Hi mattcmason,
As you correctly stated, there are travel insurance policies which include a collision damage waiver (CDW) for car rentals. If you plan on taking out a travel insurance policy, then it is worth considering these as the difference in premiums may be lower than what you would spend on CDW coverage offered by car rental companies. Examples of Swiss travel insurance policies which include a CDW are the Allianz Secure Trip Premium and the ERV Multi-Trip Comfort travel insurance policies (both have CHF 10,000 CDWs). The Zurich Relax Assistance policy has the option of adding a CDW (CHF 5000) rider for an additional premium.
As the moneyland.ch travel insurance comparison shows, the policies which include CDW coverage have relatively high premiums. However, if you rent cars several times per year, the premiums for these travel insurance policies may still work out cheaper than buying the CDW agreements offered by car rental companies.
Annual premiums for travel insurance policies which include CDW coverage range between 250 and 350 Swiss francs per year for a family. The moneyland.ch travel insurance comparison shows that the Zurich Relax Assistance policy with the optional CDW rider added is the most affordable travel insurance policy which includes CDW coverage, but the CDW is lower than those included in the Allianz and ERV policies mentioned above. You should also consider the other coverages provided.
If you have a credit card – and many car rental agencies require you to have one in order to rent vehicles – then check whether your credit card includes a CDW for rental cars in its complimentary benefits. You can easily find out whether your credit card includes a CDW by selecting the “Insurance: car rental” sort tool in the moneyland.ch credit card comparison. If your card appears in results, click on the Info link corresponding to your credit card and check the “Insurance: car rental:” field for details about the complimentary CDW.
The complimentary CDWs that come with credit cards typically have lower limits than those that come with annual travel insurance policies. For example, the Visa Libertycard Plus comes with a complimentary CDW as well as many travel insurance benefits, but the CDW is limited to CHF 2000.
In most European countries, a CHF 2000 CDW is sufficient. This is especially true for budget and mid-range car rentals. Outside of Europe, a higher CDW is recommended because car rental companies in many countries charge high deductibles when rented cars are damaged or stolen.
Best regards from Moneyguru
