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Car Hire Excess Insurance - Car Rental Excess Insurance

Protect yourself against paying the excess if you have a scrape in your hire car abroad with car rental excess insurance. Car rental insurance covers your rental car excess payment - which could cost up hundreds of pounds - when you take out a hire car.

Car hire excess insurance is an additional form of insurance protection that relates to the use of hired cars.

If the idea of purchasing ‘additional insurance’ for a rented car doesn’t immediately seem to sound like the best idea you’ve ever heard, it may pay to read on. You may save yourself some serious amounts of money!

Rental company insurance cover

The rental company’s insurance whether purchased separately or included in the rental cost, typically provides cover against third-party claims (third party liability insurance) and damage to the rental car (CDW or Collision Damage Waiver).

It may also come with what’s called an ‘excess’.

The excess is a financial amount, usually set between £500-£1500, (though it can vary from this) that you agree to pay as the ‘first part’ of any future claim during your confirmation of the booking and signing of the contract at car collection.

Once in place, it means that you may find significant amounts of money being billed to your credit card after an accident.

The maths is typically pretty simple. If you have an excess of £750 and there is a £500 repair bill to the hire car following an accident, you will find the entire £500 billed to your credit card. Had the damage cost £1000 to repair, you would have been billed for £750 as the full excess and the rental company’s policy would have paid the remaining £250.

Protecting yourself against excess charges

The excess constitutes a considerable financial risk for renters and the hire companies recognise that fact.

Read more...

Insurance comparison websites urged to adopt new practice standards

05.01.10

The voluntary guide supplements current regulations requiring firms to treat their customers fairly and provide information in a way that is clear, fair and not misleading.

In May 2008 a Financial Services Authority (FSA) review found that many insurance comparison websites failed to give customers the information they needed to make informed decisions. A follow-up review six months later found that standards had improved, but the FSA still had concerns about aggregators' use of assumptions during the quotation process.

In motor insurance, for instance, common assumptions are that the applicant will be the main driver and will not be using the car for commercial purposes. The review found that such assumptions were not always set out clearly and were often difficult for the customer to find, let alone correct.

The regulator was also concerned that some sites failed to make it clear how much of the quoted excess was compulsory and how much voluntary.

The ABI's good practice guide is the result of discussions with the British Insurance Brokers Association, leading comparison websites, the consumer group Which? and other stakeholders.

Source: Out-Law.com

Car Excess Insurance- News

The importance of Car Hire Insurance and where to get the best deal Prfire (press release) - Jan 06, 2010 When a person hires a car the last thing that they want to deal with is having it damaged or stolen so purchasing some form of car hire excess insurance is Why is There a Need for Temporary Car Insurance?all 3 news articles »

Palo Alto pays $1.45 million for car accident Palo Alto Online - Jan 06, 2010 from the city's self-insurance retention fund. The balance of $450000 was paid by the Association of Cities and Counties Excess Liability (ACCEL) fund, and more »

Page two: Bicycle insurance options: what's out there, and what isn't BikePortland.org (blog) - Jan 05, 2010 Page two: Bicycle insurance options: what's out there, and what isn'tIf you ride a bicycle and are not covered by car insurance, you should know your options in case of a single-vehicle crash, a hit and run, or a crash with and more »

DEAR MARGARET: What's the hold-up on my French car claim? Daily Mail - Jan 06, 2010 DEAR MARGARET: What's the hold-up on my French car claim?Our car insurance is with MoreThan. Our car repairs were no problem, but we are having great difficulty in obtaining reimbursement for the related expenses, and more »

Insurance comparison websites urged to adopt new practice standards Out-Law.com - Jan 05, 2010 In motor insurance, for instance, common assumptions are that the applicant will be the main driver and will not be using the car for commercial purposes. and more »