Understand what LDW vehicle protection is

LDW vehicle protection is mandatory when renting a vehicle abroad. If you don't know it yet, get all the information you need to make your trip easier.

If you are thinking about renting a car to use on your trips, remember that it is not enough to pay and drive.

First, you must provide all the requested information to the company that is making the rental and some guarantees.

From the moment you leave the rental company with the vehicle, you will be responsible for everything that happens to it until the moment it is returned. That's why it's good to have car insurance.

If you own your own car, why wouldn't you have it in a rented vehicle?

The point is that there may be different types of insurance and depending on the country you are in, it may be a little difficult to obtain the necessary information.

Therefore, we decided to explain what LDW vehicle protection is and why you shouldn't be without it.

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Discover what LDW vehicle protection

Insurance, as you already know, is a service that is taken out to help cover expenses if a problem or accident happens to the vehicle.

And, in addition to being hired for your private car, it can and should also be hired for rented vehicles.

That's exactly what LDW Vehicle Protection is, an acronym referring to the English expression 'Loss Damage Waiver'which in literal Portuguese means 'Exemption from damage due to loss', or as CDW insurance is also known, also from an English expression, 'Collision Damage Waiver'which in Portuguese means 'Exemption from collision damage'.

This protection offers the main coverage necessary so that you can enjoy your rental car without worrying about possible accidents or problems that could occur with anyone anywhere in the world.

Therefore, if you are on vacation you cannot give up LDW or CDW vehicle protection.

After all, vacation is a time to rest and have fun and not to be alert and worried about possible problems.

What does LDW protection cover?

LDW vehicle protection has coverage for situations such as theft, theft, total and partial collision, fire and many other situations.

However, it is necessary to pay attention to how the accident was caused, because, if it is detected that the driver was negligent, the insurance company will not cover the losses.

For example, if you were traveling above the permitted speed and ended up crashing, running a red light and causing an accident, or leaving the car with the key in the ignition and leaving the vehicle, which resulted in theft.

Therefore, pay attention to the insurance rules so as not to lose any coverage.

Another issue is that LDW vehicle protection can be with or without a deductible. This will be defined at the time of hiring.

If you choose not to have a deductible, and an accident occurs, the insurance company will pay all losses at no cost to the contractor.

But if you choose the deductible, then you will have to pay an amount for the repair to be carried out.

The difference between these two types of contract is mainly in the value of the LDW vehicle protection, since the policy without deductible is usually a little more expensive than the option with deductible.

Can you do without LDW vehicle protection?

There is no way to rent a car without this guarantee, after all, you don't want to be caught off guard and have to bear this cost.

Here in Brazil, DPVAT exists as mandatory insurance, in some locations it corresponds to LDW.

In some countries this insurance is mandatory and the car cannot be rented without it.

There are even rental companies that already include protection in the value of the car rental, making it a mandatory requirement for the business.

It is worth mentioning that some credit cards offer this benefit for free, however, it is important to check with the card company what the rules are for using it, for example, paying rent with a credit card.

What are the additional coverages of LDW insurance?

In addition to taking out LDW insurance and having vehicle protection abroad, there are other types of additional coverage that can be taken out for the same vehicle.

Coverage that offers protection against damage to third parties, with the lessor only having to pay the deductible in the event of a collision with another car, so that the repair for the person involved can be carried out.

These coverages are:

• EP – Extended Protection, in Portuguese – Extended Protection;
• LP – Liability Protection, in Portuguese – Liability Protection;
• SLI – Supplemental Liability Insurance, in Portuguese – Supplemental Liability Insurance;
• TPL – Third Party Liability, in Portuguese – Third Party Liability;
• ALI – Additional Liability Insurance, in Portuguese – Additional Liability Insurance.

There is also PAI coverage – Personal Accident Insurance, in Portuguese – Personal Accident Insurance, which serves drivers and passengers in the event of injuries or death, in accidents with the rented vehicle, PEC coverage – Personal Effects Coverage, in Portuguese – Cobertura of Personal Effects, which insures personal belongings inside the car and RP coverage – Roadside Plus, which in literal Portuguese means – Roadside and more, in other words, it is coverage such as 24-hour assistance, offering mechanical assistance and other services.

What should I do if I am involved in an accident with my rental car?

Let's say you rented a vehicle with LDW protection, and ended up being involved in a traffic accident.

This is a very big possibility given that Brazil is in fourth place in the ranking of countries with the highest number of deaths in traffic accidents.

In this case, the first thing to do is contact the police and register a police report, this document will be necessary to activate the rental company and the LDW insurance contracted.

With it, the responsible rental company will assess whether you can use the contracted insurance, paying only the deductible (if any) to repair the vehicle, or whether the coverage does not cover the accident and you will have to pay for the repairs yourself.

The same goes for coverage that serves third parties, therefore, it is always necessary to contact the police and file a report, regardless of whether or not there were injuries involved in the accident.

Now that you know that when you travel and rent a car, you cannot forget about LDW vehicle protection.

If you have this service on your credit card, make use of it, otherwise contract it separately.