Travel for Food Hub The Food Blog for Travel Lovers
Last Updated on June 26, 2023
Rental Car Insurance in Hungary can provide peace of mind while using a rented car on a tourist trip. It is always a great opportunity to better learn about the country, its sights, and surroundings, and not to depend on the timetables of local transport. Plus, having rental car insurance can save you a lot of time and money in case of any unforeseen circumstances on the road.
The best way to discover Hungary is by renting a car. Nowadays, this service is an easy and affordable way to get around. But do not forget to make it as safe as possible and buy an insurance policy.
Can I Drive a Rental Without Insurance?
To use the car rental service in Hungary, it is not enough just to provide the necessary documents and pay the indicated amount. You will have to purchase car hire insurance Europe Policy. It is not obligatory to buy a policy in advance.
In many cases, you can use your personal car insurance as it often includes coverage for rental cars or use protection offered by your credit card provider.
If you do not have any of these options, you should know that rental companies add some basic policy in the lease agreement by default. But sticking solely to this solution may end up in a huge bill in the case of an accident. Let’s see what pitfalls can await you.
What Does Collision Damage Waiver Mean?
CDW policy will reduce your financial liability in the event of damage to a rental car. It means that the renter’s liability will not exceed a fixed amount specified in the agreement. Usually, it is between €500 and €1000 (depending on the type of car).
As a rule, it does not include protection for windows, tires, bottom and a bunch of other things. To find out what damage will have to be paid from your pocket, read the Terms and Conditions very attentively before signing it.
Is There a Difference Between CDW and LDW?
Roughly, both options are almost the same. However, CDW does not include theft coverage. And some offices sell LDW insurance that can be roughly explained as a combination of CDW and TP.
So if you want to protect yourself not only from car damages but also against its theft, LDW is a more suitable option.
Protection Against Theft
TP, as its name suggests, is theft insurance. It is not the most demanded service when traveling in highly-developed countries, but by no means it is redundant in less safe locations.
It should be understood that this policy will still keep you respond to a certain degree for a car replacement.
It always includes the deductible, an amount that will be charged from the client directly with no compensation.
What Is Deductible?
The deductible or excess is the insurance deposit that the rental company will block on your card until the car is returned.
This amount can reach even €1000 for economy class cars. So if your insurance comes with the deductible, be prepared for a very thorough inspection of the car you are going to rent. It is advisable to record absolutely all scratches and even take pictures of these.
It will devoid you of many potential issues when returning the car, and you will not be forced to pay for the damage. Even minor damages may cost you a fortune when it comes to a rental car.
Super CDW Explained
There are also options for insurance without any deductible – this is so-called full insurance, for which 100% of the costs of the insured event is borne by the company. Such a policy comes under different titles – Super CDW (SCDW), Full Collision Damage Waiver (FDW, FDCW), or quite simply – SuperCover.
Of course, such insurance will cost significantly more than basic policies. But it will make you confident that you will not incur any expenses in case of an accident.
Rental companies are not interested in this type of policy, and they will charge you a crazy price for insurance with zero deductible. So it may be reasonable to buy Super CDW from a stand-alone insurer.
Wrapping up
Buying an insurance policy is only a precaution measure that can save you a lot of costs and nerves in the case of an accident.
But it does not mean that the event will happen at all. The main thing is to learn the traffic rules in Hungary well in advance of your visit and keep to them during the trip.
