Hire Car Insurance
When you hire a car, you'll need to take out insurance to cover you against any accidents or incidents that may occur during your rental agreement period. If you don't take out insurance, you may find yourself with a very large and unwanted bill if anything should happen. If you aren't sure which level of cover will best suit your needs, ask one of the car hire company's representatives. Remember that the hire car is your responsibility whilst you have it, so it's better to have too much cover than not enough.
Check to see if you are covered for using a hire car on any other insurance policy or agreement that you may have, such as your personal car insurance, home insurance, auto breakdown service membership or credit card. If you are, check that the cover is sufficient and that it includes your destination and choice of hire car. If you are covered already, you won't need to pay out again for the same cover from the hire car company, but remember that your travel insurance won't include cover for you when you're hiring a car.
Each car rental company has different insurance policies (and these will also vary according to your destination), so it's a good idea to look into these in advance so you know exactly how much cover to take up when asked.
Insurance can be a bit confusing, so here is a guide to the types that are available through most car hire companies:
- LDW stands for Loss Damage Waiver. This provides cover for damage to or theft of the hire car (this cover may be provided by your credit card too). LDW is the same as CDW and PDW, which stand for Collision Damage Waiver and Physical Damage Waiver.
Check to see what the excess will be on any claims you make. You may wish to take out excess insurance to cover this when you hire a car, in order to reduce or eliminate any excess charges if you need to make a claim.
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