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Car Hire and Travel Blog - 29.04.2021.

Rental Car Coverage | Car Rental Tips

Renting a car can be a long and complicated procedure. That's why Orbit Car Hire is here to help you out and make things simple.

When we decide to rent a car where can we gather all the information?

The best thing to do is to call the customer service of the broker, who will guide you through your trip and inform you of any additional information you need. The most important thing is that you are and stay safe on the road. Cross your fingers that everything goes well, but it's better to be safe than sorry. People often think insurance coverage is something unnecessary. And that's a big problem.

Let's start from the beginning, what happens when we pick up the car?

Here's how the story goes When you pick up the car, the rental company puts a hold on your credit card for a certain amount of money. This amount is called a deposit. The deposit is usually equal to or greater than your deductible (=your financial responsibility for any damage to the car or theft + lost income during the repair period). If the worst happens - the car is damaged or stolen - you can lose your deductible

Is this the case if you only have a Collision Damage Waiver (CDW)?

Yes, this can be the worst-case scenario. You have no insurance coverage, only CDW and you cross your fingers that nothing happens. People are often unaware that most of your vehicle is not covered. CDW only covers the body of the vehicle. Damage to mirrors, roof, underbody, tires, locks, possible loss of keys is not covered by CDW. CDW also does not cover immobilizer costs. Your driving skills may be perfect, but you are not alone on the road.

Although your deductible is not huge, the final cost can be very high. You will also be charged by the car rental company for administration fees and immobilizer costs.

What if I opt for coverage through a credit card or liability insurance?

You may have purchased rental car deductible insurance through your credit card, or you may have purchased rental car deductible insurance online from a third-party provider. If that's the case, let me give you some friendly advice: Call your bank and ask for the terms and conditions, review any exclusions, and later call the car rental company and review their policy. And remember,; there's something fishy going on when a company wants to sell you rental car insurance and can't explain to you what exactly they're selling. If you're 100% sure the coverage will cover everything,-you're on the safe side. But there's a trick. Even though your coverage will cover everything you need, you'll probably still need to put down a deposit at the counter. And you'll need to make sure you have a sufficient limit on your credit card (your available cash for the holiday could be anywhere from £700 to £2000 depending on the car you choose). The procedure for applying for a universal insurance claim or with your bank can be very lengthy and complicated. In some case, the credit card bank did not reimburse certain damages according to their policies, so you will need to call your bank, check their terms and conditions, ask to be told of any exclusions, and then call the car rental company to check their policies. Gathering all the information you need can take a lot of time, and you can get pretty frustrated.

But I can also buy insurance at the counter, right?

Yes, but even though you are already insured, the agent at the counter will offer you their company's coverage. The main advantage of this option is the "zero excess" or Super Collision Damage Waiver - the car rental company will not take a deposit for the time of your rental. But the price will be higher since this is your last-minute decision. I agree that it is better to take this last-minute coverage than no coverage at all. In this case, there is no deposit, but that doesn't mean you end up paying anything. But you need to know one thing - this is usually the most expensive scenario. There are also possible exclusions, such as tires, mirrors, windows, immobilizer costs, etc.

What do I need to do to make sure I'm fully covered?

You can protect your excess with us - so you get your full deposit back.

If you take our Premium Coverage and something bad happens, such as damage or theft, we will reimburse you up to 3000 EUR of the costs charged by the car hire provider. With PC there are practically no exclusions. We have a transparent claims procedure, and you can cancel the booking up to the last minute.

PC will refund the final cost - if it is clear what the amount is. When you rent a car with us, you can always call our customer service, and they will guide you through the process.

Rental car coverage

But surely there are downsides to this scenario?

Most car rental companies will require you to pay a deposit or provide credit card details before handing over the vehicle if you decline their insurance. Buying from a PC cannot prevent this. PC does not cover vague costs such as repairs to the vehicle that have not been approved by the car rental company or administration and driving away fees. Also, the PC does not cover the cost of damage to the car if the driver was drunk or driving irresponsibly. But remember, even though by purchasing a PC in the unfortunate event of car damage or theft, you can always recoup the deductible paid to the rental car company - the price is very reasonable.

And again, even though your insurance will cover everything you need, you will still need to pay a deposit at the counter. And you need to make sure you have a sufficient limit on your credit card (your available cash for the holiday can be reduced from 700 to 2000 euros, depending on the car you choose).

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