Reducing your Rental Car Insurance Excess in Australia

​This information is for customers collecting a car hire in Australia. For information about car rental insurance in other countries, see the following links: New Zealand​, Canada​, United Kingdom​, United States​.

VroomVroomVroom have partnered with Prosura to offer a tailored Rental Vehicle Excess (RVE) Insurance product to our Customers. The global insurance company, Pacific International, underwrites the RVE Insurance product provided by Prosura.​

What is Car Hire Excess Insurance in Australia?​


​Option 1: Purchase Rental Vehicle Excess Insurance​

Prosura is here to help make your car rental experience as easy and enjoyable as possible, the kind of assurance we all want when travelling on the road.​

Alternatively, you can visit prosura.com​ to learn more​.

Pros:

  • Provides cover for excess charged by all licensed car rental companies, including all suppliers on this website.
  • Provides excess insurance cover for drivers of any age as long as they have a valid driver's license and can rent a car.​
  • Provides excess insurance cover for damage to rental vehicles, as well as any liability for single vehicle accidents.
  • Provides excess insurance cover for cars, four wheel drives, mini buses, people movers, campervans and motorhomes that do not exceed 4.5 tonnes.​
  • Provides cover for damage to windscreens, tires, glass, undercarriage & overhead damage.
  • Provides cover for towing and relocation costs to the nearest premises owned by the Rental Provider.
  • Provides cover for fees resulting from misfuelling by filling the vehicle with the incorrect type of fuel.
  • Provides cover for fees resulting from vehicle key loss, including repairs, replacement and lock out.​​​
  • Provides cover for all travelers within Australia from any residency.
  • Make sure to read the Product Disclosure Statement​ carefully for a list of full terms and conditions.​



Cons:

  • Just like any other travel insurance policy, this specialised Rental Vehicle Excess (RVE) Insurance product provides reimbursement for out of pocket expenses. Should an incident occur, the rental car company will charge your credit card (capped at your excess value) and you would then submit a claim to Prosura for assessment and reimbursement.

Total Cost:

From $17.15 per day (plus local taxes surcharges) with $0 excess. Price depends on your trip duration.


​Option 2: Purchase Excess Reduction or Collision Damage Waiver at the Rental Desk​

Pros:

  • You don't need to wait while the travel insurance company refunds the excess.
  • Purchase can be made at the same time that you collect your rental car.

Cons:

  • Much more expensive than other options.
  • Excess Reduction, Collision Damage Waiver (CDW) or Loss Damage Waiver (LDW) is not actually insurance cover. It is a fee paid directly to the car rental company in exchange for them charging your credit card a reduced excess or nil excess in the event of an accident.
  • These products often exclude cover for damage to important items such as:
    • the undercarriage;
    • tyres;
    • windscreen; and
    • single vehicle accidents (SVAs).

Total Cost:

$22 - $50 per day, depending on the supplier and car type (plus local taxes surcharges).
See excess reduction information for: Avis supplier logo Budget supplier logo Thrifty supplier logo Europcar supplier logo Hertz supplier logo Enterprise supplier logo


Option 3: Choose to do nothing​

Pros:

  • Car rental companies usually have blanket insurance policies that cover their entire fleet of vehicles. These policies cover any damage incurred to third party property and vehicles; above the excess amount they charge you the customer.
  • Choosing to reduce your risk by purchasing Rental Vehicle Excess Insurance or Collision Damage Waiver from an insurance company or car rental supplier is entirely your choice. It is not a legal requirement.

Cons:

  • In the event of an accident (major or minor), suppliers will immediately charge your credit card a maximum damage excess fee of between $3,350 and $9,000
    depending on the car type and the supplier.
  • You will have no further recourse other than to pay the full amount of the damage up the excess amount.

Total Cost:

$0 per day but up to $8,250 in the event of an accident.


Prosura Pty Ltd ABN 59 638 142 720 is an authorised representative of AI Insurance Holdings Pty Ltd ABN 78 135 243 364 AFSL No. 379465. This product is issued and managed by Prosura as agent for the insurer Pacific International Insurance Pty Limited ABN 83 169 311 193. We do not provide any advice on this insurance based on any consideration of your objectives, financial situation or needs. Before making a decision please consider the Product Disclosure Statement​ available on this website. If you purchase a policy, we receive a commission which is a percentage of your premium - ask us for more details.