A collision damage waiver (CDW) is additional insurance coverage offered to an individual renting an automobile. … The waiver typically covers losses from the theft of or damage to a rental car but is unlikely to cover bodily injury caused by an accident.
Should I get CDW when renting a car?
CDW stands for Collison Damage Waiver, and while this might appear to be one of the more expensive insurance options for your car rental, it is definitely the most effective, most comprehensive, and will save you from a serious headache should you get into an accident while driving.
How does Collision Damage Waiver work?
A Collision Damage Waiver (CDW) is an optional service sold by rental car companies to cover you in case of an accident or damage to your rental car. The collision damage waiver covers only the rented vehicle and means that the rental company waives its right to pursue you for damage.
What is difference between CDW and LDW?
Collision Damage Waiver (CDW) provides cover if there is damage to a rental car through an accident. LDW on the other hand, is a combination of CDW and Theft Protection, which means that you will be covered for car replacement if your rental car is stolen during the period of your rental.
How much does CDW cost?
Nothing is as expensive, or as confusing, as the CDW, or collision damage waiver (sometimes called the LDW, or loss damage waiver). Agents are trained to make this rental car insurance, which typically costs $20 to $30 a day, sound nonnegotiable. You probably don’t need it.
What happens if you damage a rental car?
When a rental car is damaged, “loss of use” charges are applied to cover the potential revenue lost when the vehicle is off the road for repairs. This is typically charged in the amount of a day’s rental for that vehicle, and most auto insurance companies do not cover this fee.
Should you buy insurance when renting a car?
No, you do not need insurance to rent a car because rental companies have their own insurance that covers their rental cars. … Many major credit cards also offer coverage for rental cars if you pay with your card and decline the collision damage waiver offered by the rental company.
Does my credit card cover collision damage waiver?
Credit card coverage mostly applies to what’s called a collision damage waiver or loss damage waiver, typically the most expensive coverage offered at the rental counter. Cards also usually include some coverage for towing expenses and administrative fees.
What happens if you damage a rental car without insurance?
If the accident was your fault, you’re responsible for damage to the rental car and for any liability issues. In the event you are not at fault, your rental company will work directly with the other driver’s insurance company. … Note that it is usually illegal to drive a rental car without any insurance coverage.
Does collision damage waiver cover scratches?
Yes, a collision damage waiver covers scratches on a rental car. A collision damage waiver is an optional rental car insurance add-on that covers most damage to a rental car, from damage caused by a crash to cosmetic damage from a scratch.
Do you need CDW insurance?
Buying CDW coverage can save you money if your rental car is damaged. If you do not purchase CDW coverage and something happens to your rental car, you could end up paying the rental car company a lot of money. … You may also have to pay the rental car company for the loss of use of that car while it is being repaired.
What does CDW stand for?
It later became Computer Discount Warehouse and then simply CDW. In early 2006, CDW opened a 513,000-square-foot (47,700 m2) distribution center in North Las Vegas, Nevada.
What is damage waiver CDW LDW?
Damage waiver or, as it is often referred to, collision damage waiver (CDW) or loss damage waiver (LDW), is optional damage insurance coverage that is available to you when you rent a car. Car rental companies treat the CDW as a waiver of their right to make the renter pay for damages to the car.