Been searching & reading up. I really want to understand rental car insurance, once and for all.

I have no car, so no auto insurance back home. Currently reserve a 5-day National Compact car in Maui. Plan to pay with AE Starwood, which offers the standard cc insurance.

National Car offers these insurances -
LDW-Full $21 daily
LDW-$3000 $10
LDW-$500 $7
Supplimentary Liability $12
Personal Accidents $10

Are these correct statements below ?

1. AE says "coverage is in excess of other sources of insurance". With no primary car insurance back home, AE will become my primary as long as I decline National's LDW.

2. If I choose National's "LDW - Full", then they pay for the car if accident. I'll be responsible for myself and passengers & the other car.

3. If I buy LDW-Full plus SLI, LDW will cover my rental car, & SLI will cover the other car, myself & passengers. (does SLI actually cover passengers?)

4. Can I decline National's LDW, so AE's coverage will kick in, then buy National's SLI to cover liabilities?


Thanks in advanced.