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Some rental car agencies are now renting out hybrid cars. And you might think this is an exceptional thing for a car rental agency to do, but it also costs the auto rental agencies more to rent these types of cars for several reasons. The first reason is return on investment; hybrid cars generally cost $15-$20,000 more than regular cars of the same type, style, and size. Plus, they are higher on maintenance, and there are more things to go wrong because on a hybrid car you have an electrical system, and extra components, as well as a regular motor. They are very complex vehicles, and they have to deal with Murphy’s Law.

Some car rental agencies in the big cities offer all electric plug-ins as part of their rental car fleet. This is also quite challenging because someone that doesn’t drive and all-electric car may not realize that it’s easy to run the battery down, and not be able to plug it in somewhere. And not all the hotels have places to plug in. Therefore people get stranded, and they have to have the vehicle towed back to the rental agency. This causes an angry customers due to additional fees and charges on their credit card and a whole lot of hassle for the rental car agency. Continue reading »

 

Collision Damage Waiver (CDW) Insurance (which may also be referred to as Damage Waiver Insurance) is a type of rental insurance which covers the hirer against paying an excess payment in the event of damage to the hired vehicle. The excess amount is typically a few hundred Euros for a small car, rising to as much as one thousand Euros for larger rental vehicles such as 7 seaters and minibuses.

Although some rental vehicle policies include “zero excess” or “full cover”, the price of the rental contract usually reflects this. Many people will look to find the cheapest possible quote, and not pay for any additional insurance. CDW cover can add as much as 20% to the total car rental quote.

In Europe most countries will require that the vehicle has 3rd party insurance by law, so the lowest quote prices are likely to be 3rd party, fire and theft with a high CDW excess figure. By purchasing CDW insurance for the rental vehicle, the hirer will not be liable to pay the excess figure in the event of damage to the vehicle. Continue reading »

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