What type of insurance should you take from the rental car company when renting a car?

These are the main types of insurances offered by the Car rental companies:

1) CDW (Collision Damage Waiver), LDW (Loss Damage Waiver), PDW (Physical Damage Waiver). It's technically not a collision insurance. It pays if money is car is damaged or stolen. This does not cover damages made to someone else's car during your rental (third party damages).

2) Personal liability coverages such as LIS (Liability Insurance Supplement).

Just like your liability coverage on your personal policy, this protects you against the expenses associated with property or bodily injury damages you cause to others. The rental agency will automatically give you liability coverage that's equal to the state's minimum requirements.

3) PAI (Personal Accident Insurance or Coverage). PAI pays one time payment in case of death of a passenger in case of accident.

4) PEC (Personal Effects Coverage) or Personal Property Insurance. PEC insurance pays you when something is stolen from your car. It is an optional choice to take PEC insurance.