Calculators & guides
Car Hire Excess Insurance Explained
By Sipho Dlamini · 4 min read · Updated 24 June 2026
- What it covers
- The excess on a damaged or stolen rental car
- Not the same as
- Car hire on your own policy (a loan car)
- Often
- Cheaper than the rental desk's waiver upsell
Car hire excess insurance covers the excess you would have to pay if a rental car is damaged or stolen - which can run into thousands - so you are not left out of pocket on a hire that already includes a basic waiver with a high excess. It is usually cheaper bought separately than the rental desk's top-up waiver.
This is different from car hire cover on your own policy, which pays for a hire car while yours is being repaired.
This guide explains when car hire excess cover is worth it.
The rental excess problem
When you hire a car, the basic rate usually includes a collision damage waiver - but with a high excess. If you scrape or damage the rental, you can be liable for that excess, which is often several thousand rand. Car hire excess insurance reimburses you for that amount.
Two different things called 'car hire'
Do not confuse these:
- Car hire excess insurance: covers the excess on a rental car you hire.
- Car hire benefit on your own policy: provides a loan car while your own car is being repaired after a claim.
They solve different problems. This guide is about the first.
Buying at the desk vs separately
The rental company will offer to sell you a 'super' or 'zero excess' waiver at the counter, often at a high daily rate. A standalone car hire excess policy bought beforehand usually costs less and does the same job by reimbursing the excess. Compare the two before you travel, and read what each excludes.
When it is worth it
- Frequent renters: a standalone annual policy can be cheaper than buying waivers each time.
- Occasional renters: a single-trip excess policy or the desk waiver may be simpler.
- Always weigh the excess amount you would be exposed to against the cost of the cover.
Check whether a credit card or existing policy already gives you some rental cover before paying twice.
Frequently asked questions
What is car hire excess insurance?
It covers the excess you would otherwise pay if a rental car is damaged or stolen. The basic rental waiver still leaves you liable for a high excess; car hire excess insurance reimburses that amount so you are not left out of pocket.
Is car hire excess insurance the same as car hire on my policy?
No. Car hire excess insurance covers the excess on a rental car you hire. Car hire benefit on your own motor policy provides a loan car while your own car is being repaired after a claim. They are different things.
Should I buy the waiver at the rental desk?
The desk waiver works but is often expensive per day. A standalone car hire excess policy bought beforehand usually costs less and does the same job. Compare both and check the exclusions before deciding.
Do I need it if I already have car insurance?
Your own motor policy generally does not cover a rental car's excess, so you may still need it. Check whether your policy, a travel policy, or a credit card already includes rental cover before buying separately.
Is it worth it for a short rental?
Weigh the excess you would be exposed to against the cost of the cover. For a single short rental, the desk waiver or a single-trip excess policy may be simplest. Frequent renters often save with a standalone annual policy.
What does car hire excess insurance not cover?
It typically excludes things the rental agreement also excludes - for example damage to tyres, the underbody or the interior, driving off-road, or driving under the influence. Read the specific policy wording for its exclusions before you rely on it.
