Auto Rental Insurance -- What is Important?
OK, whenever I rent a car I don't know what of the four types of
insurance offered to accept and what to decline. Now that I run a
small business it's even more important to know this, to not waste
money for not only me but for employees. My Gold Visa credit card from
Chase says they cover collision, damage and theft of the vehicle. I
have my own car insurance, just the standard stuff, from Allstate. But
when I travel to other states, or even other countries, what do I need
and what is just a rental car company scam -- you don't really need
it?  Here's what rental companies usually offer:

*Loss Damage Waiver ("LDW"):  Choose Accept Decline 
*Personal Accident Insurance / Personal Effects Protection
("PAI/PEP"):  Choose Accept Decline
*Supplemental Liability Insurance ("SLI"):  Choose Accept Decline 
*Uninsured and Underinsured Motorist Protection ("UMP"):

In your answer please tell me how you're qualified to provide the
answer, and/or where the answer came from.

"Here's some information to help you do your homework. There are 4
main coverages that will be offered while you're at the counter. Many
of these may be covered with your personal or corporate auto and
health insurance coverages.
 
1) CDW (Collision Damage Waiver), LDW (Loss Damage Waiver), PDW
(Physical Damage Waiver). Although technically not collision
insurance, in return for a daily fee, CDW or LDW waives the right for
a rental car company to recover money from the renter if the vehicle
is damaged or stolen. This does not cover damages made to someone
else's car during your rental (third party damages). Your personal or
business auto coverage normally covers this when you are renting a
car. Check first with your car insurance agent.

Some CDW's can even become void in certain circumstances. This may
happen if you drive in a negligent manner or out of the state in which
you rented the car if geographical restrictions apply in your rental
contract.

2) Personal liability coverages such as LIS (Liability Insurance
Supplement). Besides LIS, an agency may offer supplemental or
additional liability coverage which pays over and above what your
personal or business insurance covers. If you do not already have
personal liability coverage you should purchase the rental agency's.

3) PAI (Personal Accident Insurance or Coverage). This provides a
one-time payment for you or a passenger in case of death or maiming
from a car accident. This is generally covered under your auto or
health policies.

4) PEC (Personal Effects Coverage) or Personal Property Insurance.
This pays if you have something lost or stolen from your car. Opting
for this coverage is obviously something you have to decide for
yourself since your existing coverage probably doesn't include this
coverage.

Although many of these except PEC may be covered with your existing
personal car insurance policy, its a good idea to check your insurance
policies with your agent first."

http://www.bnm.com/insgas.htm

Thanks Jack.  How about UMP?

This is my own understanding and not a quote from an informed webpage as before:

Uninsured and Underinsured Motorist Protection ("UMP") will pay for
any damage caused to the rental car by an uninsured motorist.  Most
uninsured people are uninsured due to lack of money to pay for the
insurance so it's unlikely that you'll be able to sue them to get the
damages out of them.
If the drivers regular insurance doesn't cover this then it's a good
safety net and it should be fairly cheap to get since very few
motorists are uninsured.