Insurance with or without a deductible - what do I need to know when booking a rental car?

Important facts described briefly below:

If you book a rental car with the insurance package, "with deductible,” you will be held liable for all damages incurred, up to the maximum amount of the deductible.

For insurance packages labeled, “without deductible,” also called "reimbursement of deductible," in the event of damage, the amount for the damage caused must first be paid from the deposit. However, this amount will be refunded after the case has been settled, and all necessary documents have been submitted.

Also, there are offers that do not include insurance. With these offers, in the case of damage you will be held liable for all damages incurred without a limit. In such case, we advise you to either purchase an insurance with the local supplier or check with your credit card company if an insurance is included. 

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When you book a rental car, some insurance policies are mandatory. In addition, you can choose other insurances or options. There are some differences between a private vehicle and a rental car. For your car, you can choose whether you want to take out liability insurance, partially comprehensive, or fully comprehensive insurance. For a rental car, however, fully comprehensive insurance is mandatory. You must be insured in any case, but many car rental companies offer you the choice between the options "insurance with deductible" or "without deductible." We will explain to you the ways in which these options differ.

What is meant by a deductible?

Fully comprehensive insurance with a deductible means that you have to pay a deductible in the case of damage. The costs are not fully covered.

How high is the deductible?

The amount of the deductible varies between insurance providers, and also depends on the vehicle class booked. This information is stipulated in the contract.

What are the advantages and disadvantages of a rental car without a deductible?

Fully comprehensive insurance without a deductible is usually a bit more expensive. An advantage, however, is that in the case of damage, you do not usually incur any costs. Even if the rental car is stolen, you do not usually have to pay anything. There may be exceptions, which you can read about in the rental conditions.

What are the advantages and disadvantages of a rental car with a deductible?

If you choose the option, "with deductible," the fully comprehensive insurance is somewhat cheaper. However, this also means that you will have to pay part of the damage. In most cases, the deposit paid at the beginning of the rental period will be retained or offset.

Do I have to pay a deposit when I get a rental car without a deductible?

Yes, even if you take out fully comprehensive insurance without a deductible for the rental car, you have to pay a deposit at the car rental company.

Will the deposit still be retained even if I have insurance without a deductible?

Yes, the deposit, paid at the rental company, will be retained in the case of damage. After the rental period and the return of the rental car, the amount will be refunded. Since the processing of a claim often takes a long time and involves a lot of bureaucratic effort, it can take several months before the deposit is refunded. Take these points into account when you decide between fully comprehensive insurance with or without a deductible.

Good to know: A rental car without a deductible is another way of saying a rental car with reimbursement of the deductible.

What do I have to consider in the case of damage?

Whether you have a rental car with or without a deductible, you should always document any damage as precisely as possible. Take photos or videos of the damage to ensure you will have meaningful evidence in the case of a dispute. Demand a damage report from the car rental company.

If the car rental company charges you for damage, you can contact us after the rental period. We will support you in the settlement claim for the damage.

Does the deductible also apply in the case of a small scratch?

There are no general regulations as to which damages are affected by the deductible. It is advised to read about this in the insurance conditions. In most cases, small scratches, which can be repaired easily and quickly, are covered by the insurance.

Car rental without a deductible: What are the options in Canada and the USA?

In some countries, it has long been standard practice that only fully comprehensive insurance without a deductible can be purchased. This includes the USA and Canada. Most car rental companies in these countries only offer rental cars without deductibles.

Who pays for the damage to the other parties involved in an accident?

If you are involved in an accident with your rental car, it must first be clarified whether you or the other party is responsible for the accident. Usually, however, fully comprehensive insurance is not responsible for this. In the case of an accident, the damage to the opposing vehicle is usually covered by liability insurance.

Are accidents on private property covered?

A conventional, fully comprehensive insurance usually does not cover accidents that occur on private premises. Please refer to the respective rental and insurance terms and conditions for information on how various accidents are covered.