What is a Collision Damage Waiver?
A Collision Damage Waiver (CDW) is the optional insurance provided by rental car companies for customers whose own car insurance policies do not cover car rentals. Individuals who don’t have rental cars coverage with their normal car insurance policy may be surprised to find out that the credit card they pay with to rent the car may provide them with some coverage. For example, Visa covers vehicle theft and collisions; MasterCard covers theft collisions, vandalism and weather-related incidents; while Discover covers collision damages. Individuals should check with their credit card provider to see if this type of coverage is available to them.
