Pros of Having LDW
- Loss Damage Waiver (LDW) can take the guess work out of what may be covered by your other insurances policies
- Purchasing a LDW along with the coverage provided by your auto insurance to provide all points covered approach and provides peace of mind
- If any damage occurs to the rental vehicle with the LDW you just return the vehicle and continue your trip without interruption, none of your funds are put on hold for repairs
Cons of Not Having LDW
- Auto Policies, in some states, may only cover to a dollar limit and rentals of upscale SUV or sports cars may be over the limit if damaged
- Auto policies may not cover the rental company’s loss of rental income on the damaged vehicle
- Coverage for diminished value claims may not be covered
- In some states auto policies may exclude mobile homes, moving trucks and motorcycles
- In the case of damages, your credit card may be tied up for the value of the damage to vehicle until the loss is settled
General Tips
Be sure to read the rental agreement as failing to follow it can void the LDW.
Examples are :
- All drivers of the vehicle must be authorized to operate the rental vehicle
- Driving on unpaved road or off road is prohibited (Common in state or national parks)
- When booking a car through a third party online (Such as Orbitz or Expedia) be aware the LDW offered online may not be the same no-liability warranty as is offered directly from the car rental agency
