Car Rental Insurance for Italy: What is it? How does it work?

PUBLISHED ON Mar, 05 2023


Introduction to Car Rental Insurance for Italy

When planning a trip to Italy, renting a car is a great way to explore the country’s stunning landscapes, charming towns, and cultural heritage at your own pace. However, before embarking on your adventure, it’s essential to understand the car rental insurance options available to you. Italy has specific requirements for car rental insurance, and the terminology can be confusing for international travelers. In this article, we will provide an overview of car rental insurance for Italy, including what types of coverage are available, the costs associated with them, and important things to consider when choosing a policy. With this information, you can make an informed decision about your car rental insurance and enjoy your Italian road trip with peace of mind.

The Importance of Car Rental Insurance for Italy

Car rental insurance is an essential consideration for any traveler planning to rent a car in Italy. It’s important to understand the various insurance options and requirements before picking up the rental vehicle. While car rental insurance is not legally required in Italy, it’s highly recommended, especially for foreign drivers, due to the complexities of driving in a new country and navigating unfamiliar roads. Without adequate insurance, you may be held responsible for any damage to the rental car, which can result in unexpected and significant expenses. In addition, rental car insurance can provide coverage for medical expenses or property damage to third parties, which can be financially crippling if an accident occurs. Some rental car companies may require you to purchase at least the minimum coverage, while others may offer a damage waiver with a deductible that can be reduced for an additional fee. In any case, you should carefully read the rental agreement and insurance policies before making a final decision. 

Car Rental Insurance for Italy Explained 

When renting a car in Italy, it’s important to understand the types of car rental insurance that may be available to you. Here are some key points to consider based on the provided search results:

  1. Collision Damage Waiver (CDW): This type of insurance is highly recommended in Italy as it limits your liability for vehicle damage in case of an accident. However, it’s worth noting that CDW usually has a deductible amount, which means you may still be responsible for a portion of the repair costs.
  2. Theft Waiver: This type of insurance removes the driver’s responsibility in case of the vehicle being stolen, but it’s worth noting that southern Italy may be excluded from coverage.
  3. Deductible Reduction Coverage: This option allows you to reduce your deductible amount for CDW and other types of insurance. This means that if you have an accident, you’ll be responsible for a smaller amount of the repair costs.
  4. Third-Party Liability Coverage: Every car in Italy is required by law to have third-party liability coverage, which is known as RCA (Responsabilità Civile Auto). This coverage should be included in every rental without extra charge, but there may be a minimal coverage cap required by law.

It’s important to note that the availability and specifics of car rental insurance options may vary depending on the rental company and the type of car you’re renting. Before renting a car in Italy, it’s important to do your research and understand the insurance options that are available to you. You can also request a free online quote to get more information on pricing and coverage options.

Car rental insurance for Italy Cost

Car rental insurance cost in Italy can vary depending on the provider and coverage selected. The cost of Collision Damage Waiver (CDW) and Theft Protection (TP) with zero excess can range from $24 to $55 USD per day, with the deductible cost ranging from €250 to €2,000. This coverage can be supplemented with CarInsuRent to further reduce the deductible amount, costing between $4.5 per day to $94.90 for an annual car hire excess insurance policy policy with a zero excess charge.

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Benefits of Having Car rental insurance for Italy

Car rental insurance in Italy provides several benefits to renters. Here are some of the advantages of having car rental insurance for Italy:

  1. Protection against damage: Car rental insurance protects you from any liability that results in death, injury to others or any property damage that is caused while you are driving a rental car in Italy. In Italy, the collision damage waiver is highly recommended as it limits your liability for vehicle damage.
  2. Theft protection: Car rental insurance also covers you in case the rental vehicle gets stolen while it is under your possession. However, some regions in southern Italy may be excluded from theft waiver coverage.
  3. Cost savings: While the cost of car rental insurance may seem high, it can help you avoid the costly financial liabilities that may arise from accidents or theft. Additionally, there are ways to save money on your rental in Italy, such as renting from a branch outside of an airport or train station to avoid the premium location fee and filling up your tank before returning your vehicle to avoid extra refueling charges. By purchasing insurance coverage in advance, you can avoid being charged significantly higher rates at the rental desk.

In summary, having car rental insurance in Italy can protect you from potential financial liabilities and give you peace of mind while you enjoy your trip. It is important to research and understand the coverage options and costs to make an informed decision that best fits your needs. CarInsuRent car hire excess insurance starts from as low as $6.49 per day* to $94.90 for an annual policy. Our policies covers the excess on damage and theft up to €2,500 and provide full protection that Includes single vehicle damage, roof and undercarriage damage, auto glass and widescreen damagetowing expenses, misfuelling, loss of car key and tire damage. We cover multiple drivers between the ages of 21 and 84 years.

Car is standing on the breakdown lane, asphalt and tyre, Italy

Car standing on a breakdown lane, Italy summer vacation

Car rental insurance for Italy – Your Options

Purchase Car Rental Insurance Directly With the Rental Company

  • Rental company’s insurance – Most rental car companies offer their own insurance, which typically includes damage cover (CDW), theft cover (Theft Protection), and third-party cover (Third-Party Liability). These types of insurance options usually come with an excess, which is the first part of the bill that the renter will be responsible for. The rental company’s insurance is convenient, but it can be expensive and may not provide comprehensive coverage.

Cover Your Excess Through CarInsuRent

  • Third-party car rental insurance – Third-party car rental insurance is an affordable option that can provide comprehensive coverage for rental cars. This type of insurance typically covers collision damage, theft protection, and liability, and may offer higher coverage limits than rental company insurance. It can provide a cost-effective alternative to rental car company insurance.

Personal auto insurance policies

  • Personal auto insurance policies may cover rental cars, but it depends on the policy and the coverage. If the policy includes collision and comprehensive coverage, it may extend to rental cars. However, liability coverage may not extend to rental cars, so it’s important to check with the insurance company before renting a car.

Travel insurance –

  • Travel insurance may offer coverage for rental cars, including collision damage and theft protection. However, it is important to check the policy to confirm the coverage and any limitations or exclusions.

Credit card rental car insurance benefits – 

  • Some credit cards offer rental car insurance benefits, which may include coverage for damage and theft. However, the coverage and limitations can vary by credit card, so it’s important to check with the credit card company to confirm the coverage. Check if your personal insurance or credit card covers rental car insurance. 

Don’t Buy Any Additional Insurance At All

  • You are not required by law to buy a Rental Vehicle Excess Insurance or a Collision Damage Waiver. Such products are completely optional.  In case of an accident (whether major or minor), rental companies would quickly bill your credit card the maximum damage. Excess fee can reach $3,000–$8,250 depending on the company and the type of car you rented.

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Rental Company Insurance vs. CarInsuRent – Which Option is Best for You?

When renting a car, excess insurance is an optional add-on that can help reduce the excess amount that you would be liable for in the event of damage or theft of the rental car. Car rental companies charge for excess insurance by offering a CDW insurance Italy, which will reduce the renter’s financial liability in the event of an accident, and/or a Loss Damage Waiver (LDW), which will cover the cost of repairing or replacing the rental car in case of damage or theft. The cost of CDW and LDW can vary significantly from one rental company to another and can depend on the type of vehicle, the location, and the duration of the rental. 

On the other hand, third-party providers like CarInsuRent offer excess cover insurance, which is usually more affordable and comprehensive than CDW or LDW offered by rental companies. The excess cover insurance from CarInsuRent will provide you with coverage for the excess amount that you are liable to pay in case of damage or theft of the rental car, and it can be purchased separately from the car rental agreement. Excess cover insurance can be purchased at any time before the rental period and it can be customized to fit your needs, which can be a more flexible option than the insurance offered by rental companies.

How to File a Claim

    • What to Do in Case of an Accident or Damage – If you are involved in an accident while driving a rental car, there are certain steps you should follow to file a claim with the rental car insurance company. First, exchange personal information with the other driver, including name, address, license plate number, rental vehicle information, insurance company, and policy number, and document the accident with pictures and notes. If the other driver is at fault, you should get their contact and insurance information and call their insurance company directly to file a claim. If you are at fault or have non-collision damage, you can file a claim with the rental car insurance company. The process for filing a claim with the rental car insurance company may vary depending on the provider, but typically, you would need to provide details of the incident, including the date, time, and location of the accident, as well as any police report numbers, if applicable. Additionally, you may need to provide documentation of the damage, such as photographs or repair estimates.
    • Required Documentation for Filing a Claim
      • A copy of the Certificate of Insurance
      • A copy of the rental agreement
      • A copy of the police report if:
        • you got in an accident with a third party
        • It is legally mandated in the country of incident
        • your claim is about stolen personal belongings
      • A copy of the damage report given by the rental company, detailing each cost incurred. Photographs of the damage are optional but may help ensure that the charges are reasonable.
      • Detailed repair receipts, invoices or other documents showing the breakdown of the amount the rental company charged you for the accidental damage or loss
      • A copy of your credit card statement that reflects your payment for the claimed damages
      • A copy of the driver’s license of the person driving the car during the accident


    • Tips for a Smooth Claims ProcessFiling an insurance claim can be a complicated and stressful process. The following tips can help ensure a smoother claims process:
      • Document everything: Documenting all the details of the accident or loss, including taking photos and notes, can help speed up the claims process and reduce the possibility of disputes.
      • Communication: Communication is key in any insurance claim process. Keep thorough records of all communication with the insurer, and discuss your expectations for the claims process with the adjuster. You can also ask about the frequency of updates and the preferred type of communication.
      • Avoid duplicate claims: Avoid submitting duplicate claims, as it slows down the claims payment process and creates confusion.
      • Understand your coverage: It’s important to understand your insurance coverage, including the limits and deductibles, before filing a claim. Understanding your policy can help ensure that you receive the maximum benefit to which you are entitled.
      • Be patient: Claims processing can take time, so it’s important to be patient. 

    By following these tips, you can help ensure a smoother claims process, and increase the chances of receiving the maximum benefit that you are entitled to under your insurance policy.

Final Thoughts and Recommendations

If you are planning to rent a car in Italy, it is important to have a good understanding of the different types of insurance available to you. The law in Italy requires that you must carry certain types of insurance: Collision Damage Waiver (CDW) and Theft Protection. You can purchase this insurance from the rental car company, but it may come at a high cost. Therefore, it is recommended to shop around, compare prices before making a final decision.

In conclusion, having car rental insurance in Italy is mandatory by law, but you can save money by shopping around and buy car rental insurance online. Ultimately, understanding the different types of insurance available to you and making an informed decision can help you have a stress-free and affordable car rental experience in Italy.

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4 Responses

  1. Richard Smythe says:

    Hi, as you stated CDW & Theft insurance is mandatory in Italy when renting a car, but you also suggest shoping around for this coverage.
    So, does the CDW & Theft coverage from my Visa fulfill this requirement?
    (Following sent from Citi Visa)
    This letter confirms the above named has Worldwide Car Rental Protection coverage through their Citi credit card, ending in 4376. Coverage is valid for first party damages only. Coverage extends worldwide.

    Insurance Type: Benefit Amount in US Dollars: Coverage:
    Worldwide Car Rental Insurance Up to $50000.00
    What is covered: The cost of repairs or the cash value of the car, whichever is less, if a covered accident or theft occurs when you pay for a rental car in full with your Citi card and decline the rental company’s collision loss/damage insurance.
    Who is covered: You as long as the rental was purchased with a U.S. issued eligible card. Anyone designated as an authorized driver or covered by the rental car agreement. Coverage applies worldwide, including the Republic of Ireland and Northern Ireland. Coverage is subject to the terms, conditions and exclusions of the policy.

    • Gil Farkash says:

      Thank you for taking the time to contact us.
      Based on the information that you provided, it seems that you credit card covers your rental.

      Have a safe trip
      The CarInsuRent Team

  2. Renato says:

    What is thd amoung of third party liability insurance with carinsurent?

    • Gil Farkash says:

      Thank you for taking the time to contact us.
      We do not offer 3rd party liability insurance. We only offer car rental excess waiver coverage.

      All the best,
      The CarInsuRent Team

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Frequently Asked Questions (FAQ)

Can I cancel my policy before my trip?

You can cancel your policy within 14 days of receiving your PDS and Certificate of Insurance. The premium you have paid will be refunded to you in full, as long as you have not started your trip and do not want to file a claim of any sort related to the policy. Once this 14-day period has passed, you can still cancel your policy but you will not receive any refund.

Does CarInsuRent cover Sand and Ash Protection and Gravel Protection?

Our Iceland policy include Sand and Ash Protection (SAAP) and Gravel Protection (GP).

What is Sand and Ash Protection (SAAP)?

Sand and Ash Protection (SAAP) is a type of insurance coverage that is designed to protect rental cars from the potential damage caused by volcanic ash and sand in Iceland. Certain areas of Iceland still have loose ash and fine sand from the Eyjafjallajökull eruption, which can blow around and damage vehicles. SAAP is a specific waiver that was created to cover this type of damage, as Icelandic insurance companies do not include it in their Collision Damage Waiver. This coverage is optional, but highly recommended if you plan to drive in Iceland. Camping Iceland, a local car rental company, claims that SAAP will serve you well and recommends it for all rentals.

When is it Common for the Wind to Toss Sand Onto the Roads?

Sand can be hurled onto roads in Iceland during the Sand & Ash period, which typically occurs in February, March, and April. During this time, the snow has only just thawed out and the grass hasn't grown sufficiently to keep the sand in its place. This can lead to damage to vehicles driving on the roads. It's important to note that sand and dust storms, which can also cause visibility issues for drivers, typically occur when strong winds lift large amounts of sand and dust from bare, dry soils into the atmosphere.

What does CarInsurent Sand and Ash Protection in Iceland cover?

Due to the recent volcanic eruptions in Iceland the risk of damage to the paint and windows of the cars has increased. Our Sand and Ash Protection (SAAP) insurance can cover damage to the paint, windows, lights, plastics, chromes, and wheels of the rental car caused by sand, gravel, ash, pumice, or other earth materials being blown onto the vehicle. The deductible for SAAP insurance is typically 50,000 IKR for all rental cars in the fleet. No other insurance covers these damages and insurance companies refuse to cover them. Even though all safety rules are followed damage can happen when, for example, wind starts blowing more than was forecasted thus moving the sand/ash and damaging the car.   [carInsurent_sc_get_quote_cta cta_text="See How Much You Can Save on Your Car Rental Insurence" cta_btn_text="Get Started"]  

Does the Insurance Cover Lost Keys and Remote Locking Devices?

Yes. CarInsuRent insurance covers lost keys and remote locking devices. Losing the keys to a rental car can be a stressful and frustrating experience. Many people wonder if their rental car insurance will provide coverage for lost keys. Rental car insurance policies may vary in their coverage for lost keys. Lost keys are not typically covered by car insurance for loss or theft, as keys are considered personal property.

Steps to Take If You Lose Rental Car Keys

Losing rental car keys can be a frustrating and stressful experience, but there are steps you can take to get back on the road quickly. Here are some tips based on the provided web search results:
  1. Contact roadside assistance: Most rental cars come with a roadside assistance phone number that you can call in the event of a lockout or lost keys. You should be able to call and have someone sent out to help with your situation. Note that our car hire excess waiver insurance may reimburse you for roadside assistance.
  2. Check for a spare key: Some rental cars come with a spare key that is located in a magnetic box under the car or in the trunk. If you have rented a car that has a spare key, this could be an option to get back on the road quickly.
  3. Contact the rental car company: Contact the rental car company as soon as possible to let them know what has happened. They may be able to provide you with a replacement key or arrange for a locksmith to come and assist you.
  4. Check your insurance policy: If you take out our car hire excess insurance you may have coverage for lost or stolen rental car keys.
  5. Take preventative measures: One of the best ways to avoid losing rental car keys is to make them harder to lose. Attach a big, noticeable lanyard or keychain to the keys, something that will make a noise when moved, to help you locate them quickly. Additionally, always double-check that you have the keys with you before leaving the car.
  We encourage you to read our full guide to learn everything you need to know about travel car hire excess insurance.   [carInsurent_sc_get_quote_cta cta_text="See How Much You Can Save on Your Car Rental Insurence" cta_btn_text="Get Started"]   Please see the Policy Wording for the complete terms and conditions.

Find the answers you’re looking for to the most frequently asked car hire insurance questions as well as other questions relating to our products and services.

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