Rental Car insurance through Westpac credit card

[lovestotravel]

I have rang up and they said they would get back to me so in the meantime

The Westpac T&C's state for rental car insurance

"the hiring agreement must incorporate the standard comprehensive motor insurance normally provided by the rental agency covering loss or damage to the rental vehicle"


So does that mean you have to take out some extra insurance with the company, or you can decline all optional insurance ?

They key word being optional, as all insurances are optional to avoid the $2-$5k excess....

So what does Westpac mean then ?

 

[Moopere]

Almost all of these types of card insurances are worded in a similar way. Certainly worth getting clarification, though a verbal response from them will be essentially worthless - best to get something in writing.

My understanding is that all car rental in Australia has to come with fully comprehensive insurance, with restrictions, perhaps, on how the vehicle is used. Be cautious of using any vehicle outside of the T&C of the insurance as it may then become completely invalid leaving you very exposed, more than just 5000$ worth. Illegal activities, like drink driving and speeding as well as off road use for many standard vehicles could be a big problem.

In any event, the 'optionals' usually sold as part of the rental agreement, in my interpretation, speak to the ability to reduce the excess of a claim against the comprehensive insurance, they do not provide additional 'extra' comprehensive insurance ... its all about excess reduction.

 

[lovestotravel]

Agree and agree!

Hence why I am waiting for them to get back to me in writing

 

[serfty]

Agree and agree!

Hence why I am waiting for them to get back to me in writing

IME it is all about Excess reduction in Oz.

This means you do not need to take the hiring companies daily 'excess reduction fee'.

e.g. The Earth Platinum has an excess cover component - nothing for comprehensive, so relies on the basic policy referred to by Moopere.

(Note they have recently introduced a $250 excess on the basic benefit but increased the excess cover to $5500.)

http://www.westpac.com.au/docs/pdf/pb/westpac_credit_card_comp_insurance_policy_after21Oct2012

Rental vehicle excess insurance in Australia policy.

Rental vehicle excess insurance in Australia cover is available to Westpac Platinum Plus card and Platinum A card cardholders.
We will reimburse you up to A$5,500 for any insurance excess or deductible which you become legally liable to pay in respect of
a claim under the comprehensive insurance policy of the rental vehicle during the rental period provided:

●● the rental vehicle must be rented from a licensed rental agency; and
●● the hiring agreement must incorporate the standard comprehensive motor insurance normally provided by the rental agency covering loss or damage to the rental vehicle; and
wear and tear, gradual deterioration, damage from insects or vermin, inherent vice or damage; or
●● driving the rental vehicle on non-public roads.

 

[Hvr]

Looks like the above link is no longer applicable. This one may be better for research purposes. Earth Platinum - Frequent Flyer Credit Cards - Westpac

I am currently looking for rental car purposes.

 

[adamonline]

I have found carhiresinsider to be useful for explaining this ins and outs of insurance options. It also lists some alternative options for insurance that are more comprehensive if you find the Westpac cover doesn't suit you.

 

[AdMEL]

Agree and agree!

Hence why I am waiting for them to get back to me in writing

lovestotravel, have you received a written reply?

IME it is all about Excess reduction in Oz.

This means you do not need to take the hiring companies daily 'excess reduction fee'.

e.g. The Earth Platinum has an excess cover component - nothing for comprehensive, so relies on the basic policy referred to by Moopere.

(Note they have recently introduced a $250 excess on the basic benefit but increased the excess cover to $5500.)

http://www.westpac.com.au/docs/pdf/pb/credit_cards_comp_insurance_policy

Mostly correct - Westpac did not increase the excess cover to $5,500 for rentals in Australia; it always was that amount. They did increase the overseas rental car excess cover from $5,000 to $5,500 though.


FWIW, Westpac definitely don't require you to purchase any optional excess reduction. Nor do ANZ under their Car Rental Cover.

 

[lovestotravel]

lovestotravel, have you received a written reply?

Nope!

I should call them again and ask for something in writing as I am driving a rental car for the next 3 months here in Aus....

 

[Deleted member 29185]

Rental vehicle excess insurance in Australia cover is available to Westpac Platinum Plus card and Platinum A card cardholders.We will reimburse you up to A$5,500 for any insurance excess or deductible which you become legally liable to pay in respect of a claim under the comprehensive insurance policy of the rental vehicle during the rental period provided; ●●the rental vehicle must be rented from a licensed rental agency; and●● the hiring agreement must incorporate the standard comprehensive motor insurance normally provided by the rental agency covering loss or damage to the rental vehicle; andwear and tear, gradual deterioration, damage from insects or vermin, inherent vice or damage; or●● driving the rental vehicle on non-public roads.

Is it just me, or does that last proviso mean you are not covered unless you're driving on non-public roads?

 

[Moopere]

Is it just me, or does that last proviso mean you are not covered unless you're driving on non-public roads?

Heh Almost.

The last bit references this bit:

the hiring agreement must incorporate the standard comprehensive motor insurance normally provided by the rental agency covering loss or damage to the rental vehicle;"

So, the rental agreement must have included insurance which covers standard driving conditions _or_ driving on non-public roads.

 

[serfty]

The PDS has been changed somewhat since mid October:

http://www.westpac.com.au/docs/pdf/pb/westpac_credit_card_comp_insurance_policy_after21Oct2012

Rental vehicle excess insurance in Australia policy.

Rental vehicle excess insurance in Australia cover is available to Westpac Platinum Plus card and Platinum A card cardholders.

We will reimburse you up to A$5,500 for any insurance excess or deductible which you become legally liable to pay in respect of a claim under the comprehensive insurance policy of the rental vehicle during the rental period provided:

• the rental vehicle must be rented from a licensed rental agency; and
• the hiring agreement must incorporate the standard comprehensive motor insurance normally provided by the rental agency covering loss or damage to the rentalvehicle; and
• you must comply with all the requirements of the rental organisation under the hiring agreement and of the rental vehicle insurer.

We will not pay for...

We will not pay for your costs arising from:

• loss or damage resulting from the operation of the rental vehicle in violation of the terms of the rental agreement; or
• wear and tear, gradual deterioration, damage from insects or vermin, inherent vice or damage; or
• driving the rental vehicle on non-public roads.

 

[Deleted member 29185]

This "non-public roads" bit gets me. A shopping centre has non-public roads (as they're privately owned) so does a common shopping centre carpark bingle get disowned? If I drive on a road into a private golf course and I'm hit by a Rolls Royce (or I hit a Rolls Royce), is that also excluded? What about in a gated residential estate?

 

[Moopere]

This "non-public roads" bit gets me. A shopping centre has non-public roads (as they're privately owned) so does a common shopping centre carpark bingle get disowned? If I drive on a road into a private golf course and I'm hit by a Rolls Royce (or I hit a Rolls Royce), is that also excluded? What about in a gated residential estate?

Yes, yes and yes. Caution needs to be exercised. A bing in a shopping centre carpark, if you admit thats where it happened, might not be covered depending on the _exact_ wording of the PDS.

 

[Deleted member 29185]

Yes, yes and yes. Caution needs to be exercised. A bing in a shopping centre carpark, if you admit thats where it happened, might not be covered depending on the _exact_ wording of the PDS.

The exact wording of the PDS for this discussion is linked to in post 11 above. We're only talking here about the excess insurance, so it's feasible that a rental insurance may cover the claim but the excess cover is refused leaving us thousands of dollars out of pocket. What a sham. I'm now thinking about other instances, like parking the car in a private driveway overnight (a better solution than leaving it on the street) but that logic may be ignored in favour of idiocy and if the car is stolen from the private driveway, the excess may not be covered but it would have been if left out on the street. So the moral, always leave the vehicle on public roads over private (and usually safer) roads and when in doubt.....lie through your teeth! Not something I was brought up to do.