What’s in a Damage Liability Waiver?

  • Kaye Thomas
  • August 8, 2017
  • Comments Off on What’s in a Damage Liability Waiver?
  • Liability Waiver

It is important to recognize what is included in the damage liability waiver and what is usually excluded. Damage to the exterior mirrors, windows, wheels, tires, roofs and undercarriage of the vehicle, for example, are almost always not covered and any repairs have to be paid for by the hirer him or herself.

A further point to watch with almost every form of damage liability waiver—and the theft protection that comes with it—is the fact that it will come with an insurance excess. This can range in value from a few hundred pounds throughout most of Europe (it is typically around 600 euros in the UK, for example) up to 1, 500 dollars in Australia. What does this mean? Of course, is that the hirer remains financially responsible for any loss or damage to the value of the excess. If repairs cost less than the excess, the hirer will be responsible for the whole cost of the repairs; if the cost exceeds the value of the excess, then the hirer’s responsibility for the cost repairs is limited to the amount of the excess only.

When you are hiring a car, the damage liability waiver gives you protection against the risk of theft, damage and the rental company’s loss of use of the vehicle (whilst it is being replaced or repaired). Since these risks could result in the loss of the whole value of the car (i.e. tens of thousands), a damage liability waiver is clearly an important piece of protection for its owners, the rental company, and more particularly the hirer, who would otherwise bear the entire loss themselves.

For this reason, the cost of a damage liability waiver is normally included in the rate quoted by the car rental company for hiring the vehicle. It is usually incorporated into the daily rate of hire and the cost is likely to be a significant proportion of that rate. The damage liability waiver is also sometimes described as a collision damage waiver or a loss damage waiver and there is occasionally a separate element of insurance providing theft protection if the car is stolen or some part of it is damaged as the result of an attempted theft.

A much better deal is likely to be obtained by purchasing excess insurance for the damage liability waiver from an independent hire car insurance specialist. These providers can arrange cover on a daily basis for any given trip of known duration or annual cover, which offers permanent protection of any damage liability waiver excess throughout the year, for multiple car rental agreements.
In other words, the basic damage liability waiver offered by a car rental company can leave the hirer with a significant outstanding liability in terms of the excess. For this reason, most companies will offer to sell the hirer an additional insurance to cover the outstanding liability-excess insurance. Every additional piece of insurance, of course, adds to the total cost of hiring a car, however, and the excess insurance provided by a car rental company is unlikely to be the most price-competitive on the market.

Check out http://waiversign.com for more informations and help.