4. Collision Damage Waiver (CDW)
: This is the pricey insurance replacement you’re hammered with whenever you rent a car. If you’re not fully insured in rental cars, some type of protection is absolutely necessary. But CDW makes the list of insulting fees because it’s overpriced: It can cost $25 a day. Add extra liability coverage, and you could be paying $40. That’s the equivalent of a car policy that costs $14,600 a year, with lousy coverage. For example, CDW often refuses to pay if there’s an unauthorized driver, you’re intoxicated or in other situations. Workaround
: If you have full-coverage insurance on your personal car, you’re probably covered in rentals. There’s also coverage available through some credit cards as well. Check both sources to see if you can skip this overpriced coverage at the rental counter. Be aware, however, that even if you have insurance on your car, you could still be on the hook for “loss of use” claims by the rental car company if you have an accident that takes the car out of service.
If you’re using a credit card protection plan, be aware that not all rentals are covered. For example, pickups and vans are often specifically excluded. The devil is in the details – don’t leave home without them. And don’t buy any coverage at the rental car counter without fully understanding the exclusions.
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: 7 Ways to Radically Reduce Your Restaurant Checks 10 Money Mistakes That Can Ruin a Marriage 21 Things You Should Never Pay For The opinions expressed are solely those of the author and do not necessarily reflect the views of Comcast.