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Car Rental Insurance in Ireland: CDW, Excess & What You Actually Need

Understand Irish car rental insurance: CDW, excess waivers, third-party coverage, and how to avoid paying for protection you don't need.

9 min readUpdated 2024-02-01

Car rental insurance in Ireland is confusing by design. Rental companies profit from uncertainty, and many travellers end up paying for coverage they don't need—or worse, declining coverage they do need. This guide cuts through the jargon.

The Three Types of Coverage

1. Collision Damage Waiver (CDW)

What it is: Despite the name, CDW is not insurance. It's an agreement where the rental company waives their right to charge you the full cost of vehicle damage.

What it covers:

  • Damage to the rental vehicle body
  • Collision damage from accidents

What it doesn't cover:

  • Tyres and wheels
  • Windscreen and glass
  • Undercarriage damage
  • Interior damage
  • Roof damage
  • Loss of use while vehicle is repaired

The catch: Even with CDW, you're liable for an "excess" (deductible) of €1,000-€3,000 if damage occurs.

2. Theft Protection (TP)

What it is: Limits your liability if the vehicle is stolen.

Important in Ireland: Vehicle theft is relatively rare, but theft protection is usually bundled with CDW in standard rental packages.

The catch: Like CDW, there's usually an excess amount you'd pay.

3. Third-Party Liability

What it is: Covers damage you cause to other vehicles, property, or people.

In Ireland: This is legally required and always included in your rental. You don't need to purchase it separately.

Understanding the Excess

The excess (called "deductible" in North America) is the amount you pay before coverage kicks in.

Typical Excess Amounts

Vehicle Type Standard Excess
Economy car €1,000-€1,500
Compact/Mid-size €1,500-€2,000
SUV/Premium €2,000-€3,000
Van/7-seater €2,500-€3,500

How It Works

If you damage the car and repairs cost €800:

  • With €1,500 excess: You pay €800 (full amount, under excess)

If repairs cost €2,000:

  • With €1,500 excess: You pay €1,500 (your excess), rental company pays €500

Reducing Your Excess

Option 1: Super CDW from Rental Company

Cost: €15-30 per day Effect: Reduces excess to €0 or minimal amount (€100-200)

Pros:

  • Simple—added at booking or pickup
  • Direct relationship with rental company
  • No claims process if damage occurs

Cons:

  • Expensive over a long rental
  • May still exclude certain damage types

Option 2: Third-Party Excess Insurance

Cost: €3-8 per day (or annual policies for frequent renters) Effect: Reimburses you for excess charges

Providers:

  • iCarhireinsurance
  • Insurance4carhire
  • Questor Insurance
  • WorldwideInsure

Pros:

  • Much cheaper than rental company coverage
  • Often covers more (tyres, glass, undercarriage)
  • Annual policies great value for multiple trips

Cons:

  • Reimbursement model—you pay first, claim later
  • Need to keep all documentation
  • Claims process takes time

Option 3: Credit Card Coverage

Important warning: Most US and UK credit card rental car coverage does not work in Ireland.

Before relying on credit card coverage:

  • Call your card company and specifically ask about Ireland
  • Get confirmation in writing
  • Understand what's excluded
  • Know the claims process

Cards that sometimes offer Ireland coverage:

  • Chase Sapphire Reserve (check current terms)
  • Some Amex Platinum cards
  • Certain premium Visa cards

Never assume—always verify.

What's Usually NOT Covered

Even with full coverage, watch out for exclusions:

Standard Exclusions

Item Why It's Excluded
Tyres/wheels Considered wear items
Windscreen/glass Common damage, expensive
Undercarriage Hard to inspect, easy to damage
Interior Spills, burns, tears
Roof Damage from car parks, branches
Keys Lost keys = expensive replacement
Misfuelling Putting wrong fuel in tank
Single vehicle accidents Some policies exclude

Behavioural Exclusions

Coverage typically void if:

  • Driver was intoxicated
  • Unauthorized driver was operating vehicle
  • Vehicle used off-road or on unsuitable surfaces
  • Rental agreement terms violated
  • Damage not reported promptly

The Personal Accident Insurance Question

Rental companies offer Personal Accident Insurance (PAI) covering medical costs for you and passengers.

Do you need it?

Check first if you have:

  • Travel insurance with medical coverage
  • Health insurance that covers you abroad
  • Credit card travel benefits

If any of these apply, PAI is probably unnecessary.

Real-World Scenarios

Scenario 1: Wing Mirror Clip

You clip a wing mirror on a narrow road (very common in Ireland).

Without excess coverage:

  • Rental company charges your card €200-400 for repair
  • You pay in full (under excess threshold)

With Super CDW:

  • No charge (or minimal excess)

With third-party insurance:

  • Pay the charge, submit claim, get reimbursed

Scenario 2: Pothole Damage

You hit a pothole and damage a tyre and wheel.

Standard CDW:

  • Not covered—tyres and wheels excluded
  • You pay full repair cost (€150-400)

Third-party excess insurance:

  • Often covers tyres and wheels
  • Claim reimbursement

Scenario 3: Car Park Scrape

Someone scrapes your parked car and drives off.

With any CDW:

  • Covered, but you pay the excess
  • Report to rental company immediately

Without CDW:

  • You pay full repair cost

Our Recommendations

For Most Travellers

Best approach: Third-party excess insurance + decline rental company's Super CDW

  • Buy annual policy if you rent cars more than once a year
  • Ensure policy covers Ireland specifically
  • Check it includes tyres, glass, and undercarriage

For Peace of Mind

Best approach: Super CDW from rental company

  • More expensive but simpler
  • No claims process to worry about
  • Direct protection at point of rental

For Budget Travellers

Best approach: Accept standard CDW, drive very carefully

  • Higher risk, but saves money
  • Avoid narrow roads where possible
  • Park carefully, away from other vehicles
  • Never rush

Before You Pick Up

Questions to Ask

  1. What's included in my quoted price?
  2. What's my excess amount?
  3. What's excluded from coverage?
  4. Can I add Super CDW? Cost?
  5. What happens if I have an accident?

Documents to Have Ready

  • Booking confirmation showing coverage
  • Third-party insurance policy (if applicable)
  • Credit card details
  • Driving licence

If Damage Occurs

Immediate Steps

  1. Don't panic—it happens to many people
  2. Document everything—photos from all angles
  3. Report to rental company immediately
  4. Get written damage report
  5. Keep all paperwork

For Insurance Claims

  • Rental agreement copy
  • Damage report from rental company
  • Repair invoice/estimate
  • Photos of damage
  • Police report (if applicable)
  • Your payment receipt

The Bottom Line

The ideal insurance setup for most Ireland road trips:

  1. Standard CDW/TP (included in rental)
  2. Third-party excess insurance (€30-50 for trip)
  3. Travel insurance with medical coverage
  4. Careful driving on narrow roads

Total additional cost: €40-60 for a week, with comprehensive protection.

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