January 1, 2010, Newsletter Issue #198: Rental Company Car Insurance: Collision Damage Waiver (CDW) Coverage

Tip of the Week

The Collision Damage Waiver (CDW) Coverage offered by rental car companies provides 24-hour coverage for any collision or theft that occurs to the rental car up to the cash value of the car itself. The terms and conditions of the CDW vary widely from company-to-company and from state-to-state.

If you have auto insurance for your personal auto and/or have homeowner's insurance coverage, you may not need to purchase rental car company insurance. If you do not have car insurance, check with your major credit card company to see what auto insurance they provide.

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