Does travel insurance cover a rental car?

You've planned your itinerary, booked your flights, purchased travel insurance, and finally arrived at the rental desk to collect your car. As the vehicle protection options are explained to you, a common question arises: "But I already have travel insurance. Isn't that enough?"

In most cases, the answer is no.

This is one of the most common misconceptions among people hiring a car for a holiday or business trip. Although both are designed to give you peace of mind, travel insurance and rental car protection are designed to cover different types of risk. Understanding this distinction before setting off can help you avoid unexpected costs and travel with greater confidence.

Travel insurance is designed to protect the traveller, not the vehicle they are driving.

Depending on the policy you purchase, it may cover overseas medical expenses, travel assistance, trip cancellation or interruption, delayed or cancelled flights, lost or delayed luggage, personal liability, and other unforeseen situations that may arise during your journey.

It is an essential safeguard for anyone travelling, particularly abroad, where a medical emergency or an unexpected change of plans can result in significant costs.

However, many travel insurance policies do not replace the protection purchased through the car rental company for damage to, theft of, or incidents involving the hired vehicle. In other words, travel insurance protects the traveller, but it should not be regarded as a substitute for the protection included in the rental agreement.

When you collect a rental car, specific protection options may be available as part of the rental agreement. These are designed to define the customer's financial liability in the event of damage, theft or other incidents covered under the contract.

Among the best-known are Collision Damage Waiver (CDW), which relates to damage to the vehicle, and Theft Protection (TP), which covers the theft of the vehicle, always in accordance with the terms and conditions of the rental agreement. These protections operate independently from your travel insurance and apply solely to the rental vehicle.

Depending on the level of protection selected, they can reduce the customer's financial liability in the event of an accident, damage or theft, allowing you to travel with much greater peace of mind.

In simple terms, travel insurance protects the traveller, while rental protection protects the vehicle.

There is, however, one possible exception worth considering. Some premium credit cards may include cover for rental vehicles, often provided through CDW or Loss Damage Waiver (LDW) benefits.

Even so, this protection is usually subject to a number of conditions. In many cases, both the reservation and payment for the rental must be made using the eligible credit card for the cover to apply.

There may also be limits on the maximum amount covered, the length of the rental period, the categories of vehicles included and the countries where the cover is valid. It is also common for providers to impose strict deadlines for reporting a claim and submitting the required documentation.

For this reason, before travelling, check exactly what your credit card covers, including exclusions, excess amounts, claim deadlines and required documentation.

At Guerin, you can choose the level of protection that best suits your trip and the level of reassurance you are looking for.

The Essential Pack may be a suitable option for customers looking to enhance the standard rental cover, with the added benefit of a reduced excess and security deposit, subject to the product terms and conditions.

The Protection Pack provides a more comprehensive level of cover, including a €0 excess, a reduced security deposit, Windscreen and Tyre Protection and TOP Roadside Assistance, in addition to the other cover included in the pack, subject to the applicable terms and conditions.

For customers looking for a more complete solution, the Super Protection Pack includes all the cover provided by the Protection Pack, together with additional services and benefits, such as Cross-Border cover, subject to the applicable terms and conditions.

Travel insurance and rental protection are not alternatives to one another. They complement each other.

While travel insurance protects your health, your luggage and other travel-related risks, Guerin's protection packages help define your financial liability should an incident involving the rental vehicle occur, always in accordance with the rental agreement.

By combining both forms of protection, you can reduce your exposure to unexpected costs and enjoy your journey with greater peace of mind.

Before your next trip, check exactly what your travel insurance covers, review any credit card benefits and choose the Guerin protection package that best matches your itinerary.