Ernesto, appearing on its weekly Home & Family Finance Show, gave great advice on what travelers should be aware of when they're renting a car and how to cut through the jargon at the rental desk.
If you haven't got time to listen to the full interview, which can be listened to here (around 18:30 mins in), then have a look at the Q&A below:
- 1) Why should rental car drivers consider purchasing independent insurance instead of using their auto insurance policy, credit card cover or buying from the rental desk?
- "If you rely on your auto Insurance when renting a car and you do have to claim, then you risk your premiums going up.
"Or if you're relying on your credit card cover, you must ensure that you book the rental car using that credit card (& know what cover it offers). Also 65% of rental car drivers are unaware that this is often only secondary cover. This means that it pays only what can’t be recovered from other insurance held by the driver, which could mean a big hit on your regular auto insurance.
"When it comes to the policies offered at the rental desk. Nearly half (46%) of rental car companies are charging over $175 for a week’s Collision (CDW) and Loss Damage Waiver (LDW). This is over $157 more than a standalone policy from an independent company like Insuremyrentalcar.com which charges from only $17.50 for a single trip policy (up to 31 days in length) - this is ten times cheaper! "
- 2) What are your top tips on how to save money when renting a car?
- Check car for damage
"Always check your car for damage before you drive away, including the wheels and tyres, as these are areas that are often not checked, but often claimed for. Take photos of all the existing damage and make sure that it is noted down by the rental company.
"Also make sure that your car is checked back in by someone from the rental company, and ideally take photos to prove that you left it undamaged.
"The cost of the ‘extras’ at the rental desk can sometimes double if not triple the cost of the actual car rental. I urge drivers to
- Use your own child car seats – Prices range from $63 to $91 for a week’s rental.
- Bring your own GPS – Expect to pay around $70- $90.