I recently took out a car hire excess reimbursement policy from a reputable third party insurance company (AIG). The policy states that CDW is required in order to receive reimbursement for a claim. The exact wording is as follows:
Section A – Accidental Damage, Theft & Loss of Use We will pay up to the amount shown in the table of benefits for the excess for which you are liable to pay under the terms of the car rental agreement as a result of: o accidental damage; o fire; o vandalism; o theft; and o damage to your rental car’s windows and tyres, the undercarriage and the roof.
What you are not covered for under section A 1. Any claim where the policyholder has not accepted the rental company’s insurance (Collision Damage Waiver) at the rental counter or where insurance (Collision Damage Waiver) is not included in the total price of the car rental agreement
It seems contradictory that I should have to purchase CDW from the car hire company in order for a third party insurance company to cover the excess of a claim. Why purchase the insurance from the car hire company which guarantees coverage with no excess and then purchase it again from a third party insurance company?
Am I missing something here?