loss damage waiver (LDW) (2024)

FAQs

Is damage waiver enough? ›

Damage Waiver protects you in the event of damage to or theft of the vehicle and lowers the amount you are liable for. It may be included in the cost of your hire and have an excess dependent on the vehicle category. It means your financial responsibility is limited should something go wrong.

A CDW may also be worth considering if you: Simply want to be sure you're not responsible for any extra charges due to vehicle damage. Don't want the hassle of identifying coverage gaps in your auto insurance and credit card coverage.

What is a Loss Damage Waiver? A Loss Damage Waiver, or LDW, is the same thing as a CDW; it's an insurance option car renters can pay for that will waive your financial responsibilities in the event of an accident. For the CDW to remain in effect, you need to abide by the rental agreement's terms and conditions.

If you purchase the LDW, it typically relieves you of financial responsibility for theft or damage to the rental car, subject to certain terms and conditions. Therefore, if something is stolen from your rental car, the LDW can cover the loss and you may not be liable for the full cost of the stolen item.

Depending on where you're renting the vehicle, the CDW may not cover interior damage to the car; lost, damaged or stolen keys or devices; or it may contain other exclusions. With some rental companies, a CDW excludes damage to the windshield, tires, and mirrors.

Damage Waiver Fee: The renter pays a fee for the damage waiver insurance, often calculated as a percentage of the rental cost (10-15%). Coverage: During the rental period, the equipment is covered by the insurance policy.

Minor damage to a rental car, such as scratches, dents, or a chipped windshield are covered by the Damage Waiver. The Damage Waiver is an optional protection product you can purchase with your car rental.

Does the Loss Damage Waiver cover glass and tires? Accidental damage to glass and tires is only included in the Loss Damage Waiver with minimum financial responsibility. Certain exclusions apply.

What's the difference between LDW and CDW? CDW covers damage to the rental vehicle in case of an accident. LDW offers the same protection, as well as coverage if the car is stolen. Since these terms are sometimes used interchangeably, pay attention to the fine print to know what kind of coverage you're getting.

Rental Qualifications and Requirements

This protection also covers tires and broken windshields only if these damages are not caused by vandalism. The LDW does cover total theft, hit and run, collision against fixed objects, animals and rollovers with a deductible of $2,000 (plus tax) in all categories of our fleet.

Does LDW cover rims? ›

LDW (Loss Damage Waiver)

This protection does not protect the customer for damages to the windows, tires and rims.

A Loss Damage Waiver (LDW) waives or limits your liability when a car you have rented is lost or damaged. You benefit from maximum protection as long as you comply with the Avis rental agreement. Renters who have paid for an LDW will not have to cover expenses related to the car's damage.

Damage waiver (DW) or, as it is often referred to, collision damage waiver (CDW) or loss damage waiver (LDW) is a term that can be included or purchased as an option in a car rental agreement, by which the rental company waives the right to pursue compensation from the renter if the vehicle is damaged or stolen.

When you hire a car, cover often called a 'damage waiver' is usually included. However, even though this is in place, you're still liable to pay the first part of the claim – the 'excess'.

Rental car insurance can be expensive — it can easily double your rental costs if you purchase a full coverage package. You also technically don't need to purchase insurance since rental cars are automatically covered for the minimum requirements in their state. However, it can still be worth it in some situations.

A damage waiver fee is a non-refundable payment—paid for by the guest—which covers minor, accidental damage in a vacation rental. It's included in the overall cost of the rental and requires guests to report any damage to the property manager or host in order to be covered.