Hiring a car on your domestic or international holiday can make things much simpler when it comes to getting from A to B in a foreign city and helps you avoid confusing public transport. However, getting in an accident could leave you with a bill worth thousands of dollars, so you can take out travel insurance with hire car excess cover to protect you.
Savvy is partnered with some of Australia’s leading insurers to help you compare some of the top policies available right now with cover for any hire car excess you’re charged. You can compare your options and start the quote process with us today to help you find the best travel insurance for car hire excess cover.
Does travel insurance provide car hire excess cover?
Yes – when you take out a comprehensive travel insurance policy, you’ll almost always be able to access cover for a hire car excess on your domestic or international holiday. This will either come as part of the main coverage offered by the policy or as an optional extra which you’ll have to pay an additional premium to have this included under your policy. It’s important to compare policies between providers to help you find one which won’t cost you too much to add to your travel insurance.
Rental car excess cover in Australia will usually come with an automatic maximum claim limit of around $5,000, but this may reach up to $8,000 or more in some cases. It’s worth looking at the type of car you’re looking to hire at your holiday destination and checking with the company how much the excess will cost if you’re required to pay it. This will help you ensure you have adequate coverage in the event you need to make a claim.
What is and isn’t covered by hire car excess travel insurance?
In terms of what hire car excess insurance covers under your policy, you can claim for the following incidents:
- Your car is damaged in an accident which is your fault
- Your car is damaged in an accident which you’re at fault for
- Your car is stolen whilst you’re renting it
- You’re deemed unfit to return your rental car and are charged a fee for the company to do so themselves
However, it’s also crucial to know what isn’t covered by your policy so you can avoid any rude surprises when you go to make a claim. Some of the incidents in which your rental car excess won’t be covered by your travel insurance include:
- You broke local laws when the accident took place
- You were driving under the influence of alcohol or drugs
- You were driving without the required licence
- You break your rental agreement with your car hire company
- Your car is stolen after being left unlocked
- A driver not listed on your rental agreement is involved in the claim
- The damage sustained was on an unsealed road and not cement or tarmac
- You failed to take out vehicle insurance or a damage waiver with your car hire company
It’s important to note that while personal liability cover is offered by travel insurance up to $5 million in most cases, this generally won’t cover you if you’re involved in a road accident. The required vehicle insurance in the country to which you’re travelling should be arranged by your car hire company.
How else should I compare travel insurance with hire car excess cover?
There are many other ways you can go about comparing travel insurance policies beyond hire car excess cover. While it’s important to access cover in that area if you’re planning to rent a vehicle on your travels, you should also consider a range of factors before coming to your final decision on which is the best travel insurance policy for your needs. These factors include:
- Inclusions and exclusions: always make sure you’re taking out sufficient cover before buying your policy. While comprehensive policies will generally cover medical and cancellation costs, personal liability, lost or damaged personal effects and other costs relating to trip delays and resumption, it’s worth reading the PDS to find out what travel insurance covers and what it doesn’t.
- Cost of premium: you should avoid paying more than necessary for your travel insurance policy, so comparing travel insurance quotes will help you choose one with suitable coverage at the right price.
- Claim limits: the maximum you can claim for particular events will vary between insurers, so it’s crucial to compare this factor so you aren’t caught short. For example, while some policies only offer $5,000 worth of personal effects cover, others offer up to $15,000.
- Age limits: if you’re a senior traveller looking for insurance, make sure the insurers you’re comparing can offer you a policy. Age limits for policies and specific coverage start as early as 65 to 70 years old, but many insurers can offer coverage to those aged 100 or older.
- Optional extras: if you’re looking to go on some adventures while away from home, such as skiing cover, make sure they can be covered by your insurance. Most providers will offer specific adventure activity coverage either as part of their main cover or an optional extra. Other extras can include things like cruise cover (although this can also form part of the main policy).
Types of travel insurance
International travel insurance can offer cover for a range of events, including medical expenses, lost luggage or items, cancellation fees and more when you're overseas and a long way from home.
If you're journeying within Australia, domestic policies are designed to offer many of the same protections as international travel insurance (with the exception of medical expenses).
The most standard and common type of travel insurance, this policy can cover you for one trip starting and ending in Australia (and is available for both international and domestic travel).
As the name suggests, this type of travel insurance covers multiple trips over a 12-month period. Depending on your insurer, you may be able to take an unlimited number of trips up to 90 days each.
You don't have to have a return ticket booked to take out cover while you're overseas. One-way travel insurance enables you to access cover without a set end date, such as if you're moving temporarily.
You may need to take out specialist coverage if you're setting sail on a cruise. Fortunately, cruise insurance can cover emergency evacuation, cabin confinement and more.
Just because you're older doesn't mean travel insurance isn't still important. If you qualify for cover, seniors' travel insurance can offer greater peace of mind for included events while you're travelling.
Adding winter sports or ski cover to your policy can add protection against damage to your equipment, piste closure due to bad weather and activities such as back-country skiing, heliskiing and more.
Looking to enjoy some adventure sports on holiday? An adventure sports pack can grant you cover for a range of activities, such as hiking, scuba diving and motorcycle or scooter riding.
Jetsetting with the whole clan in tow? Some insurers offer family travel insurance, which enables you to include yourself, your partner and your dependent children under one policy to help you save.
If you're travelling interstate or overseas with your partner (or simply another friend or family member), you may be able to access a discount by taking out a joint or duo travel insurance policy.
Why compare travel insurance with Savvy?
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We do not compare all travel insurance brands currently operating in the market. Any advice presented above or on other pages is general in nature and does not consider your personal or business objectives, needs or finances. It’s always important to consider whether advice is suitable for you before purchasing an insurance policy.
Savvy earns a commission from our partners each time a customer buys a travel insurance policy via our website. We don’t arrange for products to be purchased from these brands directly, as all purchases are conducted via their websites.
Before purchasing your policy, we recommend you refer to the provider’s PDS for any further information on the terms, inclusions and exclusions.