You can add additional protection (or endorsement) to your auto insurance contract that will cover, in the event of a responsible accident, damage to borrowed or rented vehicles. This is rider 27 - Civil liability due to damage caused to vehicles of which the named insured is not the owner.
This rider may be useful in the following situations:
- When you rent a vehicle on vacation, this endorsement may cover the rental vehicle, often at a lower cost. In this case, you will not need to take the franchise waiver from the rental company.
- When you borrow a relative or friend's vehicle.
- When you are loaned a "temporary replacement vehicle" (courtesy) while your vehicle is in the garage.
What you need to know about rider 27:
- This endorsement will cover damage to a vehicle that does not belong to you in the event of an at-fault accident only (an accident not at-fault will be covered by the vehicle owner's insurance).
- The coverage and the amount of the deductible may be different from those in your insurance policy. For example, you can have “All Risks” protection and a $ 750 deductible in your insurance contract, and have “Collision and Rollover Risks” protection and a $ 500 deductible for the rider.
- A limit for the amount of insurance per claim is set for the rider (what the vehicle owner can claim for the claim). Please note: if you plan to borrow or rent a sports or luxury car, make sure that the amount limit is sufficient to cover the value of the vehicle.
- The rider also establishes the types of vehicles that will be covered (car, trailer, motorcycle, etc.).
- It is up to you to decide whether or not to use your rider 27 to cover a claim. You don't have to do this. If you choose not to use it, the loss may be covered by the owner's insurance policy, provided he has the required protections.
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