OS Car Hire Insurance - Couple of Q's.

[vetrade]

Have read previous posts on hire car ins. but I'm after some clarification mainly in regard to damage to another vehicle where you are deemed to be at fault.
Am I right in believing that LDW covers the rental car you are driving and CDW covers the other vehicle? Or have I got that wrong and is it just different terminology for the same thing? (Quotes always just seem to list "LDW")
Does LDW / CDW automatically cover both vehicles? Does this vary between countries?
Thanks

 

[serfty]

I won't rent unless all are included.

Collision Damage Waiver and Loss Damage Waiver are basically the same thing.

It is an agreement with the Rental provider that the renter is free of any financial responsibility for damage to or loss of the vehicle, provided the renter remains in accordance with the terms and conditions of the rental agreement. Most Australian Insurance policies do not protect the renter in this way.

Supplemental Liability Insurance is what covers the other vehicle - many Australian insurance policies provide cover for this. (Be careful though some exclude this from rentals.)

I normally rent in the USA via consolidators such as Netflights or ArguscarHire whose packages include these automatically.

 

[Jurahn]

Supplemental Liability Insurance is what covers the other vehicle - many Australian insurance policies provide cover for this. (Be careful though some exclude this from rentals.)

Yes, this is where you need to be EXTREMELY careful and make sure you read the fine print on travel insurance policies. Whilst various policies I've researched include a hefty amount for personal liability cover (usually in the $$millions) for third party injury or damage or a person or property, they all also specifically exclude any claims that "arise out of the ownership, custody or use of any aerial device, watercraft or mechanically propelled vehicle" so it's essential to take out Supplementary Liability Insurance (or Additional Liability Insurance, which is the same thing) along with CDW/LDW, especially if driving in the USA!

 

[AdMEL]

I won't rent unless all are included.

Collision Damage Waiver and Loss Damage Waiver are basically the same thing.

It is an agreement with the Rental provider that the renter is free of any financial responsibility for damage to or loss of the vehicle, provided the renter remains in accordance with the terms and conditions of the rental agreement. Most Australian Insurance policies do not protect the renter in this way.

Supplemental Liability Insurance is what covers the other vehicle - many Australian insurance policies provide cover for this. (Be careful though some exclude this from rentals.)

I normally rent in the USA via consolidators such as Netflights or ArguscarHire whose packages include these automatically.

Yes, this is where you need to be EXTREMELY careful and make sure you read the fine print on travel insurance policies. Whilst various policies I've researched include a hefty amount for personal liability cover (usually in the $$millions) for third party injury or damage or a person or property, they all also specifically exclude any claims that "arise out of the ownership, custody or use of any aerial device, watercraft or mechanically propelled vehicle" so it's essential to take out Supplementary Liability Insurance (or Additional Liability Insurance, which is the same thing) along with CDW/LDW, especially if driving in the USA!

Serfty, the clause Jurahn notes is in every Australian insurance policy I've looked at, not just some!

Are you aware of any that don't have this exclusion?

 

[serfty]

In recent times no . Going back s decade - yes.

That's why I don't rent directly from the majors these days.

 

[Deleted member 29185]

That's why I don't rent directly from the majors these days.

Now I'm confused. Are you saying that we as the renters are NOT covered in Australia by an insurance policy that will indemnify us (to the limit of the excess) for damage to another vehicle? ie....we're liable for the full amount of damage to another vehicle we may hit?....or are you saying an Australian insurance policy will not cover us if we rent in the US?

 

[opusman]

Standard travel insurance policies cover car rental excess up to $3-$5k but without LDW (as in the US by default) you are potentially liable for the full value of the car.

 

[Deleted member 29185]

Standard travel insurance policies cover car rental excess up to $3-$5k but without LDW (as in the US by default) you are potentially liable for the full value of the car.

Yes, but all my rentals say I am covered for CDW (which I believe is the same as LDW) by the rental firm (in Oz and UAE). Yet I only rent from the majors which is why I was wondering why serfty made the point he won't rent from the majors. It was in response to a post from AdMEL which was clearly speaking of Australian insurance policies but as the thread is speaking of OS insurance I'm thinking his response was about renting a vehicle in the USA but with an Australian travel insurance policy which means he must buy additional insurance from the car rental firm in the US. Really nothing to do with a car rental in Oz which I believe always comes with CDW. Is this a correct interpretation?