Besides rental fees, car hire companies require renters to get insurance for the rented vehicles. Renters have also become wiser by considering optional insurance coverages, like car hire excess. Before getting this Car hire excess insurance compare the options available. You may also benefit from learning a few things about excess insurance for rented cars.

What is car hire excess insurance?

Car hire excess insurance is an optional coverage that protects car owners from excess costs if a rental car is damaged or stolen. This type of insurance cover has recently gained a lot of popularity. However, many people still do not understand what it is all about. When you rent a car, it typically comes with basic insurance added to its price. The standard insurance is also known as a Collision Damage Waiver. This coverage protects you from paying the full cost for repairs or replacements if your rented car is stolen or damaged. However, the basic insurance coverage is subjected to an excess. The insurance company will only cover up to a specific amount of the repair or replacement costs. For instance, if your rented car gets into an accident and the repair costs amount to $2500, your basic insurance cover may not cover the entire amount. Depending on your basic insurance provider, the company may only cover up to a certain amount of the repair costs, like $1600. The remaining $900 is up to you to pay. This is where car hire excess coverage comes in. This coverage will cover the excess amount the basic insurance will not pay (in this case, $900). Therefore, you need not pay anything with excess insurance.

Car hire excess coverage FAQs

Since many renters are new to this insurance coverage, they still ask many questions. Below are answers to some of the most commonly asked questions about this type of car insurance coverage;

  • Is car hire excess insurance worthwhile?- Yes, excess insurance overage coverage for your rented car is worth it. It can save you a lot of money in case of an accident or theft. It also does not cost a lot. Therefore, for a small cost, you can have a stress-free holiday.
  • Do I need excess protection car hire?- Most rental companies do not demand excess protection for their cars. However, excess protection may still come in handy. This extra protection will come in handy if your car gets stolen or damaged.
  • Is it worth buying car hire excess insurance?- Yes, buying excess insurance is quite worth it. There are many reasons to buy car rental excess insurance. Below are some of the main ones; It will provide you with peace of mind during your vacation. It also provides extra protection from unpredictable mishaps. Even if you are an expert driver, this coverage will protect you from non-expert drivers on foreign roads. It can save you a lot of money depending on the insurance provider and the damage you incur on your rented car.


Numerous companies are offering excess insurance for rented vehicles. When choosing the best option, there are a few elements to consider. For instance, always consider the cost of the extra coverage. You may also benefit from considering your travel destination. Driving a car on foreign roads with different rules than your locale is more dangerous. In such a case, excess coverage may be more necessary. The weather conditions in your destination may also matter. For frequent travelers, annual car hire excess insurance is recommended.