Progressive's rental car coverage depends on which policy you choose
Progressive does not automatically cover rental cars under a standard auto policy. Whether your rental is covered depends on whether you purchased rental reimbursement coverage as an add-on to your policy. This is a separate, optional protection that you have to request and pay for — it does not come standard.
If you have rental reimbursement coverage, Progressive will pay toward the cost of a rental car when your vehicle is being repaired after a covered claim (like a collision or theft). Without it, you pay the rental bill yourself. The coverage limits and daily maximums vary based on the specific policy you bought.
The other way rental cars might be covered is through your credit card's rental car insurance benefit, which is separate from your Progressive policy entirely. Many premium credit cards offer this as a cardholder perk, though it typically covers damage only, not liability.
Key Takeaways
- Rental reimbursement is an optional add-on to Progressive policies and is not included by default.
- This coverage pays toward the daily rental cost when your car is in the shop after a covered claim, up to a daily limit you choose (usually $30 to $75 per day).
- Your credit card may offer separate rental car insurance that covers damage to the rental vehicle, though this does not cover liability.
- You need to contact Progressive directly to find out whether your current policy includes rental reimbursement and what your daily limit is.
How rental reimbursement coverage works with Progressive
When you file a claim for a covered loss — a collision, theft, vandalism, or weather damage — and your car goes to the repair shop, rental reimbursement kicks in. Progressive will reimburse you for the cost of renting a replacement vehicle during the repair period, up to the daily limit you selected when you bought the coverage.
You typically choose your daily limit at the time you purchase the add-on. Common limits are $30, $45, $60, or $75 per day, though the exact options depend on your state and Progressive's current offerings. If you rent a car that costs $65 per day and your limit is $60, Progressive pays $60 and you cover the $5 difference.
The coverage also has a maximum total payout per claim. For example, if your daily limit is $60 and your car is in the shop for 30 days, you could receive up to $1,800 total (before any deductible applies). Some policies cap the total reimbursement at a set dollar amount rather than a number of days.
What rental situations Progressive does not cover
Rental reimbursement only applies when your own vehicle is being repaired after a covered claim. It does not cover rentals for other reasons — if you rent a car for a vacation, a business trip, or because you simply want to drive something different, Progressive's rental reimbursement does not pay for it.
The coverage also does not apply if your car is damaged in an accident that is not covered by your policy. For example, if you cause an accident but do not have collision coverage, rental reimbursement will not activate because the claim itself is not covered.
Additionally, rental reimbursement does not cover liability or damage to the rental car itself. If you damage the rental vehicle, you are responsible for that damage unless your credit card's rental car insurance covers it or you purchased the rental company's damage waiver.
Checking whether you have rental reimbursement on your Progressive policy
The only way to know for certain whether your policy includes rental reimbursement is to review your policy documents or contact Progressive directly. You can call Progressive's customer service line, log into your online account, or speak with your agent if you have one.
When you contact them, ask specifically whether rental reimbursement is included on your policy and, if it is, what your daily limit is and what the maximum total payout is per claim. This information should be listed on your policy declarations page or in the coverage summary section.
If you do not have rental reimbursement and want to add it, Progressive can usually add it to your policy immediately or at your next renewal. The cost is typically modest — usually a few dollars per month — but varies by state and your driving history.
Credit card rental car insurance as an alternative
Many premium credit cards (particularly those with annual fees) include rental car insurance as a cardholder benefit. This coverage is separate from your Progressive policy and works differently: it typically covers damage to the rental vehicle if you decline the rental company's damage waiver.
Credit card rental car insurance usually covers collision damage, theft, and vandalism of the rental car, but it does not cover liability (injuries or damage to other people or property). It also does not cover the cost of the rental itself — only damage to the vehicle.
To use credit card rental car insurance, you must rent the car using that credit card and decline the rental company's damage waiver. Read your card's benefits guide to understand the exact coverage limits and any exclusions, as these vary widely by card issuer.
What happens if you rent a car without coverage
If you rent a car and do not have rental reimbursement through Progressive or credit card coverage, you will pay the full daily rental rate yourself. Rental car companies typically charge $40 to $100 per day depending on the vehicle type and location, so this can add up quickly if your car is in the shop for more than a few days.
You will also be responsible for any damage to the rental car unless you purchase the rental company's damage waiver (sometimes called a loss damage waiver or LDW). This waiver typically costs $15 to $30 per day and protects you from liability for damage to the rental vehicle.
Some people choose to skip rental reimbursement because they rarely rent cars or have other transportation available. Others add it because the cost is low and the protection is valuable if they are ever in an accident. The decision depends on your situation and how much financial cushion you have.
Frequently Asked Questions
Does Progressive cover rental cars if I'm in an accident?
Only if you purchased rental reimbursement coverage as an add-on. If you have it, Progressive pays toward the rental cost while your car is being repaired. Without it, you pay the rental bill yourself. Contact Progressive to confirm whether your policy includes this coverage.
Can I use my Progressive policy to rent a car for a vacation?
No. Rental reimbursement only covers cars you rent because your own vehicle is being repaired after a covered claim. Rentals for vacations, business trips, or personal reasons are not covered by Progressive's rental reimbursement.
What if the rental car costs more than my daily limit?
You pay the difference. If your daily limit is $60 and the rental costs $75, Progressive pays $60 and you pay $15. This is why it is important to know your limit before you rent — you can shop for a rental within your limit to avoid out-of-pocket costs.
Does my credit card rental insurance work with Progressive?
Yes, they work separately. Your credit card covers damage to the rental vehicle if you decline the rental company's waiver. Progressive's rental reimbursement covers the daily rental cost while your own car is being repaired. You can have both types of coverage at the same time.
How much does rental reimbursement cost to add to my Progressive policy?
The cost varies by state, your driving history, and the daily limit you choose. It typically ranges from a few dollars to around $10 per month. Contact Progressive for a quote based on your specific situation and the daily limit you want.