What Is Rental Reimbursement Coverage?
Rental reimbursement is an optional coverage that pays for a rental car — up to a daily and total limit — while your vehicle is being repaired after a covered collision or comprehensive claim.
Optional Add-On
By the Home & Dime Editorial Team · Updated 2026
How it works
- Applies after a covered claim (not routine maintenance).
- Pays a daily cap (e.g., $30–$50) up to a total limit.
At-fault crashes
If another driver caused the crash, you may get a rental through their liability insurance instead of using this add-on.
Common exclusions
- Rentals during routine maintenance
- Costs above your daily limit
- Non-covered claims
State considerations
Availability and limits are consistent across states; choose a daily limit that matches typical rental prices.
Claim tips
- Add it if you rely on your car daily.
- Pick a daily limit near local rental rates.
- For at-fault crashes, claim through the other driver’s insurer.
Frequently asked questions
Is a rental automatically covered?
No — you need this add-on or an at-fault other party.
Does it cover maintenance rentals?
No — only covered-claim repairs.
Related guides
Sources: Insurance Information Institute (iii.org); Consumer Financial Protection Bureau; FEMA; state Departments of Insurance. General information, not insurance advice.
Part of our Auto Insurance guide
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