Car Rental Insurance Overview:
Collision Damage Waiver & Loss Damage Waiver
Introduction
If you are planning a trip
that will involve a rental car, you need to make decisions
as to whether or not car rental insurance is a good option
for you. Of course, cost is one of the factors that is associated
with making a decision as to whether or not to obtain car
insurance. Another vital factor that you will want to keep
in mind when it comes to considering car rental insurance
is how much coverage you actually will obtain through car
rental insurance.
In this regard, when considering
car rental insurance, you will want to consider whether or
not the coverage will (or will not) include a collision damage
waiver or a loss damage waiver. These types of waivers can
reduce the costs associated with any type of auto insurance
policy including a car rental insurance policy. Before you
make any decisions regarding car rental insurance, and related
issues, you will want to make certain that you understand
what these waivers are all about.
Understanding a Collision Damage Waiver
and a Loss Damage Waiver
In simple terms, a collision
damage waiver or a loss damage waiver is a specific type of
release of liability (broadly speaking) in which you would
not be covered under a policy of car rental insurance for
any damage sustained to the rental car itself. In other words,
if there is such an exclusion in a car rental insurance policy,
the car rental insurance will cover damages sustained to the
property of car owned by other people in the event of an accident
-- but not to damage to the rental car itself.
As a result of such a waiver,
if there is an accident, your own, personal automobile insurance
policy would have to be utilized to pay for damages that are
sustained to the rental car itself. |
