Most people think smaller cars are cheaper, that rates at rental company websites are the lowest, and that their credit card company will provide all of their insurance coverage. Not so!!

Misconception #1: Smaller cars are cheaper. The cheaper category car is the one on which the rental company is running a special. If they haven't had as much business as they want on mid size cars (the category where all companies have the most inventory), they will run a special for that category. Right now, business travel is off; business travelers like big cars; there's a surplus of big cars; the lowest rates are on the big cars. When supply is up, prices go down. Misconception #2: The rates at rental car company websites are the lowest. The best rates are are usually obtained through corporate contracts. BUT, you can usually get those corporate rates on sites like Priceline and Hotwire. That is, unless they are low on cars at your destination; in which case you should ask your boss if you can use the company corporate number. Misconception #3: My credit card company will provide all of my insurance coverage. Quite often, the credit card company will only provide liability. Also, if you read the fine print, they won't cover you in some locations (like Italy). Most cover you only with "secondary" collision coverage, which means after your personal auto insurance has been used. The best thing to do is call your insurance agent and have them cover you for the week or two that you plan to rent a car. The cost is minimal, and it's the safest way to go - afterall, you deal with your agent on a regular basis.

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