What is collision damage waiver?

collision damage waiver

Growth has been a constant element in the tourism and traveling industry, especially in the recent past. This growth has brought about the establishment of products that link both tourism and traveling, such as car rental services. When touring domestically or internationally, you might need a car, for convenience in navigating around your travel destination. This is where car hire service comes in, which also has an optional insurance package incorporated in it. All relevant information about it is available on car-hire-excess-insurance.co.uk.

Let us use an instance where you are on a holiday trip and are using a hired car to ease your travel. You are probably doing this during a work or school break. The objective of the holiday is to enjoy, relax and clear your mind from your usual hectic routine. The last thing you want is to have something constantly worrying you and hindering you from having fun. The thought of having the hired car either damaged or stolen is likely to be the main worry. When you buy car rental excess insurance, the possibility of car wreckage or loss will not disturb your peace.

How Does the Car Rental Excess Insurance Work?

This type of insurance is also simply termed as car hire excess. In the event that the rented car is damaged through an accident, this insurance acts as a shield. It covers you from incurring excess charges emanating from the repairs of the wreckage resulting from the accident. Any additional amount spent is reimbursed by the insurance company. The company caters for a substantial portion of the repairs needed, instead of the entire burden being imposed on you. However, this type of insurance is non-compulsory and not enforced by the law.

Is It Worth Buying Car Hire Excess Insurance?

You are probably wondering, is car hire excess insurance worthwhile? Yes. This insurance shields you from extra charges in the event that the rented car is stolen or damaged. Typically, you will only be liable for a portion of the repair costs in the case of damage. The insurance company does the most. However, if the rented car is lost or wrecked while under your care, the charges will be hefty and you will have to meet them. If you are still asking yourself, do I need excess protection car hire? The explanation above is a sufficient answer.

How Is Collision Damage Waiver Different from Car Hire Excess Insurance?

From the name itself, collision damage waiver pertains to collision involving the hired car. The aim of this waiver is to minimize the costs incurred in case of a collision. It is only effective during the period when the car has been rented out. In the excess insurance, you meet all costs for the damages and later claim a reimbursement from the insurance company. However, in the collision damage waiver, you are only obligated to meet the additional damage charges.

The collision damage waiver does not cover the loss of the hired car. Therefore, if the car is lost, this waiver is ineffective. Therefore, you can also incorporate a loss damage waiver, which covers the costs of loss. If you purchase both the collision and loss damage waiver, you are covered in the event that the car is either lost or damaged. At the back of your mind, you should remember that these insurance covers may not be used. The money spent will not be reimbursed if no loss of damage occurs.

For peace of mind, as you drive around, excess insurance or a collision damage cover will go a long way. Cars are prone to accidents and there is always a possibility of slight or major damage whenever you are driving one. With numerous companies offering these insurance packages, such as annual car hire excess insurance, be keen when reviewing the components of each before settling for any. This will ensure that you get one that fits your needs and is pocket-friendly.

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