What is Rental Reimbursement Coverage in Illinois?

If you ever get in a car accident and can’t use your vehicle while it’s being repaired, what can you do? Luckily, there’s rental car reimbursement coverage in Illinois, which is an optional add-on that can help pay for a rental vehicle after a covered loss.  

Depending on your carrier, rental coverage may vary in cost and daily limits. If you’re looking for rental reimbursement coverage in Illinois, contact Illinois Vehicle Insurance Agency, LLC (Illinois Vehicle). Our team can help you find affordable car insurance coverage that works for you. Get a quote here!  

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How does rental reimbursement work?  

So, how does this coverage work? Rental reimbursement coverage generally kicks in after certain scenarios covered by the driver’s collision or comprehensive coverages. These are optional coverages that go beyond the Illinois-required liability coverage. It’s important to note that you typically can’t add rental reimbursement to a policy without collision or comprehensive coverage.  

Collision coverage helps pay for the costs of repairs or replacement of your vehicle after a covered collision. Comprehensive coverage, on the other hand, can pay for non-collision events that damage your vehicle, like theft, vandalism, or severe weather.  

When it comes to billing, some carriers have agreements with rental car agents where you can get a direct bill. In other cases, you may have to submit receipts for reimbursement if your provider doesn’t allow for direct billing.   

If you’re in the market for a policy with rental reimbursement, Illinois Vehicle can help you navigate the process. Our knowledgeable team can help you understand coverage limits so you can find a policy that matches your needs.  

What does and what doesn’t rental reimbursement cover? 

Though rental car reimbursement in Illinois can be helpful, it may not cover all damages or situations while you’re driving the rental. Here are some scenarios in which rental reimbursement may be able to step in: 

• Your vehicle was totaled in a covered crash. While the replacement process is underway, rental reimbursement coverage can help cover a rental car up to the determined limit.  
• Your car window was broken in a covered vandalism event. While the window gets replaced, you can use a rental car paid for by this add-on (up to a specified amount).  
• During a severe storm, a tree falls on your car. Depending on the repairs needed, your vehicle may be in the shop for days. Rental reimbursement helps you continue to drive with a reimbursed rental car.  

Unfortunately, rental reimbursement coverage typically does not pay for: 

• Gas expenses 
• Additional fees like damage deposits or collision waivers 
• Charges above your daily limits 
• Mechanical breakdowns 

If you’re unsure about what rental reimbursement can and can’t cover, talk to your insurance agent. A knowledgeable agent can help you understand how rental reimbursement may be able to benefit you.  

 What if the other driver was at fault?  

If you get into a collision that damages your vehicle and the other driver is at fault, the at-fault driver may be responsible for paying for your rental car. This means that your payment would typically come from the other driver’s insurance. If this occurs, your rental coverage may only extend for a determined number of days.  

If the other driver’s carrier is still disputing the claim, you may be able to cover your own rental through your rental reimbursement coverage. If the other driver is found at fault after you use your own coverage, your insurance company may negotiate with the at-fault driver’s insurer to get compensated. 

Is rental reimbursement worth it?  

Getting rental reimbursement coverage in Illinois may be worth it for you for a couple of reasons: 

• Adding rental reimbursement coverage is typically affordable 
• It can help you with transportation costs after a covered loss  
• Coverage may reduce large out-of-pocket expenses for rental vehicles after an accident 

If you have questions about rental reimbursement, contact Illinois Vehicle. Our agents can help you decide what coverage is necessary for you.    

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Frequently asked questions (FAQs)  

How much is rental reimbursement coverage?  

Prices can vary by state and insurance company. Rates may be as low as $27 a year and go as high as $90 a year, according to Forbes.  

How long does rental reimbursement last?  

Typically, rental reimbursement lasts for 30 days, but this may depend on various factors including the type of accident, the car rental company, and your policy.  

Can I use it for any rental car company?  

This depends on the insurance company you choose. Generally, insurers work with most major car rental companies. Others may partner with a select car rental company, making the billing process smoother.  

Does it cover luxury or specialty vehicles?  

Since your policy will have a daily limit on how much you can spend on your rental car, luxury or specialty vehicles aren’t usually covered. Unless the vehicle listed in your policy was a luxury or specialty vehicle, most insurers won’t cover this car category.  

Get rental reimbursement coverage in Illinois  

Looking to add rental reimbursement to your policy, but don’t know where to start? Our Spanish-bilingual agents work with drivers to help them choose a car insurance policy that works for their budget and needs. Illinois Vehicle can also assist you with filing an SR-22 and receiving same-day IDs once payment is issued. 

Call Illinois Vehicle today at 1-630-581-4805, visit one of our Chicagoland locations, or get a free personalized insurance quote!  
 

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Disclaimer: ​  
This material is for general informational purposes only. The products, services, and discounts referenced herein are not available in all states or from all companies. All statements are subject to the terms, exclusions, and conditions of the applicable policy. In all cases, the actual language of the policy contract prevails. Coverage is subject to individual policyholders meeting the insurer's underwriting qualifications and state availability. Other terms, conditions, and exclusions may apply.