—David Lowry, Ottawa
An accident with a rental car might affect your personal automobile insurance, depending on the nature of the mishap and whether you are deemed to be at fault. A claim that falls under a policy’s comprehensive section is considered no-fault and shouldn’t impact your premium. But a collision-related claim is another story.
Insurance companies have access to all motorists’ driving records, and these include any on-road violation, whether it was using one’s own car, a friend’s vehicle or a rental. This information can be used to determine insurability and premium levels.
“Companies have different tolerances for how many accidents a person can have before their rate is affected,” says Erika Bennett, a spokesperson for the Insurance Bureau of Canada. “Drivers can also sometimes buy ‘first accident forgiveness’ coverage as an add-on to their basic policy, which basically protects your driving record from falling to the bottom of the insurer’s rating system.”
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