Am I Covered When I Rent That U-Haul Or Motor Home?

Question: I’m going to rent a motor home for vacation. I’ve called the insurance company three time to make sure I have the right coverage and got three different answers?

Or

I’m moving my daughter back from college and renting a U-Haul truck. Does my policy provide me coverage when I’m driving the U-Haul Truck?

One of the most common questions received by insurance agents involves rental cars. But just as important, are questions about renting vehicles other than private passenger autos, such as motor homes and U-Haul type trucks.

So, let’s take a look and see what the “standard” personal auto policy says about coverage for motor homes and commercial-type vehicles.

Liability coverage is provided for the “named insured, resident spouse, and resident family members for”…the ownership, maintenance or use of any auto or trailer.” So, you are covered for liability claims when using the motor home or U-Haul truck. Even though “auto” seems to imply a private passenger type car, numerous court cases have held that a moving truck is an auto, meaning coverage applies. One caution is, the use of the motor home or truck must be for personal use only.  Business use of a motor home or truck is not covered by the personal auto policy unless the Extended Non-Owned Coverage endorsement is added to the policy.

Medical payments coverage is provided since the policy says coverage applies “while occupying…a motor vehicle designed mainly for use on public roads…” The same business use exclusion found in liability coverage applies for medical payments too.

Uninsured motorist and Underinsured Motorist coverage benefits will apply with no unique exclusions.

Physical damage coverage IS NOT provided by the personal auto policy since the policy states coverage for a non-owned auto applies only for a “…private passenger auto, pickup, van, or trailer….”  This means that your best option is to purchase the Collision Damage Waiver from the rental company. Failure to do so could result in you having to pay for any damage to the motor home or truck, plus loss of rent charges, and any administrative expenses the rental company may add. There is no endorsement available to fix this coverage gap. Also, if the vehicle rented is a trailer, the “standard” personal auto policy only provides $500 of physical damage coverage.  Many elaborate camping trailers are valued at five figures, so purchased of the Collision Damage Waiver or Loss Damage Waiver would certainly be in your best interest.