Quick Summary:
- PEC pays limited amounts for stolen items, usually after a deductible.
- UK travel insurance often covers possessions, but may exclude unattended vehicles.
- PEC can be useful if your travel cover limits are low.
- In Florida, don’t leave bags visible, PEC rarely covers negligence.
If you have hired a car in the US, you may have been offered “Personal Effects Coverage” (PEC) at the counter. It sounds reassuring, but it is often misunderstood because it sits alongside several other car hire options, and it does not protect the car itself. PEC is about your belongings, not the vehicle. In Florida, where hire cars are common for theme parks, beaches, and road trips between cities, understanding what PEC actually covers can help you avoid paying twice, or skipping cover you genuinely need.
This guide explains what PEC typically covers and excludes, how it compares with UK travel insurance, and when it might be worth paying for at the counter. Because policies vary by provider and state, treat this as an informed checklist rather than a substitute for the rental agreement or the insurer’s wording.
What PEC is in simple terms
Personal Effects Coverage is an optional insurance add on offered with US car hire. It is designed to reimburse you if personal belongings are stolen from the rental car, or sometimes if they are damaged in a covered incident. It does not reduce your excess for damage to the vehicle, and it does not replace liability cover for injuries or damage to other people’s property.
PEC is usually written as a benefit with set maximum payouts, rather than “new for old” replacement. It often covers the main driver and sometimes passengers, but only for property that is within the vehicle or directly connected to the rental period.
What PEC typically covers
Although the wording differs, PEC commonly covers theft of personal property from the rental vehicle, often including luggage and certain valuables, subject to sub limits. In practical terms, it may help if someone breaks into the car and steals a suitcase, a phone, or a backpack.
Common coverage features you may see include:
Theft from the vehicle after forced entry. Many policies require signs of forced entry, such as a broken window, and may need a police report.
Items owned by you or your passengers. Some versions extend to immediate family or authorised passengers listed on the rental agreement.
Coverage during the rental period. The incident usually must occur while the rental is active, not after return.
Fixed maximum payouts. Expect a total limit per incident and per person, plus lower limits for high value items.
In Florida, the most relevant scenario is a quick stop where luggage is left in the car while you eat or shop, or belongings are taken from a parked vehicle at a beach lot. PEC is meant for that kind of loss, but only if you can meet the conditions and the exclusions do not apply.
What PEC usually excludes (the important bits)
PEC exclusions are where many claims fail. If you are considering paying for PEC, read the exclusions carefully and assume “unattended car plus visible bags” is the highest risk scenario.
Typical exclusions include:
Unattended vehicle exclusions or negligence. Some policies exclude theft if items were left in plain sight, if the car was unlocked, windows were open, or you did not take reasonable precautions. Even when not stated as a blanket exclusion, insurers may argue failure to safeguard belongings.
Mysterious disappearance. If you cannot show theft, for example you think you left an item somewhere, it is often excluded.
High value items and cash. Cash, jewellery, watches, collectibles, business samples, and expensive electronics can be excluded or capped at low amounts.
Wear and tear and cosmetic damage. PEC is not a maintenance policy. A cracked screen because it was dropped may not be covered.
Loss outside the vehicle. Many policies only cover items in the rental car. If your phone is stolen from a restaurant table, that is usually a travel insurance issue, not PEC.
Deductibles and proof requirements. A deductible may apply, and you may need receipts, proof of ownership, and a police report filed quickly.
The takeaway is that PEC is narrow. It can still be useful, but it is not a “everything in my suitcase is automatically covered” promise.
How PEC differs from the cover that protects the car
PEC is about your possessions. It is separate from collision damage cover for the vehicle, and separate again from liability cover. If you are comparing prices across car hire providers, keep these categories distinct so you do not assume PEC has anything to do with damage to the car, windscreens, tyres, or third party claims.
If you are collecting a vehicle in Florida, the counter may present several optional products. PEC will usually sit alongside collision damage options and liability options. It is fine to decline PEC while accepting other covers, or vice versa, if that matches your needs.
If you are arranging Florida car hire in advance, it can help to check what is included for your pickup location, for example car hire at Orlando Airport (MCO) or car rental in Miami (MIA). The big win is arriving knowing what you already have, so you can make a calm decision at the desk.
PEC vs UK travel insurance: overlaps and gaps
Many UK travellers already have travel insurance with personal possessions cover, sometimes called baggage cover. That can overlap with PEC, but the details matter. UK travel insurance often covers theft of personal items during a trip, including from a vehicle, but it may apply its own conditions about unattended cars, reasonable care, time limits, and evidence.
Key points to compare:
Unattended vehicle rules. UK policies commonly exclude theft from an unattended vehicle unless items were locked in the boot and the car was fully secured. In Florida, many vehicles have a visible luggage area, especially SUVs and minivans, so “boot” rules can be tricky in practice.
Single item limits. You might have £1,500 total baggage cover, but only £300 per item. That can leave expensive phones, cameras, or laptops underinsured unless you add specified items.
Excess. UK travel insurance usually has an excess per claim. PEC may also have a deductible, so compare which is higher and whether one would be simpler to claim against.
Evidence requirements. Both often require a police report and proof of ownership, but travel insurers may also require evidence of forced entry.
Cover outside the car. UK travel insurance is broader. If you want protection for theft from a hotel, restaurant, or while out and about, PEC will not replace that.
A practical way to decide is to look at what you carry during your Florida trip and where it will be at risk. If you will regularly park with luggage in the car, your existing travel policy’s “unattended vehicle” conditions are the first thing to read.
When paying for PEC can be worth it
PEC can make sense in a few common situations, especially for Florida trips that involve frequent stops and luggage moving in and out of the car.
Your UK travel insurance has low limits. If your baggage total or single item limit is low compared with what you are travelling with, PEC may add an extra layer of reimbursement.
You did not buy travel insurance, or it excludes baggage. Some basic policies focus on medical cover and have minimal possessions cover.
You are travelling with multiple passengers. If PEC extends to passengers’ items, it may be helpful for families who keep more belongings in the vehicle.
You want a separate claim route. Some travellers prefer not to claim on their UK travel insurance to avoid premium increases, or because the excess is high. PEC might be administratively simpler, but only if the claim conditions are straightforward.
You will use a vehicle type with visible cargo space. In Miami, Fort Lauderdale, and other high traffic areas, smash and grab theft can happen. If you are hiring a minivan for family luggage, review how storage is laid out. Planning ahead for the right vehicle size can also help reduce exposure, for example minivan hire in Downtown Miami can be a practical choice when you need to stow bags out of sight.
When PEC is usually not worth it
PEC is often unnecessary if you already have strong travel insurance with high baggage limits, specified items cover for valuables, and clear cover for theft from a locked vehicle. It is also less valuable if you do not plan to leave belongings in the car, or if you travel light.
It may also be poor value if:
The deductible is close to your likely loss. If you could absorb a small loss, paying extra daily for PEC may not add much.
Your valuables are excluded anyway. If the policy caps electronics at a low amount, it may not protect the items you care about most.
You can change your behaviour instead. Simple habits can reduce risk dramatically, like unloading bags at the hotel first, parking in well lit areas, and keeping the cabin empty.
Florida specific risk scenarios and how to protect yourself
Florida is built for driving, which makes car hire convenient, but it also means you may spend a lot of time parking in public places. PEC decisions should be matched to how you will actually use the car.
Airport arrival days. The first day is often the riskiest because you have all your luggage with you. If you land in Orlando and plan to stop for food before checking in, keep suitcases out of sight and consider going straight to your accommodation first. For those collecting at Tampa Airport (TPA) or Orlando MCO, it is worth planning your first stop so the car is not left loaded in a car park.
Beach parking. Beach lots can be busy, and thieves look for easy targets. Take essentials with you, leave nothing visible, and avoid storing phones or passports in the glovebox.
Shopping and outlet malls. If you will be using the car for shopping, keep purchases in the boot area and cover them. If your vehicle has an open cargo space, use luggage covers or place items low and out of sight.
Hotel and condo car parks. Even gated car parks can be targeted. Unload valuables and do not leave bags overnight.
What to ask at the counter before accepting PEC
If PEC is offered during car hire pickup, you can make a better decision by asking a few specific questions. Counter discussions can be quick, so focus on the points that determine whether it overlaps with your UK travel insurance.
Useful questions include:
What is the total limit and the per item limit? Ask for the numbers, not just “it’s covered”.
Is there a deductible? If so, how much per claim?
Does it require forced entry? If there are no signs of forced entry, would a claim be declined?
Who is covered? Driver only, or passengers too?
What items are excluded? Cash, jewellery, electronics, business property, and documents are common exclusions.
If the answers are vague or the paperwork is not clear, the safest assumption is that PEC is limited and condition heavy.
How to compare PEC with your UK travel insurance in five minutes
If you are already in Florida or about to travel, you can still do a quick check:
1) Find your travel insurance baggage section. Look for “personal possessions”, “baggage”, and “valuables”.
2) Check unattended vehicle wording. Confirm whether theft from a locked car is covered, and under what conditions.
3) Note single item limits. Compare against your phone, camera, laptop, and any medical devices.
4) Look at the excess. If the travel insurance excess is high, PEC may reduce out of pocket cost, but only within its limits.
5) Decide based on your itinerary. Theme parks and beach days often mean leaving the car parked for long periods, which raises the importance of storage and precautions.
If you are price sensitive with car hire, remember that add ons can change the overall cost. Planning your rental choice in advance, for example by comparing providers such as Budget car hire in Tampa versus other options, helps you keep the total spend predictable without relying on last minute decisions.
Bottom line: do you need PEC on Florida car hire?
PEC is not automatically necessary, but it can be useful in specific circumstances. If you have comprehensive UK travel insurance with strong baggage cover, specified valuables, and clear cover for theft from a locked vehicle, PEC often duplicates what you already have. If your travel insurance has strict unattended vehicle exclusions, low single item limits, or you are travelling with lots of belongings that will spend time in the car, PEC may be worth considering, provided you are comfortable with its limits and exclusions.
Either way, the most reliable protection is behaviour, keep the cabin empty, hide luggage properly, park wisely, and minimise the time the car is left loaded. That reduces the chance you need to claim on any policy at all.
FAQ
Does PEC cover items stolen from the boot or trunk? Often yes, but usually only if the car was locked and there is evidence of theft, sometimes forced entry. Check limits and whether “unattended vehicle” conditions apply.
Will PEC cover my phone or laptop? Sometimes, but electronics may have low per item limits or exclusions. Compare PEC limits with your UK travel insurance single item limit and any specified item cover.
Do I need PEC if I already have UK travel insurance? Not always. If your travel insurance covers theft from a locked vehicle and your limits are high enough, PEC may be redundant. If your policy excludes unattended cars or has low limits, PEC may help.
Is PEC the same as collision damage cover? No. PEC is for personal belongings. Collision damage options relate to damage or theft of the rental vehicle itself and do not reimburse your stolen possessions.
What should I do if something is stolen from my rental car in Florida? Report it to the police promptly, take photos of any damage or forced entry, keep receipts and proof of ownership if possible, and notify the rental company and insurer according to the policy terms.
