Confusing car rental jargon, unclear insurance policies and excessive excess – The Big 3 pitfalls that can leave you out of pocket when hiring a car on holiday, warns



9 April 2008

- Wise-up and learn the car rental company's terminology before you leave home to avoid costly mistakes
- Read the car rental company's insurance policy terms to see what you're actually covered for
- Avoid getting stung by an unexpected big Excess

Holiday season kicks off from now until August as thousands of Brits look forward to a week or two in the sun, but standalone Excess insurance specialist warns of a number of car-hire pitfalls.

Carefree holiday-makers advised to be wary of car rental firms' insurance policies at home and abroad and wise-up on trade terminology - what it means in terms of insurance coverage.

The basic cost of hiring a car can appear very reasonable, and most of us will sign up for the car rental company's insurance policy without looking into the small print - however add-ons - especially for ‘damage' incurred to a vehicle during the rental period - can run into hundreds of pounds.

"The majority of us will not bother to read the car rental company's insurance policy, the terminology used such as CDW, LDW and non-waiver is very confusing, and getting our heads around it is the last thing we feel like doing when we are about to enjoy a week or two of relaxation," says spokesman Larry Ursich

"However, by not fully understanding what your policy covers you for can lead to unexpected costs being deducted from your credit card at the end of the holiday, should there be even the slightest scratch to the vehicle - and this is because the insurance policy has not covered you for the Excess. Wise-up and understand the terminology before you leave home," says Ursich

The most common areas of damage are to the vehicle's windows, tyres, roof or undercarriage - areas which are not normally covered on the rental firm's own excess cover. Excess charges can vary from £300 - £1,500 depending on the amount of damage and the country you are traveling in- a big blow to the holiday budget.

"Car rental companies do sell their own Excess cover at the counter, but it is expensive and can cost as much as £15 per day and does not always cover you for the total amount of damage to the windows, tyres, roof and undercarriage.

Even if you pay to reduce the Excess to zero you may still be liable for damage to certain parts of the car," says spokesman Larry Ursich

*Insurance policy terminology check list


The beginner's guide for hassle free car rental

• ALWAYS read the terms & conditions of the car hire provider's website & documents
• Check the Excess - even if you reduce it to zero you may still be liable for damage
• Check that your insurance covers all aspects of your trip - especially if you are planning off-road travel
• Check the vehicle for any existing damages when you collect the car. Make notes on the car rental form and take photos
• Take your car hire company's contact details with you in case of emergencies and check if there is any breakdown cover
• Check what time you need to return the car - you will be charged for any over-time
• Check your credit card statements after your hire to ensure no unauthorized extras have been charged to your card has developed an alternative that will save motorists a small fortune: low annual car rental Excess insurance products to protect customers whenever they rent a car, with peace of mind that the total amount ofExcess will be covered.

Europe-wide cover costs just £49, covering the policyholder and all additional drivers on the car rental agreement for multiple use throughout the year.

Annual Worldwide cover costs just £59 to provide protection anywhere in the world where Excess is charged.


Founded in 2002 Insurance 4 Car Hire  is an innovative online insurance company whose core business is the provision of car rental Excess insurance. The business was born out of the high costs being charged by the car rental companies for Excess cover. Insurance4carhire strives to bring customers annual Excess insurance products offering customers convenience, peace of mind and very significant savings when they rent cars.

In 2005, for the second year running, Insurance4carhire received the accolade of "World's Leading Innovative Ecommerce Travel Product" from The World Travel Awards. These annual awards celebrate achievement in the travel industry and are based on votes cast by travel industry professionals throughout Europe.

To reflect the increasingly global reach of its products, Insurance4carhire changed
underwriters to AIG UK Ltd, a member company of American International Group, Inc., (AIG) in December 2007. AIG is one of the worlds leading insurance companies with operations in more than 130 countries.

Insurance 4 Car Hire is now part of the Towergate Partnership the largest independently owned insurance intermediary in Europe.


See Also:

Excess Protection Gives a Financial Boost to All - May 2009's Best Drives in the US - January 2009

INSURE4EXCESS.COM Launches New Policies at Competitive Rates

Drivers Down Under Hit by biggest Car Hire Excess Charges – Don’t go the distance without protection, warns INSURANCE4CARHIRE.COM - June 2008

Drivers Abroad are stumped by hefty Car Rental Excess costs, but could save £££’s on the holiday budget with an annual policy - April 2008

Age no barrier to protection for older drivers – Low cost excess waiver policy helps over 75s stay on the Road - March 2008

insurance4car - March 2008

Brits set to get stung this Easter with Sky-High excess insurance costs – EU car rental firms cash in on UK drivers with massive excess charges - March 2008

The Great Excess Insurance rip-off - EU Car Rental firms fleece Brit drivers with massive excess Penalties - February 2008

Towergate Partnership announces the acquisition of Insurance 4 Car Hire Agents Ltd - January 2008

Lower prices for car hire excess insurance from December - December 2007

Annual Car Rental Insurance Renewal is here again - October 2007

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