance built into your rental price, but this varies by state, and Collision Damage Waivers (CDW) usually aren’t included at all. If a CDW does extend to theft, it’s usually called a Loss Damage Waiver (LDW). Two separate things are worth understanding: CDW covers damage to the vehicle itself; Supplementary Liability Insurance (SLI) covers damage or injury you caused to someone else.
CDW — vehicle damage
With the rental company
What isn't included and what you may pay out-of-pocket.
Up to US$6,000 deductible.
CDW from rental companies often carries a high deductible.
Windscreens, tires & underbody.
Commonly excluded from basic CDW.
Single-vehicle accidents.
Often void basic cover entirely.
With RentalCover
Fill in the gaps with protection from RentalCover.
$0 excess.
Nothing to pay if something goes wrong.
Windscreen, tires, towing & more.
All covered.
Single-vehicle accidents.
Covered.
SLI — liability
With the rental company
What isn't included and what you may pay out-of-pocket.
State minimum only.
Liability cover from the rental company can be as low as $0.
US$10-$20/day at the counter.
SLI is optional and priced on top of your rental rate.
With RentalCover
Fill in the gaps with protection from RentalCover.
Up to US$1M-2M liability cover.
Tops up the state minimum.
Covers damage or injury to others.
Cheaper than SLI bought at the rental desk.
Beat the rental desk price by 50%† — for just a few dollars a day!
Get an instant quoteKey driving information in the United States
A quick guide of rules and conditions that catch out most visiting drivers. For more detail, see the National Highway Traffic Safety Administration’s (NHTSA) road safety guide.
Drive on the right
Opposite side to most other countries.
Rules vary by state
Check local laws where you’re driving.
Speed limits
15-85 mph, and they vary by state.
Road safety
Higher fatality rates. Drive carefully.
Toll roads
Ask your rental company on how to pay.
International driving permit (IDP)
Needed for many international visitors.
0.08% Blood Alcohol Limit
For drivers 21 and over.
Road signs
Standard system nationwide.
Pre-departure preparation checklist
Prepare these essentials before you travel!
Valid driver's licence
Bring your full driver's license and an IDP if required.
Book RentalCover protection
Buy before you travel. Typically 50% cheaper than at the rental desk.†
Review rental agreement
Read carefully and note the fuel policy, mileage limits and any additional fees.
Security deposit
Ensure your card can cover the deposit (often US$200-$500).
Download important documents
Save digital copies of your license, RentalCover documents, rental confirmation and passport.
What to do at the car rental desk
Decline extra insurance
Have RentalCover? Decline the matching cover at the rental desk such as CDW and SLI, you’re covered either way.
Conduct thorough inspection
Photograph existing damage and take a 360° video before driving.
Check fuel level
Note the level at pickup and confirm your rental company’s refueling policy.
Understand the vehicle
Get familiar with the controls and ask about anything unfamiliar.
Emergency numbers
Save the rental company's roadside assistance number.
Ready to hit the road with confidence?
Get an instant quoteWhat to do in the event of an accident
Stay calm and handle the urgent things first, then work through the rest once everyone is safe.
Emergency number in the USA - 911. Call immediately if there are any injuries or the accident is blocking traffic.
Right now - at the scene
Make sure everyone is safe
Check for injuries and call 911 if anyone's hurt. Move to safety.
Call the police if needed
Required for injury or major damage. Call 911, or the local police for non-emergencies.
Once everyone is safe
Take Photographs
Photograph all vehicles, the damage, road conditions and the location. Get any witness details.
Exchange information
Swap names, vehicle registration and insurance details with the other party. Don't admit fault at the scene.
Notify the rental company
Contact them as soon as possible. They'll guide you through the next steps.
File your claim with RentalCover
Submit a claim online with your photos, the police report and repair invoices. Claims are typically processed within 5–7 business days.
Frequently asked questions
Credit card coverage varies significantly from one provider to another. Many credit card rental car insurance policies offer protection for vehicles in the USA, especially if issued in the USA.
Credit card insurance is usually secondary coverage; it kicks in after a primary form of coverage has been activated, such as a personal auto insurance policy. In this case, your credit card cover may offer insurance for your personal auto insurance deductible, or protection for items your personal insurance excludes.
Since personal auto insurance often doesn't apply when you travel overseas, some credit card policies will default to primary coverage in these cases.
Even if your credit card insurance applies in the USA, your coverage may still have significant exclusions worth considering. If you have any questions about your coverage, contact your card provider directly.
In the USA, the cover automatically included in the price of your rental vehicle is generally very limited. You may have some level of third-party liability insurance, allowing you to meet the minimum legal standard required to drive on the road.
In other cases, even the insurance required to meet minimum legal standards might not be automatically included in the price of your rental vehicle. In this case, you can generally purchase Supplemental Liability Insurance (SLI) at the rental desk. You can also purchase SLI from RentalCover.
Rental companies also generally offer Collision Damage Waivers, which provide some cover for damage to your rental vehicle. Your car rental company may even refuse to rent a vehicle to you if you do not purchase their waiver or have equivalent cover.
Even if you purchase additional insurance at the rental desk in the USA, you could lack protection and face significant out-of-pocket costs. With a policy from RentalCover, you can get more comprehensive protection that's 50% cheaper than equivalent cover from rental companies.†
Some travel insurance policies include a level of rental vehicle cover. For example, some policies offer rental vehicle excess/deductible insurance, covering your out-of-pocket costs if you make a claim with another insurer, like your rental car company.
Your travel insurer typically won't offer primary cover for damage or theft to the rental vehicle itself.
On average, the cost of RentalCover protection comes to $20 a day. Rental vehicle insurance from car rental companies comes to around $70 to $90 a day.†
Personal auto insurance policies issued in the US often extend coverage to Canada. Aside from Canada, US car insurance policies typically don't include any coverage for travelling to other countries.