Car Rental Glossary of Terms

Car Rental at France

Car rental can every so often be a little confusing with lots of terms being thrown around. To help you, we have put together a glossary of terms which, hopefully, will help you with your next rental car reservation.

• Additional drivers: Additional driver registered and listed on the rental agreement. This may welcome some additional charge depending on the rental car provider.
  ALI (Additional Liability Insurance): This provides additional protection for bodily injury or death plus property damage.


• Airport charges: fees applied by the airport authorities for terminal and off terminal locations. In most cases, these costs are also applied to additional charges, such as one way, fuel option, child, seat rental etc., which are not included in the daily rate and are paid at the counter.


• CDW (Collision Damage Waiver): Covers the rental vehicle for accidental damage other than by theft or attempt of theft. An excess generally applies and the amount varies depending on country and/or vehicle type.


• ER (Excess Reduction): An optional fee offered by the car rental company to trim down or waive the insurance excess in the case of an insurance claim for damage or theft.


• Gazetted roads: Refers to a sealed or unsealed road regularly maintained by a local, State or Government body or Council.


• EI (Excess Insurance): The amount the customer is liable for in case of the rental vehicle is damaged or stolen, no matter the driver is at fault or not.


• LDW (Loss Damage Waiver): Covers the rental vehicle in case of accidental damage and theft. An excess generally applies and the fees varies depending on the country and/or vehicle type.


• OWF (One Way Fee): This fee is inflicted to cover the costs of returning the vehicle back to the original location. In Australia and USA fees may varies between cities within the same State and rental between States. Also, some countries charge for one way fees between airport and downtown locations within the same city.


• PAI (Personal Accident Insurance): This insurance covers the driver and passengers of the rental vehicle in the event of personal and physical injuries incurred in accident.


• PLS (Premium Location Surcharge): Fees applied by car rental companies at selected downtown and railway locations. This additional element also includes airport fees. In most cases, these costs are also applied to additional charges, such as one way fee, fuel option, child seat rental etc which are not included in the daily rate and are paid at the counter.


• Rental period: car rental period starts when you choose the rental car and ends when you drop off. Rental periods are based on periods of 24 hours at the time of pick up - so, for example, from 9 a.m. 9 p.m. Friday, the next day is charged as a one day rental.


• Sealed road: A road sealed with a hard material such as tar, bitumen or concrete.


• Security deposit: amount frozen on the client’s credit card at the time of collecting rental car. Frozen amount is typically the full insurance excess amount. Though, if an insurance excess is not applicable or the full excess is not frozen then an amount may perhaps still be frozen for incidentals such as fuel bond, optional charges, loss of keys etc.


• Senior driver surcharge: surcharge payable by senior drivers more & or between a specific age.


• TP (Theft Protection): Covers the rental vehicle in case of theft, theft attempt or damage. An excess generally applies and the amount varies depending on country and/or vehicle type.


• Third Party Insurance: Provides coverage against injury to persons other than driver of the car and property damage other than the rental vehicle and contents of same.


• Road vehicle license fee/vehicle registration fees: Government imposed levy on each rental car in fleet car provider. Charge to partly recover the vehicle registration fees.
  Young driver surcharge: surcharge payable by young drivers under a specific age.

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