What You Need To Know About Luxury Car Rental Insurance

Woman hands and car as protection of car concept

Luxury cars are known to be far more expensive than regular cars. Because there are more assets to protect, it makes sense to get premium car rental insurance that is tailored for luxury vehicles.

What counts as a luxury car?

A luxury car is not just defined by its price tag but also by its premium comfort, amenities, and performance. Its quality is basically top-notch that it raises its status way beyond that of the more common cars that are moderately priced.

What is Luxury Car Rental Insurance?

Luxury car rental insurance is basically insurance covering the cost of any damages occurred while renting a luxury vehicle. Although this technically functions like your regular car rental insurance, insurance for luxury cars is tailored to cover more expensive parts and services that are unique to the vehicle.

What Type of Coverage Do You Need for a Luxury Car?

car insurance concept

Before getting luxury car rental insurance, understand the different types of coverage and what you need.

Liability insurance

Luxury cars have more assets to protect. This is why it is practical to get luxury car rental insurance with higher liability limits. This creates more financial protection for incidents where you need coverage for property damage or medical expenses.

Collision and comprehensive insurance

Collision pays for the value of the luxury car when it is totalled or when it hits another vehicle or another structure. Meanwhile, comprehensive includes incidents that do not involve road accidents. This includes natural disasters, vandalism, and even theft — basically damages caused by anything other than collision.

Personal injury protection or medical payments insurance

Personal injury protection or medical payments insurance covers any medical bills for injuries due to accidents. This includes not just the driver but their passengers as well, regardless of who is at fault in a collision.

Gap or new car replacement insurance

With gap (guaranteed asset protection) insurance, the insurance company pays for the difference between the luxury car’s cash value and the loan amount. This is especially recommended for luxury vehicles that are on a lease or on a loan.

How can you get insurance for a luxury rental car?

client receiving keys of rent vehicle from manager

Before looking for other options, consult your own personal insurance coverage first. Go through your policy and check if it covers luxury cars rentals as well.

1. Your personal insurance

Driving a luxury car is a fantastic feeling, however, you need to protect yourself from any unwanted incidents that can affect your finances. This is why getting insurance for a luxury rental car is extremely important.

2. Your credit card

Many credit card companies offer insurance coverage to car rentals if you use your card during the transaction. However, review your policy and check if the coverage extends to luxury cars as well.

Some credit card companies offer the option to add additional coverage for luxury car rentals to your existing policy, so make sure you talk to your credit card provider for more information. 

3. The rental company

If your personal and credit card insurance do not cover luxury car rentals, you can also purchase a separate insurance through your rental company. Talk to your luxury car rental company to discuss your options.

4. Rental Subscriptions/Apps

Rental subscriptions and apps also come with insurance coverage, so it is best to talk to a representative to understand what is covered and what is not.

Choosing where and how to get insurance for luxury car rentals and what your policy needs to cover can be confusing. If you’re worried about what to do with your rented luxury car to protect yourself financially, talk to your luxury car rental company.

Sapphire Executive Travel is a luxury and exotic car rental company in Houston.

How Much Does Luxury Car Insurance Cost?

The cost for luxury car insurance depends on a lot of factors including the following:

  • Your type of insurance policy (personal, credit card, rental company, etc.)
  • Car model
  • Coverage
  • Period covered

Talk to your insurance provider to discuss the cost and coverage of your premium car rental insurance.

How to Get The Cheapest Luxury Car Insurance Rates

Car Insurance Direction Sign

Getting a luxury car insured is not the cheapest, but it does not have to be extremely expensive as well.

Here are three ways to secure cheap insurance rates.

Multi-Line Discounts

Many insurance providers offer multi-line discounts or discounts from getting multiple lines of insurance from them. In other words, if you already have life, health, or auto insurance from one company, you may ask if you can get a discount for luxury car insurance if you get it from them as well.

Reducing Coverage

Be wise about this, but study the coverage of your luxury car insurance and identify which ones you can do without. This is especially recommended if you are only going to drive a luxury vehicle for a short period of time. You can cut costs by dropping other coverages except for comprehensive coverage.

Luxury Vehicle Safety and Anti-Theft Discounts

Talk to your insurance provider and go through things that you can ask for discounts for such as safety features like airbags, anti-lock brakes, and daytime running lights. You can also ask for anti-theft discounts such as car alarms, secure parking, and electronic tracking devices.

The less likely the vehicle is going to be robbed, the more likely your insurer is going to offer these discounts.

The Importance of Luxury Car Rental Insurance

It can be devastating to get into an accident while renting a luxury car, especially when you failed to get insurance to cover the damages. It can cost you a lot of money.

Fortunately, insurance companies offer coverage for luxury cars, even ones that are only rented for a specific period of time. You can get it through your personal policy, your credit card, or even your luxury car rental company.

Insurance for luxury cars may cost more than your regular car insurance, however, it does not have to be extremely expensive. In fact, you can rent luxury cars with cheap insurance.

For more information on rates and coverage, talk to your insurance provider or a trusted luxury car rental company. If you’re in Houston, reach out to Sapphire Executive Travel and we can discuss your options whether in luxury car rental choices or they’re accompanying insurance coverage.


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