Choose Your Ride After an Accident

Transportation Expense Reimbursement

Did you know that your NJM policy will help to offset your out-of-pocket costs for temporary transportation expenses for a covered loss?*

Your Transportation Expense Options

After an accident, the last thing you need is the inconvenience of being without a vehicle. For any vehicle with physical damage coverage under an NJM policy*, you can choose how you'll navigate while your vehicle is being repaired. You can:

  • Rent a car
  • Use a ride sharing service
  • Hail a taxi

With any of these options, NJM will reimburse you up to your chosen limits, which may be $20 per day (with a $600 max), or $30 per day (with a $1,200 max). You can also purchase an endorsement to increase these limits in increments up to $100 per day (with a $4,000 max).§

Average Cost of a Rental for an NJM Policyholder

When choosing your transportation expense limits, it's important to consider the average base cost of a rental vehicle. Although price, taxes, and fees vary by state and rental vehicle provider, here's a general comparison of the average base cost of a rental car through a provider that offers NJM preferred pricing against the average market rate:‡

Economy

NJM preferred pricing:
$24–$26 per day
Market rate:
$60–$100 per day

Full-Size

NJM preferred pricing:
$33–$42 per day
Market rate:
$75–$95 per day

Standard Sport Utility

NJM preferred pricing:
$45–$53 per day
Market rate:
$120–$135 per day

Premium Car

NJM preferred pricing:
$37–$52 per day
Market rate:
$90–$145 per day

Minivan

NJM preferred pricing:
$46–$50 per day
Market rate:
$125–$200 per day

Luxury/Elite Car

NJM preferred pricing:
$50–$60 per day
Market rate:
$115–$240 per day

Transportation Expense Reimbursement

If you decide to rent a car, there are three different ways that NJM may provide payment to the rental agency:

  • If you prefer to use Enterprise Rent-A-Car, NJM can set up your reservation and pay Enterprise directly.**
  • You may need to pay the rental agency directly and we'll reimburse you.**
  • NJM may be able to set up a direct billing with your rental agency. In this case, we will send payments directly to the agency.**

In most cases, coverage from your NJM policy will extend to your use of the rental vehicle, so you won't need to purchase insurance through the rental agency. Please contact your claim representative if you have any questions.

* Physical damage coverage applies for losses to vehicles with coverage for collision or other than collision (comprehensive) on an NJM standard personal auto policy. Your Declarations Page will indicate if you have coverage for collision or other than collision losses or both.

§ Applies to New Jersey policies issued or renewed after 6/1/19, Pennsylvania policies issued 1/1/18 and later, and Connecticut, Maryland, and Ohio policies.

‡ The prices listed here are not guaranteed. Rates vary based on the rental car company, the duration of the rental, availability, and whether the rental benefits from NJM preferred pricing or market pricing are applied. This example represents a typical one-day rental cost as of June 2022.

** Your chosen daily and maximum reimbursement limits apply, and are stated in your policy documents.

The information contained on this page should not be construed as legal, financial or insurance advice. The coverage afforded for a particular loss depends on the specific facts and the terms, exclusions, and limits of the actual policy. Nothing on this site alters the terms or conditions of any policy; the policy controls coverage. Coverage options, limits, discounts, deductibles, and other features are subject to underwriting criteria, state availability, and effective dates. Coverage provided and underwritten by NJM Insurance Company and its subsidiaries, 301 Sullivan Way, W. Trenton, NJ 08628.