If you’re hiring a car this year, then there’s one tip that can save you a fortune. We’re talking about taking out car hire excess insurance which acts as a safety net in case you run into any problems. So who can take out this type of cover and do you really need it?
Who can take out car hire insurance?
Any fully qualified driver can take out car hire insurance. Depending on the policy you buy, you may also be able to add other named drivers free of charge. Be aware that those drivers may cost extra when you add them to your car hire policy.
Every named driver hiring a car should take out car hire insurance to protect themselves from the huge excess charges that rental firms charge. An excess of £1000 is not uncommon and could leave you seriously financially exposed if anything does happen to your hire car.
Is it worth taking out extra insurance?
We all like to think that we’re safe drivers who will never have an accident. But they can and do happen, and so do incidents when your car is unattended. You’ll still be held responsible, even if that prang in the door wasn’t your fault and this type of minor damage can end up costing thousands thanks to the high excess car rental companies charge.
Unfortunately, you can’t cover your car in hindsight so you’ll need to have insurance in place before you sign the car rental agreement. But with cover from just a few pounds a day, taking out car hire excess insurance can give you peace of mind and make sure you don’t end up paying out thousands in excess charges.
How does it work?
You’ll be expected to pay the costs of any damage up front which is then reimbursed by the insurance company. This means that you’ll need to have a credit card with sufficient funds to present to the hire car company when you pick up your vehicle.
Is rental car company insurance a scam?
When you hire a car, basic insurance is usually included. Your rental company is likely to try and sell you excess insurance as an added extra but if you buy a standalone policy from an independent broker, it costs a fraction of what you’ll pay at the rental desk. In fact, if you shop around you may find you can pay for a one-off policy what your car hire company will charge for a single day’s cover.
Don’t fall for the pressure selling tactics of the rental desk. Sort out car hire excess insurance before you travel and you’ll pay much less for better cover. For example, rental car policies rarely include damage to tyres and windscreens whereas an independent policy will cover those and much more. That means the most vulnerable parts of the car are covered, and you are too.
Be ready for the rental desk threat that your standalone policy is invalid. Ask for that in writing or record it on your phone – you’ll be surprised how many companies will suddenly accept your insurance after all. However, they will still expect you to provide a credit card to cover that all important excess.
How can I get the best deal?
Getting the best deal on this type of insurance isn’t difficult. First, decide what type of travelling you do and then visit Excess Buddy to get your car hire policy quotes. For example, if you rarely hire vehicles abroad, a single trip policy will be more than adequate. If you’re a frequent traveller, then an annual policy that covers you for multiple trips will make the most financial sense.
Whichever you choose, we have all the most competitive quotes from the best insurers. That means you’ll pay less for better cover and enjoy the peace of mind of knowing that you’re totally covered whenever you drive.