Car Hire Insurance Cover: Save Money and Avoid Excess

Car hire insurance cover can be a real money-saver, especially if you're not planning to drive the car excessively or in high-risk areas.

You can save up to 70% of your car hire cost by opting for a third-party insurance policy, which is the minimum required by law. This type of policy covers damage to other people's vehicles or property.

In the UK, the average excess for a car hire insurance policy is around £30-£60 per day, but it can be as high as £100 or more in some cases.

Car hire insurance cover is a type of protection that reimburses you for damages or losses to the rental vehicle, as well as other expenses.

It's usually required by the car hire company, and can be purchased as an optional extra when you book your rental vehicle.

You can choose from various types of insurance cover, including Collision Damage Waiver (CDW) and Theft Protection.

CDW covers you for damages to the rental vehicle, while Theft Protection covers you for theft of the vehicle.

Some car hire companies may also offer additional insurance options, such as Personal Accident Insurance or Personal Effects Cover.

Personal Accident Insurance provides protection in case of injury or death, while Personal Effects Cover protects your personal belongings.

It's essential to carefully review the terms and conditions of your car hire insurance cover, as well as any excess fees that may apply.

Do I Need Car Hire Insurance Cover?

If you have liability and comprehensive insurance for your vehicle, the coverage likely extends to when you are driving a rental car in the U.S. for personal reasons.

You might need extra rental car insurance if you're traveling abroad, for business purposes, or simply want more coverage.

In Mexico, for example, you must buy extra coverage from a travel insurance provider or a rental car company to satisfy the mandatory insurance requirements.

If you don’t own a car and you rent one occasionally, you probably don’t have personal auto insurance, so you’ll want to consider purchasing extra insurance.

Your personal policy might only include liability insurance and not comprehensive or collision coverage, so it's worth checking what's covered.

Here's a summary of when you might need extra rental car insurance:

Even with basic insurance, you'll still be liable to pay for any damages and excess if there is damage to the hire car that isn’t covered.

The cost of excess charges can be high, up to £7,500 or even £1,000 if you misfuel, need to be towed or if your vehicle breaks down.

In the US, car rental companies typically offer four types of coverage, which can vary from state to state.

Liability coverage is meant to protect you if you hurt someone or damage property during an accident. This coverage can be quite different from state to state.

Collision or loss damage waiver helps cover the cost if you damage a rental car. It's essential to understand what's covered and what's not.

Personal effects coverage covers personal belongings if they are stolen from a vehicle, but if you have renters' or homeowners' insurance, this will typically be covered.

Personal accident coverage covers medical bills if you or your passengers are injured in a car rental accident.

In Europe, rentals nearly always include liability coverage, but not the risk associated with damage to the vehicle itself or theft.

You'll need to consider three main options if you're renting a car in Europe: buying a collision damage waiver from the car rental company, using zero-deductible collision coverage that comes with some credit cards, or purchasing collision coverage through a travel insurance provider.

Here's a quick rundown of your options:

Car hire insurance cover can provide you with financial protection against unexpected costs when hiring a car. You can claim for damage or theft to your rental car, even if it wasn't your fault, up to $5000.

Having a policy that covers rental car excess can be a lifesaver, especially if you're hiring a larger vehicle like a campervan. You can increase the excess amount to $6000, $7000, or $8000 to suit your needs.

If your rental car is damaged or stolen, you'll usually be liable for an excess or collision damage charge. Our car hire excess insurance acts in place of Collision Damage Waiver (CDW) at a lower price and covering damage to any part of the vehicle.

You can choose from a range of excess amounts, including $6,000, $7,000, or $8,000, to suit your needs. This is particularly useful for larger vehicles.

If you're unable to return your rental car due to illness or injury, you can claim up to $500 for the return costs. This is a useful feature to have, especially if you're not feeling well.

Here are some key benefits of car hire excess insurance:

Buying car hire excess insurance in advance can save you money on the day. You can avoid paying a higher fee at the car rental desk.

Buying car hire excess insurance separately can be a cost-effective option, with policies like Car Hire Excess Insurance from Worldwide Insure offering lower prices than what car rental firms charge.

Buying car hire excess at the car rental desk can cost more on the day. Save money in advance.

If you're not prepared, you might end up paying too much for rental insurance. A RAC survey sheds light on expensive rental insurance costs.

Car rental companies often charge a hefty fee for a collision damage waiver, which can further stretch your budget. This fee can be expensive, especially for holiday makers.

Buying separate car hire excess cover has become popular among holiday makers who are wise to the high fees charged by car rental firms.

Zero Excess Rental is a game-changer for car renters. It means you won't have to pay any money towards your insurance claim, even if you're involved in an accident.

Most insurance policies have an excess, which can run into hundreds or even thousands of pounds, as explained in Example 2. This is where a zero excess policy comes in handy.

With zero excess, you don't have to pay anything towards the claim, unlike with a policy that has a £500 excess, for example. If damage from a collision costs £1,500, you'll pay £500 and the insurance will cover the rest, as mentioned in Example 3.

Some travel insurance policies include zero excess rental as standard, while others may offer it as an optional extra, as stated in Example 4. It's essential to check the policy wording to understand what's covered.

If you're planning to rent a car, consider opting for a zero excess policy to avoid the financial burden of a hefty excess.

You might be wondering if you can use your own insurance for a rental car, but the truth is that it's usually not that straightforward. Your normal car insurance may not cover you in a hire car, unless you're hiring it because your own car is being repaired and is undriveable.

If you hire a car abroad or in the UK, it will usually come with insurance included in the price, but this is often very basic insurance with a high excess. This means if the car is damaged or stolen, you'll still have to pay a lot of money towards repair or replacement.

Getting car hire excess insurance might be a good idea so you can claim back that money.

A lot of people are unaware that there are alternatives to expensive foreign car hire excess insurance.

The majority of drivers in the UK are not aware of these alternatives.

Car hire insurance cover often comes with exclusions that you should be aware of before purchasing. Some policies may not cover you if you hire a car without comprehensive insurance, or if you don't meet the terms of your Rental Vehicle Agreement.

You'll also want to check if your policy excludes certain types of vehicles, such as cars over 10 years old or valued over £100,000. Additionally, some policies may not cover interior damage, unless it's caused by a collision.

Here are some key exclusions to look out for:

Keep in mind that some policies may also exclude damage to specific parts of the vehicle, such as windscreens, roofs, or underbodies.

Waiver is essentially a type of protection that covers the excess you'd normally have to pay if your hire car is damaged or stolen. This excess can be a significant amount, often hundreds of dollars.

Excess waiver insurance, also known as car hire excess insurance, is designed to cover you for this excess in case of an accident or theft. It's a type of insurance that's often overlooked, but it can provide valuable peace of mind.

Having excess waiver insurance can save you from a financial burden if your hire car is damaged or stolen. It's a worthwhile investment for anyone who plans to rent a car, especially if you're not familiar with the local roads or laws.

Some policies have significant exclusions you should be aware of before purchasing. For example, RAC Car Hire Excess insurance excludes claims or payments where you haven't met the terms of your Rental Vehicle Agreement.

You'll also want to consider that RAC Car Hire Excess insurance doesn't cover vehicles hired without comprehensive insurance, or unacceptable vehicles like cars over 10 years old or valued over £100,000.

Additionally, interior damage, unless caused by a collision, is also excluded. Specific countries and areas where the Government advises against travel are also not covered.

If you're planning to rent a campervan or motorhome, you'll need to take out the optional additional cover, as these vehicles are excluded from standard cover.

There are also certain scenarios where your hire car's excess might not be covered by your insurer, including disobeying road rules, driving under the influence, or using the incorrect fuel type.

Here are some specific examples of exclusions to be aware of:

Some hire car companies may also offer rental vehicle excess cover themselves, so it's worth checking with them before purchasing a separate policy.

Making a claim for hire car excess can be a straightforward process. You'll need to contact your insurer to advise them of your intention to claim, and they'll likely allow you to do so through their online customer portal, by phone, or by post.

You may need to pay the rental car company's excess upfront with your credit card at the rental desk, but you can then claim reimbursement from your insurer. This is usually done by supplying documentation, such as invoices from the rental company, with your claim.

After submitting your claim, it'll be assessed by your insurer, and if approved, you'll receive reimbursement up to the limit of your policy.

RAC cover provides protection against breakdowns, ensuring you're back on the road quickly.

RAC has a network of over 1,600 patrol vehicles across the UK, allowing for rapid response times.

This can be a lifesaver if you're on a tight schedule or have limited time to wait for assistance.

RAC Car Hire Excess Insurance is a great option for those looking for peace of mind while renting a car.

The insurance offers a range of cover benefits, including excess insurance, misfuelling, towing & breakdown, and loss damage waiver / collision damage waiver.

You can get excess insurance up to £7,500 sum insured, which is perfect for those who want to be fully protected in case of any damage or loss.

The insurance also covers misfuelling, towing & breakdown up to £1,000 sum insured, which can be a huge relief if you accidentally put the wrong fuel in the car or get stranded somewhere.

In addition to these benefits, the insurance also covers loss damage waiver / collision damage waiver up to £100,000 sum insured, which is a must-have for those who want to avoid any financial losses.

Here's a breakdown of the cover benefits offered by RAC Car Hire Excess Insurance:

RAC provides cover in the USA and Canada, but you need to select 'USA & Canada only' when getting a quote.

If you plan on renting a car outside of the USA and Canada as well, you'll need RAC's Worldwide Plus cover, which covers you around the world.

You can get a quote for RAC's USA and Canada coverage, and it's a good idea to check your options carefully to make sure you're getting the right level of cover for your needs.

Single and multi-trip policies can include hire car excess cover as standard.

Some travel insurance policies offer hire car excess cover as an optional extra.

It's a good idea to check the policy wording in the PDS to understand what your policy covers.

You can check the policy wording in the PDS to see what's included in your policy.

If you damage your rental car, the rental company should organise any repairs covered under your 'damage waiver'. You'll be asked to pay towards the cost of these repairs, known as your 'excess', which can be reimbursed through your car hire excess insurance.

The excess amount can be a significant cost, but it's worth noting that not all car hire excess insurance policies are created equal. RAC Car Hire Excess Insurance, for example, covers scratches and other damage to the tyres, roof, body, windscreen, and undercarriage of the car. However, not all policies do, so it's essential to read the fine print before purchasing.

If you damage the rental car, the rental company should organize any repairs, but you'll be asked to pay towards the cost of these repairs – that's your 'excess'.

You can be covered for damage costs over the excess amount with a collision damage waiver, but you'll need to pay the excess. This waiver also covers damage to other people's property and vehicles, as well as injuries to others.

However, there are some things that aren't covered by the collision damage waiver, including overhead or undercarriage damage, tyre and wheel damage, and windscreen damage.

Some examples of things that aren't covered include single vehicle accidents, water damage, using the wrong fuel, and damage caused by an unauthorised driver.

Scratches can be a costly mistake if you're not covered. RAC Car Hire Excess Insurance covers scratches and other damage to the tyres, roof, body, windscreen and undercarriage of the car. Some car hire excess insurance policies don't cover damage to roofs, tyres, or windscreens.

Easily damaged parts can be a significant concern when renting a car. If you damage the tyres, wheels, or windscreens of your hire car, the rental company should organise any repairs, but you'll be asked to pay towards the cost of these repairs - this is your 'excess'.

Some car hire excess insurance policies cover easily damaged parts, including tyres, wheels, and windscreens. This means you'll be protected against the financial burden of repairing or replacing these items.

If you're unsure about the specifics of your policy, it's essential to check the details before renting a car. This will help you avoid any unexpected costs or complications.

If you're planning to hire a rental vehicle, either in Australia or overseas, you should consider rental car excess cover. This type of cover can protect you from the financial burden of making a payment to your rental company if your hire car is damaged.

Your rental car excess is the payment you make to your rental company in the event of an accident. It's a significant amount, and you'll want to make sure you're covered.

Rental car excess cover is often included or added as an optional extra to your travel insurance policy, depending on your level of cover.

Replacing a lost or stolen hire vehicle key can be a costly affair, with locksmith charges adding up quickly.

The cost of replacing a lost or stolen hire vehicle key can be a significant expense, often running into hundreds of dollars.

To protect against this cost, consider purchasing protection against the cost of replacing lost or stolen keys while driving a hire vehicle.

This type of protection can save you a lot of money in the long run, especially if you're renting a car for an extended period.

Travel can be a stressful experience, especially when it comes to car rentals. Travel insurance usually doesn't include car rental excess as standard.

If your hire car is damaged or stolen, you may have to pay a lot of money towards repairing or replacing it.

Renting a motorhome can be a fantastic way to explore new places, but it's essential to consider the insurance options available. You can hire a motorhome or campervan with excess protection, which covers you for excesses charged by the rental company following damage or theft of the vehicle.

Damage to the underbody, roof, windows, and tyres are all covered, giving you peace of mind while traveling. Suitable for hires at home or overseas, this insurance option provides extra security for your trip.

Max cover is £5,000, which can be a significant amount to protect against unexpected costs.

Vehicle return eligibility is a crucial aspect to consider when renting a car. If you're injured in an accident, your medical practitioner may deem you unfit to drive and return the rental car yourself.

Some insurers may offer cover for the costs associated with getting your car returned to the car hire company on your behalf. This can be a lifesaver if you're unable to drive due to injury.

If you're unsure about your vehicle return eligibility, it's essential to check with your insurance provider. They can advise you on the specific coverage and any additional costs involved.

Car hire excess insurance can cover you for excess charges you may be liable to pay if your hire car is stolen or damaged.

You're still liable to pay the first part of the claim, the excess, even with a damage waiver in place, which can run into hundreds or even thousands of pounds.

A zero excess policy means you won't have to pay any money towards your insurance claim.

Most insurance policies have an excess, but with zero excess, you don't have to pay anything towards the claim, which can be a huge relief.

Car rental companies often charge a hefty fee for a collision damage waiver, which can further stretch your budget.

This fee can be expensive, but buying separate car hire excess cover has become a popular option for many holidaymakers.

The excess can be thousands of pounds, up to £7,500 in some cases, which is why it's essential to consider car hire excess insurance.

With car hire excess insurance, you can claim back any costs you've incurred, up to £7,500, if your hire car is stolen or damaged.

You'll still need to pay excess charges to the rental company, but with RAC Car Hire Excess Insurance, you can immediately start a claim online and be reimbursed for the excess charges you've paid.

The excess can cost you thousands of dollars, up to $5000 in some cases, if your rental car is involved in an accident, is damaged, or is stolen.

If you need to cancel or return your hire car early, there are certain situations where your insurance policy will cover you. Cancellation or curtailment due to medical advice is one such situation, and your insurance policy will cover you for up to £500.

You'll be covered for up to £25 per day in this scenario. In order to make a claim, you may be required to provide evidence, such as a letter from a medical professional.