If you don't take the satellite radio option, you'll just have regular radio, yeah. I quite like the Sirius/XM satellite radio though; it means you don't have to go hunting for channels every couple of hours as you drive from town to town, and there's always something interesting to listen to; if you get bored of the fifty-something music channels, there's talk radio, world news (CNN, Fox, MSNBC, BBC, and NPR), and zillions of sports channels.
I usually take the third-party liability insurance, but yeah, it helps if you know exactly what your credit card insurance covers. That'll save you a lot of headache.