1010 Polytek Court, Suite 3
Ottawa, ON K1J 9H8
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M-F 9am-5pm, Sat. by Appt. Only
Auto Insurance Loss of Use
What is it?
Loss of use insurance pays for your rental car or other transportation when your vehicle is being fixed due to a collision or other claim on your insurance, such as theft.
It is a valuable resource should you lose access to your vehicle. If you rely on your vehicle for daily use, such as driving to and from work then loss of use insurance is a good investment. This coverage will ensure that you are not without a vehicle if yours is damaged.
Loss of use insurance is not automatically added onto your auto insurance policy. It is an endorsement that you must ask your broker or agent to add to your policy for you. This
valuable added coverage will only cost you a few extra dollars a month. Typically, when you file a claim on your loss of use, you will be allowed to rent a vehicle comparable to the vehicle you own.
There are varying limits of coverage available based on a total loss per occurrence.
Make sure you purchase a limit of coverage adequate enough to meet your needs. Even if you own more than one vehicle and decide loss of use is not necessary as you have another vehicle at your disposal, keep in mind, that if you find yourself in a claim situation out of town then a rental car may be your ideal transportation home.
The annual cost for loss of use is minimal compared to the daily rate you would pay to the rental car agency.
June 19th, 2013