The right car hire excess policy could help you save money by covering the high excesses charged by car rental companies.

Most hire companies set an excess for minor damage, which could cost as much as 1,000. For example, knocks or scratches, even if the damage is not your fault.

Check the excess on your car hire agreement. If it is more than you could afford to pay if the car was damaged, you may need an excess insurance policy to cover the cost.

How to get the cheapest cover

Avoid buying excess insurance from your car hire company, because you can usually get a better deal by shopping around.

Check that buying separate excess insurance does not break the terms of your hire car agreement. If it does, it could mean any claims you make will not be paid.

Use this comparison to get quotes from different insurers, so you can get the cover you need at the cheapest price. You should compare the:

  • Policy type: You can choose between daily and annual car hire cover. If you rent a car for a short time, daily cover is cheapest. However, if you regularly hire cars, an annual policy could save you money.

  • Maximum cover: This is the most an insurer will pay out if you claim, so choose enough to cover your car hire excess. If you take out annual cover, consider a higher limit in case you need to claim more than once.

  • Cost: Depending on the type of cover, this will be charged daily or annually. If you need an annual policy, you may be able to split the premium by monthly direct debit, although this may cost more.

Car hire excess insurance FAQs

Q

Do I have to buy excess insurance from my hire car company?

A

You can buy cover from any insurer, but check the terms of your car hire agreement. Claims may not be paid if you break the terms of your contract.

Q

Does it cost to claim on my excess insurance?

A

No, you do not have to pay to claim on an excess insurance policy.

Q

How many times can I claim?

A

It depends on your policy. Some insurers offer unlimited cover, but others put an overall cap on how much you can claim for during your policy period.

Q

Can I get cover for a motorhome?

A

Yes, as long as you buy a policy that includes motorhome cover. Use this comparison to find a policy that can cover hired motorhomes or campervans.

Q

Are cars hired for business use covered?

A

Yes, if you select the business use option when taking out a policy.

Q

Am I covered if I use the car abroad?

A

Yes, most policies include worldwide cover. However, you should check the policy documents as there may be limits, e.g. no more than 30 days.

About our excess insurance comparison

Q

Who do we include in this comparison?

A

We include car hire excess insurance policies available from our panel of insurers and brokers. They are all regulated by the Financial Conduct Authority (FCA). Here is more information about how our website works.

Q

How do we make money from our comparison?

A

We have commercial agreements with some of the companies in this comparison and get paid commission if we help you take out one of their products or services. Find out more here.

You do not pay any extra and the deal you get is not affected.