CDW insurance stands for Collision Damage Waiver insurance. It is a term that might be unfamiliar to a number of UK drivers, more accustomed to the basic distinctions between third party, third party, fire and theft, and comprehensive insurance cover available on their domestic motor insurance policies. CDW insurance, on the other hand, is widely used in the car hire industry around the world to provide cover for the person renting the car against the risks of loss or damage to the hired vehicle.
Together with the minimum level of insurance against claims by third parties and the risk of the vehicle being stolen, the Collision Damage Waiver generally represents the basic insurance package that will be offered by the car rental company with the vehicle. Like many things in life, however, covering just the minimum requirements is rarely enough for decent peace of mind. This is true of CDW insurance.
First and foremost, CDW insurance is designed to give the hirer of the vehicle a degree of financial protection in the event of his or her damaging the vehicle in a collision - the insurance will indemnify the hirer against the worst of the repair costs. However, it is not what UK drivers, for example, would recognise as comprehensive insurance. With typical CDW policies, several areas of damage are specifically excluded from the cover. These areas include damage to the roof and the underside of the vehicle as well as repairs to broken, cracked or chipped glass windows, and punctured or otherwise damaged tyres and wheels.
Another major consideration to bear in mind with respect to CDW insurance is the excess it usually attracts. The excess, of course, is the proportion of any repair bill that the policy holder must pay him or herself. In the event of any claim under the CDW insurance, the excess represents an uninsured portion of the loss or damage. Still worse from the policy holder's point of view is that, in the event of any claim for repairs, it is the excess paid by the policy holder that must be paid first. The effect of this is that if the repairs cost less than the excess, then the policy holder will be footing the entire bill for the repairs. Clearly, this is an important consideration, especially since the typical excess on the CDW insurance for a car rental in the UK, for example, is likely to be at least £600 - and possibly more.
To reduce this liability, therefore, most customers take up the offer of the car hire company to purchase further insurance - CDW excess insurance - in order to remove or reduce the amount of excess on the CDW insurance. However, all of the shortcomings of the rental company's CDW insurance can be avoided entirely by purchasing a complete insurance package for the car hire in advance, from a specialist insurance provider. Not only will such an independent provider quote a far more competitive rate (up to half of that quoted by the car rental company), but the insurance provided is likely to be considerably more comprehensive in its scope.
If you are up to go for a trip, personal or business, you will perhaps want to rent a car upon reaching your destination. Many airports have at their disposal car rental offices on-site for passengers’ ease. The following tips on how to rent a car will help you to get a nice deal.
The leading worldwide car rental agencies have offices throughout US and often around the world. There is not such a notion as the best company in this sector. It is really worth to look around. Prices will depend upon the type/make of car, the period of time, and things called company special conditions or sort of. You can easily compare prices on-line and you can book your car online too.
Nearly all rental cars have automatic gearbox, tuner, and air conditioner. Even if you prefer a manual gearbox, it is possible it will not be available upon arrival. If you are travelling with your kids you will need child seats, do not forget to call for them when you book your car.
If you are renting a car in the United States, you usually do not need an international driving license. Your license from your country will be quite sufficient. That means, an international license could be useful in proving to the agency that you have a valid license for example if they are not familiar with the licenses from your country.
Hire agencies have divers rules about who they will rent to. Some of them will not rent to anybody under the age of 25 whereas others will not rent to anybody over 70. Some other rent to persons under 25 but charge for that. Check with the company for restrictions before you rent your car.
The car rental domain is highly competitive so prices change often. Some agencies offer frequent advertized deals. Others conduct random extra promotions. If clientele is slow you probably can have a more interesting price than if you are about to rent on the height of the season. No one rental agency has the best prices. It just depends on the given situation, so do your preparation and do not hesitate to try to trade a better price!
Sometimes if you booked through a travel agent, you may get a better price on your rented car. Some packages even involve the rental fees. Compare those offers to see which is better.
Please do remember one more important thing: the car rental insurance is where many agencies really overcharge you. The collision damage waiver and theft insurance they try to market is prized ludicrously high. But you also cannot risk driving without it. Some auto insurers have a rider that covers you and some credit cards also provide you with free insurance wrap. See what you can do to keep away from buying the rental agency insurance because it can nearly double the price of your rental.
Now that you know how to rent a car and get the better deal, you will have some extra dollars in your pouch to begin preparing your next trip with the thought that you did everything right.