Fee Fighters: How to beat crazy rental car hire insurance fees

Adding insurance to the cost of a rental car can double the price, but it doesn’t have to. Find out how to protect yourself from financial damage here.

Insurance on a rental car can now be more expensive than hiring the vehicle itself.

But it doesn’t have to be that way.

Analysis by News Corp Australia shows that adding insurance to the cost of renting a Hyundai Elantra for a week doubles the price.

For example, through Hertz, intermediate vehicles are available for $316 per week, whereas its “SuperCover” product is $322.

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However, there are alternative insurance options offered independently of car rental agencies that are substantially cheaper.

For $150 a week, TripCover offers car rental excess insurance that would cover the $4800 excess on damage to that Elantra.

It’s worth looking at other insurance providers for quotes outside of the rental car provider. Picture: Istock

And for $82 a week, 1Cover provides much broader travel insurance for a family of four within Australia, including protection against rental vehicle excess. This cover does come with an excess of its own, but it is only $200.

While much more affordable, these options are not as convenient, according to experts at Choice.

If you are in an accident, you may have to pay the car hire company for the damage and then claim back the cost from your chosen insurer.