Renting a car for the holiday is expensive enough, but with a credit card for self-insurance on a rental car, you can peel off thousands on the bill.
A car is a preferred means of transportation for many Norwegians, also when they are abroad. If you are travelling by plane, it goes without saying that you do not take the car, so then a rental car applies, and everything that goes with it.
Most of the rental companies prefer to buy all of the supplementary insurance when you rent a car, but the only insurance you actually need is self-insurance for a rental car. Cash and liability insurance is usually included in the price.
This self-insurance is an insurance that the leasing company itself offers you when you sign a rental agreement. This usually costs a certain amount for each day you want to rent the car, and it may amount to large amounts during a rental period. The head of the consumer portal, Dinero.no, Anders Fagereng,believes credit cards with the insurance provide good coverage at a lower price.
‘’Instead of taking out insurance with the rental car,we recommend to check if this is an insurance policy that you have included already in your credit card.
Since the summer of last year, nearly ten credit cards have added the insurance in the agreement,’’ he said.
Dinero.no has reviewed the terms of all credit cards in Norway, and according to their analysis, close to 30 credit cards offer this insurance, either included in the card’s travel insurance, or as a cheap supplementary insurance.
‘’With car rental companies like Hertz and Europcar,the insurance costs between 1500 and 1900 kroner per week. By comparison, the most expensive credit card insurance costs 249 kroner a year,’’ said Fagereng.
As mentioned earlier, there are approximately 30 different credit cards that have self-insurance for rental cars in one way or another included in their agreement. Dinero.no has compared the terms of all these insurance policies, and in their table you can see, for example, how much the insurance covers,how long it is valid and how much it costs per year.
As mentioned initially, car and liability insurance is usually included in the rental price. The proprietary insurance, on the other hand, covers expenses associated with deductibles if you should be so unlucky as to damage the rental car or if it gets stolen.
The equity will usually be between 6000 and 20,000 kroner,depending on which car you rent and who you rent it from. The proprietary insurance may cover all or part of this insurance.
As the table shows, many credit cards have insurance included in travel insurance. It is usually required that you pay at least half of the cost of travel for the trip with
the same credit card, and it is often required that you use the card to pay for the rental car as well.
‘’Sign up for the terms of your card before renting a car.
This way you are prepared for what it covers (or not),how many days it is valid, and what it takes for it to come into effect,” said Fagereng.
Source: Dinero.no/ Norway Today