What is Car Hire Excess Insurance?

CarInsuRent Car Rental Excess Waiver Insurance

To avoid having to pay a massive excess and not to double the price of the rental, you can take out car hire excess insurance policy from a third party insurance company, such as CarInsuRent. This is normally far cheaper, and often more comprehensive than the cover offered by car hire companies, as it will cover tyres, wheels, undercarriage, roof and windscreen. You can buy a daily or annual policy.

By buying excess insurance from CarInsuRent,  you’ll be covered against excess charges of up to US$4,500. CarInsuRent offer annual insurance policies much cheaper than rental agencies. With European car insurance excess waiver annual policies starting from $89.90, this can easily be more cost-wise especially if you are making multiple bookings over a year.

We recommend to take out excess waiver insurance. This means that if you have an accident you would have no excess to pay. The car rental companies offer this cover at the rental desk but it’s a lot cheaper to get it here BEFORE you travel from a specialist provider. We provide coverage for European Car Hire Excess Insurance, USA & Canada Car Hire Excess Insurance, Australia Car Hire Excess Insurance, UK Car Hire Excess Insurance.

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The Benefits of Third-Party Car Rental Excess Waiver Insurance

Cost-Effectiveness of Third-Party Insurance Options

Third-party insurance options often prove to be more cost-effective than the rental company’s excess reduction products for several reasons. Firstly, third-party policies are generally more competitively priced, offering similar or even greater coverage at a fraction of the rental company’s daily rate. Also, purchasing from a third-party insurer means you can typically secure coverage for an extended period or multiple rentals, providing better value for frequent renters or longer journeys. It’s a smart move budget-wise, as you can enjoy comprehensive protection without the steep price tag that comes with purchasing excess reduction options directly from the car hire firm.

Extensive Coverage: Why It’s Worth Considering

Opting for third-party car rental excess waiver insurance is worth considering for its extensive coverage. Unlike standard policies from rental firms, which often leave gaps, such as excluding tires, windows, or undercarriage damage, third-party policies usually encompass these vulnerabilities. By covering a broader range of potential incidents, from minor scrapes to significant mishaps, you can drive with added confidence. These policies can also include additional benefits like coverage for lost keys, personal belongings, or misfuelling, further safeguarding your rental experience against the unpredictable. Comprehensive coverage can convert potential stress into peace of mind, making it a smart investment for any car renter.

Car Hire Insurance Explained

Navigating Different Car Hire Insurance Terms

Understanding car hire insurance terminology can be like trying to navigate a road map with missing signs. Here’s a quick guide:

Collision damage waiver (CDW)  – Provides cover in the event of damage or theft of the vehicle, and is usually included as standard if you are hiring a car in Europe or Australasia. In the USA it may have to be purchased separately.  However, CDW is not complete protection. All it means is that you will not have to pay the full cost of any repairs, but you will have to pay a contribution to repair costs up to an agreed level of ‘excess’ which can be as high as €2,500, regardless of who is at fault. In addition, CDW generally does not cover certain areas of the car, such as the windscreen, tyres and the undercarriage. You will not usually be covered for damage caused while you were breaching the rental agreement, or caused by negligence or using the wrong fuel. You will not usually be covered for damage caused while you were breaching the rental agreement, or caused by negligence or using the wrong fuel.

Super Collision Damage Waiver (SCDW): An upgraded version of CDW that reduces or eliminates the excess. It’s more expensive and offered by the rental companies.

Theft protection (TP) – This covers you against the full cost of replacing the vehicle if it is stolen while in your possession. Like CDW, this insurance is normally included in the price, and like CDW it does not cover everything. For example thefts as a result of negligence, such as leaving the car keys in the ignition, will not be covered. And there will still be an excess to pay.

Personal accident insurance (PAI) – You may also be offered extra cover for any injury to you or passengers while you are driving the car. However, this would normally be covered by your travel insurance. In the same way, you may be offered cover for personal belongings in the car. This is known as personal effects protection (PEP). Again, this may be covered by your travel or home insurance.

Supplemental Liability Insurance (SLI): Increases your liability coverage for damages caused to others.

Remember, terms and coverage can vary by provider and location, so always check the fine print.

FAQ

What does excess reduction mean?

Car rental basic CDW coverage is subject to an ‘excess’. If you have car hire excess waiver insurance, in the event of damage to or theft of the vehicle your financial liability is reduced to zero.

How do I claim on car hire excess insurance?

To claim on car hire excess insurance, follow these steps:

1. Report the Incident: Immediately notify the rental company and obtain a damage report.
2. Document Everything: Take photos of the damage and keep all rental documentation, including the rental agreement and any repair invoices or police reports if applicable.
3. Contact the Insurer: Notify your excess insurance provider as soon as possible and submit the claim according to their guidelines.
4. Provide Documentation: Send all required documents to your insurer for the claim process.

Each insurer has its own process, so ensure you understand their specific requirements beforehand.

Is excess insurance for car hire necessary?

Excess insurance for car hire isn’t mandatory, but it’s highly recommended. It safeguards you from paying a high deductible if your rental car is damaged or stolen. Weigh the potential costs of paying a large excess against the daily rate of excess insurance. For many, the small price of the insurance offers invaluable peace of mind. Consider your personal risk tolerance and travel circumstances to decide if it’s a necessary addition to your car rental plan.

Choosing to go without could result in a significant financial burden in the event of an accident or theft, whereas the insurance could cover those unexpected expenses. It’s all about securing your budget and comfort while on the road.