Traveling + Road Trips
More and more people are going on road trips and driving nationwide. It’s a great way to spend vacation days and explore different states. You need to have car insurance in New Jersey if you love traveling by car to and from the state. Whether you own the vehicle you’re driving or rent a car, it is essential to have the right coverage before you hit the road in case of an accident.
If you’re driving a rental, you may need temporary car insurance to have coverage if any mishap happens. If you own the car you’re driving, you want to get protection against accidents that could damage your vehicle or injure anyone onboard. The good news is that most auto insurance, whether temporary or not, provides coverage across all states. Coverage limits are usually adjusted to meet state requirements for accidents out of state.
Suppose you are traveling to Mexico or another country and planning to drive around in rentals. In that case, you may need to get insurance specific to that country in addition to your existing insurance coverage. Getting auto insurance that covers traveling and road trips can be confusing, especially if it’s your first time doing so.
Car Insurance for Road Trips and Out-of-state Travels
Currently, there’s no specific car insurance policy that covers road trips. However, if you will be on a road trip with friends or family and will share driving responsibilities with them, you need to ensure that your policy covers permissive use. Some insurance includes a clause for permissive use. This extends the coverage to someone unlisted on the policy but uses the vehicle less than 12 times per year.
While most car insurance companies offer permissive use options, some will have restrictions. So, before you hit the road, check the information about permissive use in your policy.
In general, auto insurance is regulated and enforced at the state level. Thus, every state will write and administer its insurance requirements. You can search online for state requirements or talk to your agent if unsure.
Luckily, if you travel to a state with higher required insurance coverage than New Jersey, your insurance will automatically adjust your policy limit to meet that requirement. However, you must also note that your liability insurance will stay the same if you travel to a state with lower limits.
Car Insurance If You’re Driving Your Car
Depending on your coverage type, your auto insurance will cover various problems if you are driving your car to another state. Here are some of the car insurance coverages:
· Liability Insurance – You need this insurance to cover accidental property damage and personal injuries if you get involved in a car crash while on a road trip. If you are taken to court after an accident, the liability insurance will also cover legal defense.
· Collision and Comprehensive Insurance – This is optional coverage. You can get it if you want more comprehensive coverage for various road trip problems. A collision and comprehensive insurance will cover car theft, collisions with animals, and car damages caused by fire, hail, floods, vandalism, and falling objects.
· Roadside Assistance Insurance – Road trip problems like getting a flat tire, empty gas tank, dead battery, or getting locked out of your car –are problems that roadside assistance insurance can cover. But you can also get help for these elsewhere; for example, if you’re an auto club member, you likely have coverage for these instances.
Car Insurance If You Own a Car but Driving a Rental
In most cases, a rental should already have coverage if you have liability, collision, and comprehensive insurance. Some auto insurance also covers rentals, so read the complete information in your policy. However, there might be some gaps in coverage. For example, auto insurance usually doesn’t cover “loss of use” charges.
If you get into an accident, the rental company might charge you a daily fee to cover any lost income while the vehicle is being repaired. Depending on the amount of damage, the cost could add up to thousands of dollars. Before you rent a car, you will have the option to buy a CDW or collision damage waiver. It can reduce your financial burden if something happens to the rental car while you’re on the road.
Car Insurance If You Don’t Own a Car and Driving a Rental
If you don’t own a car, you will not have auto insurance. If that is the case, you need to purchase car insurance for the rental. In most cases, the rental company will also offer car insurance and sign the rental agreement. You can buy coverage like roadside assistance, liability insurance, CDW, and personal accident insurance. You can also get personal effects coverage, which covers any valuable items damaged or stolen during your road trip.
Car Insurance for Trips Out of the Country
If you’re wondering whether you need car insurance to travel to Mexico and other countries, it depends on whether you’re planning to drive. If you are moving your car to another country, you may not need additional coverage. There’s no need to buy additional policies for road trips in Canada. This is because most car insurance in the U.S. is also good in Canada.
Are you traveling to Mexico? Your current auto insurance probably won’t work there. As such, you will need to buy car insurance in Mexico. If you plan to rent a car in the United States, check with the rental company if they allow driving the vehicle across the borders. Some rental companies prohibit that, or there may be some restrictions.
If you are going to another country and planning to drive there, your auto insurance in the United States may not cover anything. Check the laws in your country of destination regarding driving and policy coverage.
Choose the Right Car Insurance
Whether you’re getting insurance for your new car or need temporary insurance for rentals and road trips, choosing the right insurance policy with the right coverage is essential. Make sure to shop around and compare providers to get the best deals.
