Rental Car—Loss of Use

Q

I have recently been told by two auto claim adjusters and their regional supervisor that the personal auto policy does not cover the first twenty-four hours for a rental car under transportation expenses coverage when the insured car is damaged and withdrawn from service. The transportation expenses agreement of the personal auto policy leads off with the statement that “we will pay, without the application of a deductible,” the cost of alternate transportation and loss of use expenses for a nonowned auto (rental car usually) when lost or damaged by a covered peril.

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