Rental Truck Insurance: Should You Get Insurance When Renting a Moving Truck?

Whether you’re moving with professional help or on your own, moving is always stressful and expensive. There are too many things that can go wrong (moving scams, rental truck problems, bad weather, traffic accidents, etc.) and the costs add up real quick (packing expenses, movers’ rates (or truck rental fees), extra charges (or fuel costs), insurance costs, travel expenses, etc.).

Still, DIY-moving tends to be a bit cheaper, so you may decide to rent a moving truck and transport your belongings yourself in order to save some money on your relocation. In that case, however, you will have to take care of all aspects of the arduous moving process yourself – from packing and loading to driving the heavy truck to your new home. To ensure a safe and smooth relocation, you will need to think about everything and consider even the smallest details.

One such detail is moving truck insurance – it may not seem important, but it can make a big difference if you get into an accident with your rented moving vehicle.

In the unfortunate event of an accident, your items may get damaged, the rental truck may get damaged, another vehicle may get damaged, and/or you may get hurt. If you have appropriate rental truck insurance, it will cover any necessary repairs, replacements, and medical expenses. If not, you will have to pay for it all out of your pocket – and will end up losing a lot of money (and a lot of nerves) on your self-move.

To avoid such disastrous a scenario, you need to do everything possible to absolve yourself of financial responsibility in case of an accident. And the best way to achieve that is to get the right insurance coverage.

Here is everything you need to know about moving truck rental insurance, so you can make an informed decision for your next DIY-move.

Do I need insurance for moving truck rental?

Driving a moving truck is very challenging as most people have no experience operating such a large and heavy vehicle. There are many things that can go wrong on the road, so it is a very good idea to have proper insurance.

What is moving truck insurance?

Rental truck insurance is an optional add-on you can purchase when renting a moving truck. It is designed to protect you and your belongings during a self-move and to shield you from liability in case of an accident.

Truck rental companies offer various types of insurance coverage – some bundle all insurance policies into one package called “moving truck insurance”, others let customers choose the specific policies they need.

What’s included in the truck rental coverage?

The scope of the moving truck insurance coverage depends on the plan – a basic policy typically only covers the truck, but you can choose from a number of different plans to get the level of protection you want.

Rental truck insurance covers “accidental damage” to the vehicle, such as hitting or getting hit by another vehicle. It usually excludes mechanical damage (such as damaging the drivetrain by overloading the truck and using the wrong gear or damaging the transmission gears by shifting incorrectly) and damage caused by hitting an overhead object, like a bridge or overpass (a common accident, as most DIY-movers are not experienced in operating vehicles as tall as moving trucks).

You can purchase supplemental insurance that covers collisions with overhead objects – and you can get various other types of additional protection, as well (cargo protection, auto tow protection, etc.). (See below for details)

Why do I need extra insurance when renting a moving truck?

It is easy to see why you need insurance when renting a moving truck, but you may be wondering why you need to purchase extra insurance from the rental company – after all, you probably already have auto insurance.

Your personal car insurance policy, however, may not extend to rental trucks – while auto insurance policies typically cover rental cars, many of them do not cover vehicles over a certain weight or specifically exclude cargo vehicles and trailers.

Personal auto policies usually do not provide coverage for rental vehicles with a gross vehicle weight (GVW) rating of 9,000 lbs. or higher or vehicles with a maximum load capacity greater than 2,000 lbs. Smaller vans, however, may be covered.

So, does car insurance cover rental trucks? It depends on the policy and the size of the truck – when planning to rent a moving vehicle, you need to check with your auto insurance provider to find out whether you’re covered or not. (If rental trucks are covered under your existing plan, be sure to ask for details (coverage limits, deductibles, special conditions, etc.), so you can determine exactly how much protection your policy provides and whether you need additional coverage).

Good to know: Although credit cards typically cover rental car insurance, you’re unlikely to be covered through your personal credit card when renting a moving truck – credit card coverage usually applies only to cars and other passenger vehicles. It is, however, a good idea to check with your credit card company to see if they have any special policies in place when it comes to rental trucks – you may be able to qualify for discounts or take advantage of some other benefits as a cardholder.

Having proper rental truck insurance will ensure your peace of mind and will protect you from liability and financial loss in the event of an accident.

Rental truck insurance options

When renting a moving truck, you need to understand the rental company’s insurance plans so you can get the right coverage for your move.

There are several different insurance policies to choose from renting a moving truck:

Damage waivers

As explained above, in most cases, the physical damage coverage (collision coverage, comprehensive coverage, etc.) you have on your auto insurance will not extend to your rental moving truck. So, if you have an accident during your move – and the accident is your fault – you will be liable for any damages to the rental truck and will be responsible for covering the cost of the repairs yourself (as well as for paying the “loss of use” charge that agencies demand when a truck is out of commission).

If you have a damage waiver, however, you will be off the hook – the truck rental company won’t come after you financially.

Damage waivers – Physical Damage Waiver (PDW) and Limited Damage Waiver (LDW) – absolve you of financial responsibility for any damage to the truck during the rental period, regardless of whether the damage is your fault or not.

The PDW has no deductible. The LDW may include a deductible of up to $500.

Supplemental liability insurance

Liability insurance protects you from property damage claims and personal injury claims made against you.

Truck rental companies provide minimum liability coverage (as required by the state) on every rental. The amount of the coverage, however, is very limited and not enough to protect you in the event of a serious accident.

If you have car insurance, the liability coverage on your policy will extend to your rental moving truck, too. If your liability limits are low, though, you may still need additional protection.

That’s where supplemental liability insurance comes in – it provides additional liability coverage beyond your auto insurance liability limits and adds to the minimum state-mandated coverage. The SLI typically covers up to $1 million in damages.

So, if you hit another vehicle during your move and are deemed to be at fault in the accident, you can have peace of mind that your liability insurance will pay for any claims against you.

Keep in mind though that SLI policies often have certain exclusions and exceptions, so you need to carefully read the terms and conditions of the coverage when considering purchasing it.

Personal accident protection

While it is important to avoid liability in case of an accident, it is even more important to have personal protection – in case you’re injured during the move.

Truck rental companies offer medical coverage that will pay for any medical expenses incurred as a result of an accident during the relocation. The personal accident protection plan covers injuries or death while in the rented vehicle and may extend not only to the driver but to other people riding in the truck, as well.

If you have health insurance, however, you won’t need this additional protection – your existing policy should cover your medical expenses if you’re injured during the move.

Cargo protection

There is no doubt that you will be worried about the safety of your items when moving them to a new home – and the best way to ensure your peace of mind is to have your belongings properly insured.

If you have homeowner’s insurance, your items will most likely have some protection – home insurance covers damage to personal belongings as long as the loss is related to a peril that’s listed in the policy (such as theft, fire, or natural disaster).

So, if your items are stolen or destroyed in a catastrophe (a fire, a storm, etc.) during the move, your homeowner’s insurance will most probably cover the loss (up to the limits on your policy). However, it won’t provide coverage for individual items damaged during the relocation process (such as broken furniture pieces or electronic items).  

Besides, some insurance policies provide coverage only if the damage occurs at home – they do not cover damage that occurs while the items are in transit. You need to talk to your insurance provider to find out if your policy covers moving, what perils are covered, and what the coverage limits are.

Even if your homeowners insurance provides coverage to items in transit, it will be limited and won’t apply to all situations that can arise during a house move. Therefore, it may be a good idea to purchase additional protection for your belongings – cargo protection.

Cargo protection insurance is designed to protect your items while inside the rental truck. It provides coverage for damage caused by certain listed perils (such as accidents and inclement weather), but does not cover theft or damage caused by shifting.

Most rental companies offer up to $25,000 worth of coverage for one-way rentals and up to $15,000 for local rentals (there is usually a $100 deductible). High-value items like TVs, antiques, and jewelry, however, are usually excluded.

Auto tow protection

If you’re going to tow your car behind the rental moving truck, it may be wise to purchase towing insurance. This policy provides coverage for theft or damage to your personal vehicle while it is in transit – and while it is being loaded and unloaded on the car trailer.

Auto tow protection typically covers any damage to the car while it is being transported to its final destination – damage caused by collision, fire, flood, hail, windstorm, landslide, or even explosion. You’re, however, advised to carefully read the policy in advance to understand any limits and exclusions.

Good to know: You may not need additional towing insurance if you have comprehensive car insurance – it should cover any damage to your personal vehicle while it’s being towed by a rental truck.

See also: Types of moving insurance

How much does truck insurance cost?

Rental truck insurance costs can range between $14 and $40 a day, depending on the coverage plan and liability limits. Prices can vary from one location to another and deductibles can apply.

For long-distance moves (one-way rentals), the moving truck insurance cost is generally based on the duration of the trip (the number of days for which the vehicle is rented). Depending on the protection plan, the rental truck insurance cost for a cross-country move can go up to a few hundred dollars.

When buying moving truck insurance, you may or may not be able to choose coverage “a la carte” – some truck rental companies let customers pick the individual types of insurance coverage they want, others only offer “packages” that combine several coverage types.

The cheapest bundled plans you can get begin at $14 per day. When individual insurance policies are available separately, you can expect to pay about $12 per day for a damage waiver, $8 per day for auto-tow protection, and anywhere from $7 to $17 per day for supplemental liability protection.

Related: How much does it cost to rent a moving truck

Should I get rental truck insurance?

Insurance is intended to provide peace of mind and having peace of mind is very important during the stressful and arduous relocation process. It is, therefore, highly advisable to have the right coverage for your move. And since neither auto insurance policies, nor credit cards cover truck rentals, it’s best to purchase moving truck insurance from the rental company.

Do you need insurance to rent a U-Haul, Penske, Budget, or another rental truck?

Depending on the truck rental company, you might be required to have truck insurance in order to rent a moving vehicle. Typically, however, you can decline auto insurance for the rental truck – it’s your choice whether to purchase additional coverage or not.  

Keep in mind though that if you have an accident with the rental truck and the accident is your fault, you will be liable for any damages and injuries you may have caused – if you’re not covered, you’ll have to pay for any necessary repairs and medical expenses yourself.

When should you get moving truck insurance?

It is always a good idea to have insurance when renting a moving truck – but being covered is more important in some situations than in others.

Generally speaking, the greater the risk, the more essential it is to have proper coverage. So, when asking yourself “Should I get U-Haul insurance?”, you need to consider the circumstances in your case in order to decide if moving truck insurance is necessary:

• Are you moving locally or long distance?
• Do you have any experience driving a moving truck?
• Do you have personal car insurance? What are the liability limits on your auto policy?
• Do you have homeowner’s insurance? If yes, does it cover items away from home? What are the coverage limits?
• Do you have life insurance?
• Are you going to tow your car with the rental truck? Do you have comprehensive auto insurance?

All things considered, it’s highly advisable to purchase rental truck insurance if you’re moving long distance (as you’ll be on the road for a long time and the risk of accidents will be greater) and/or lack experience driving large and heavy vehicles (as driving a big truck is very different from driving a car).

Furthermore, if your ability limits are low, it will be prudent to purchase supplemental liability coverage. And if you don’t have health insurance or home insurance, it will be wise to get personal accident and cargo protection, as well.

What insurance should you get when renting a moving truck?

All types of moving truck insurance provide protection during a self-move, but you may not really need all of them. You need to consider what exactly is covered in a specific policy – and what protection you already have – in order to decide whether a certain type of rental truck insurance is worth it or not:

• Damage waives are extremely beneficial – You need insurance on the moving truck and since most auto insurance providers and credit card companies do not provide coverage for rental trucks, getting a damage waiver is your best bet to get off the hook for damages to the moving vehicle;
• Getting the supplemental liability insurance is a very good idea as the state minimum liability limits that rental companies are required to have on their trucks are usually quite low;
• Cargo protection excludes high-value items and doesn’t cover theft or damage caused by shifting, so it is rarely useful. Besides, your belongings may already be covered under your homeowners policy;
• Personal accident protection is worth it only if you don’t have health insurance;
• Auto-tow protection is relevant only when you’re towing your personal vehicle with the moving truck – and it may be rendered unnecessary by your auto insurance.

Ultimately, it is your decision whether to purchase rental truck insurance and what types of coverage to get. However, if an accident occurs during your move, having truck rental insurance will protect you from lawsuits and will help with the costs of repairs, replacements, and medical expenses. It’s worth the cost of the insurance.

Must-read: Moving truck rental guide