SURVEY REVEALS OVER A QUARTER OF BUSINESS TRAVELLERS
HIT WITH UNEXPECTED CAR HIRE CHARGES
- Worryingly, almost six out of ten (59%) found damage on their rental car at pick-up that was not documented on the check-out sheet.
- A significant majority (71%) prefer to book with large, international car hire companies, with two-thirds (66%) willing to pay more for a brand they trust.
- Business travellers could save over £200 per week by choosing independent car hire excess protection.
A recent Opinium survey1 of UK business travellers who have hired a car reveals that more than a quarter (26%) have faced unexpected charges on their car hire bills.
Commissioned by iCarhireinsurance.com, a leading provider of stand-alone car hire excess insurance, 60% of business travellers believe car rental companies frequently charge customers for damage that was already on the vehicle; with only a quarter (24%) trusting them to provide an accurate assessment of the car’s condition at checkout.
While more than half (55%) of business travellers make sure to inspect their car and document any damage at pick-up, fewer check for less obvious issues, with only 49% looking for minor marks or general wear and tear and just 48% inspecting tyres for damage.
Many travellers do take steps to protect themselves however, with 43% taking photos of the vehicle at pick-up, 42% doing so at drop-off, and 23% videoing the car’s condition at both stages. Worryingly, almost six out of ten (59%) found damage on their rental car at pick-up that was not documented on the check-out sheet.
More than a third (41%) admitted to damaging a hire car during their rental, with one in five (19%) saying they were charged substantial fees for minor damage, such as a small scratch or chip on the windscreen. Moreover, 40% have had disputes with rental companies regarding alleged damage.
Despite this, only 31% bought excess protection from the rental company and 24% bought it from an independent car hire excess insurance provider. Excess protection protects drivers from the first part of any claim if the hire car is damaged or stolen.
More than seven in ten (72%) business travellers describe the excess waiver policies sold by rental companies as a “rip off.”2 These policies, often sold as super damage waivers or tyre and windscreen waivers, tend to be the most expensive add-ons at the rental desk.
A cost comparison study3 revealed that travellers could save over £200 per week by choosing excess protection from an independent provider. For example, iCarhireinsurance.com offers a comprehensive week-long policy covering damage, theft, and tyre and windscreen protection for just £33.154, with annual European policies starting at £41.994.
Business travellers also show a strong preference for using rental brands they know, with 71% preferring to book with a large, international car hire companies and two-thirds (66%) willing to pay more for a brand they trust.
Ben Wooltorton of iCarhireinsurance.com said: “Even experienced business travellers face the hard sell at the rental desk, with 73% reporting pressure to buy extras, particularly excess protection. It’s also worrying that more than half have driven a hire car without fully understanding the insurance coverage. If the hire car gets damaged or stolen, even if it’s not your fault, you will be subject to the excess charge, which can be up to £1,500. Business travellers should consider buying car hire excess insurance from a standalone provider before they travel to maximise their budget and avoid unnecessary costs.”
He added: “It’s also crucial for travellers to conduct a thorough inspection of the vehicle at pick-up, including taking photographs and checking areas often overlooked, like tyres and the undercarriage. If any damage isn’t noted on the paperwork, the rental company could charge you for it later.”
If a damage claim is contested, the hirer should query it within fourteen days with the rental company. For UK rentals, if no satisfactory resolution is reached, complaints can be directed to the BVRLA, whose members include AVIS, Budget, Enterprise, Europcar, Hertz, and Sixt. For rentals in Europe, the European Car Rental Conciliation Service (ECRCS) offers a free service to assist with unresolved complaints, provided the rental was with a participating company, such as Alamo, AVIS, Budget, Dollar, Enterprise, Europcar, Firefly, Hertz, Maggiore, National, Sixt and Thrifty.
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1 Opinium online survey with 247 adults who have hired a car for business in the UK or abroad took place between 2 – 5 April 2024.
2 This information was collated in the Opinium survey. One question in the survey asked the business traveller whether excess waiver cover sold at the rental desk is a “rip off”.
3 iCarhireinsurance.com looked at the cost of a basic hire for the week 27 July – 3 August 2024. It also looked at the price of six additional costs, payable on picking up the car (i.e., super damage waiver, tyre and windscreen excess waiver, an additional driver and a child’s car seat and a sat nav in 12 countries (Australia, Croatia, France, Germany, Greece, Italy, Portugal, Spain, Switzerland, Turkey, UK and the USA). Six rental companies’ costs were compared, Sixt, Hertz, Avis, Budget, Enterprise and Europcar.
4 £33.15 based on a 30-year-old UK resident buying an 8-day single trip car hire excess policy from iCarhireinsurance.com for use in Europe. £41.99 annual price is based on a UK resident aged between 30-80 purchasing an excess Europe annual policy excluding in-country (UK) cover.