Insurance, Rental Cars, and the "Collision Damage Waiver"

Greg Munro, University of Montana School of Law


This article addresses insurance and other coverage available when a driver rents and automobile. The article discusses the issues of whether standard personal auto policies provide coverage to the driver of the rental car. The article also examines "collision damage waivers" offered by car rental agencies and the nature of those "CDWs" as they relate to torts and contracts. In addition, the article examines contract benefits commonly available to drivers today under major credit cards for addressing rental car damage losses. Finally, the article identifies pertinent damages or claims that may arise in the use of rental cars.