You’re setting off on the holiday of a lifetime and you’ve hired a dream car to do it in. You turn up at the rental agency desk and someone asks you “do you need car hire excess insurance?” Before you buy, consider the pros and cons of purchasing this type of cover to make sure you’re getting the very best deal.
Why you need rental car insurance
Car rental insurance covers you in the event of your hire car being damaged. Rental companies often charge a huge excess, far beyond what you’d expect to pay on your standard domestic policy because of the risks involved in covering so many vehicles.
By taking out a dedicated insurance policy, you can ensure you’re completely covered if the worst happens, although expect your car rental firm to block off a payment on your credit card to cover the excess anyway.
Advantages of car hire excess cover
If your hire car is damaged either in an accident or through no fault of your own, you’ll be liable to pay for the repairs and the cover the huge excess that rental companies tend to charge. Take out rental car excess insurance and you’ll be protected against the financial loss of having to pay for damage including a £1000 excess.
But that’s not all. This type of policy can cover against those little dings and dents that can occur while urban driving. These may seem inconsequential but they can cost you dearly. If you’re tempted to try and cover your rental car with your standard insurance, you could see your premiums rocket as a result of some very minor damage, so why take the risk?
If you don’t have a regular car insurance policy because you choose not to own a car, this type of coverage is a must-have. It can dramatically reduce your out of pocket expenses without you having to take out a standard insurance policy.
You can drive away in your rental car with the peace of mind of knowing that you are covered in the event that the rental company charges you for the most minor damage. So, all you have to do is take out the car rental excess policy when you hire your car, right?
The cons of car rental hire excess insurance
The biggest risk in buying car hire excess cover is simply accepting the policy your rental company wants to sell you. Here’s why:
It’s more expensive than a policy from a third party insurer. In order to make sure you’re getting the best deal, you need to be able to read the small print. But when you’ve just got off the flight and you want to get your hotel or villa that’s the last thing you want to do.
You may not have the level of cover you need: imagine buying the rental company’s excess policy and then finding you’ve been charged for a damaged wing mirror that turns out not be covered. You’re exposing yourself to unnecessary risk and paying more than you need to for coverage that leaves you unprotected. So what’s the solution?
The best deal on car hire excess insurance
Rental car insurance makes a lot of sense because the benefits far outweigh the disadvantages. But if you want to get the best deal on your policy, you need to compare quotes from independent insurers.
Excess Buddy gives you access to many quotes so you can pick the excess cover that’s right for you. Buying a standalone policy can save you 65% compared with a typical rental car policy, with further potential savings if you opt for annual cover.
If you want better cover at lower costs with a huge choice of policies, try Excess Buddy. Then you can start your holiday with the peace of mind of knowing you’re covered, whatever life – or the road – throws at you!