Excess insurance, also referred to as excess waiver insurance, is an optional extra when you hire a car that protects you against any additional charges that you may have to pay if your rented car is damaged.
The excess is the amount that you will be forced to pay to the rental company if you get into an accident whilst driving, and it can add up to quite a hefty sum.
An example in the Guardian highlights just how expensive it can be and why it is really important to get yourself covered.
A couple hired a car from Enterprise and were hit from behind by another driver – even with a signed statement admitting to responsibility, the couple ended up having to fork out £780 to cover the rental company’s costs.
If this couple had been covered by excess insurance then they would only have needed to pay for the cost of the policy, saving hundreds of pounds in the process.
However, car rental companies often tend to see additional excess as a way of inflating the basic cost of hiring, so that the headline price can be as small as possible.
Some companies will set the excess price that you would have pay astronomically high, with Right Cars in Cyprus setting it at nearly £1,100, for example.
As a result, you should shop around for quotes on car hire excess insurance and don’t feel that you need to accept the one quoted by a hire firm.
You may well find that having the peace of mind of knowing that you are fully covered might actually make you feel more relaxed on your trip as well, meaning you can sit back and relax on holiday!
If you’re planning on renting a car for your holiday, make sure you organise your car hire excess insurance in advance to avoid any problems.
Date Created: 29/09/2017