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Rental Vehicle Excess Insurance

Love getting out on the open road to explore far and wide? Maybe you enjoy the freedom of travelling unrestricted so you can take in all the sights and attractions. Or you could be travelling with little ones in tow and need a good solution to transport everyone around safely. Whatever the reason, hiring a rental vehicle while travelling can be a great solution. If you’re heading away soon and thinking about hiring a rental vehicle on your trip, our travel insurance with rental vehicle excess cover will help you venture further while keeping your rental vehicle expenses in check.

Why might you need cover for a rental vehicle excess?

While rental vehicle hire companies typically include motor vehicle insurance within the quoted hire price, if you do need to make a claim, the vehicle hire company will hold you liable to pay the vehicle insurance excess which can amount to thousands of dollars.


Most vehicle hire operators will give you the option to pay an additional daily fee to reduce that excess to a reasonable amount, but these extra fees can quickly add up to a hefty sum and end up costing up to nearly double the amount you were originally willing to pay.


When you take out travel insurance with rental vehicle excess benefits, you can rest easy knowing you won’t have to foot the bill to reduce the standard excess that comes with your rental vehicle.

What does PassportCard’s rental vehicle excess insurance cover?


When you purchase one of our travel insurance policies with rental vehicle excess benefits, you’ll be covered up to the value of $5,000 for the rental vehicle excess (or repair costs) that you are liable to pay if:

  • your rental vehicle is damaged or stolen while the vehicle was in your control, or
  • the rental vehicle keys are lost or stolen while the vehicle was in your care.

Our cover doesn’t just include cars either. Provided the vehicle is rented from a licensed motor vehicle rental company or agency, our rental vehicle excess cover extends to include:

  • cars such as a sedan, coupe, hatchback or station-wagon
  • SUV’s and four-wheel drives
  • campervans and motorhomes not exceeding 4.5 tonnes, and
  • minibuses/people movers.

Do I need to add rental vehicle excess insurance to my policy?

Rental vehicle excess cover is automatically included with all our Comprehensive travel insurance policies as standard. You do not need to do anything to add it to your policy. It’s important to note that our Basic policies do not include rental vehicle excess cover.
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What else does PassportCard provide cover for?

Beyond rental vehicle excess cover alone, our travel insurance can also come in handy in a range of other scenarios that could happen while you’re away. Here are some of the other things our travel insurance can provide protection for:

Medical Emergencies

If you need to see a doctor, are transported by ambulance or admitted to hospital

Dental Emergencies

If you need immediate treatment while you are travelling

Trip Cancellation

In case you need to cancel your trip unexpectedly

Lost or Delayed Luggage

Cash to cover costs if your bags are delayed

Travel Delays

If you need to pay for accommodation because of a travel delay

Theft of Cash

So you’re not left high and dry if your money is stolen

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Instant payouts on approved claims with PassportCard

When you choose PassportCard, you’ll enjoy the extra peace of mind of knowing you’ll be able to cover most expenses there and then if something goes wrong.

When you purchase one of our travel insurance policies, we’ll ask you if you’d like a PassportCard to take with you on your trip. If something happens while you’re away (like your luggage is delayed, your cash is stolen or you experience a medical issue), our team can handle your claim quickly over the phone and transfer funds to your PassportCard on-the-spot**.

If approved, you’ll be able to withdraw cash to cover expenses that can arise from things like delayed luggage or stolen cash, or if it’s a medical issue, we can instantly add funds to your PassportCard so you can immediately pay for expenses when you need to.

You won’t need to fill out any paperwork and instant access to funds means you won’t be left out of pocket.

Find out more about how instant claims work or get a quote for your upcoming trip.

** All benefits and covers are subject to the terms, conditions, limitations and exclusions listed in the Combined Financial Services Guide and Product Disclosure Statement and on other policy documentation, including the schedule. Terms and conditions of the PassportCard also apply.

Tips when driving overseas or on holiday


Driving in an unfamiliar or foreign environment can present some challenges, even for the most experienced driver. Before you get behind the wheel on your next trip, here are some helpful tips to make sure your driving experience is safe and hassle-free.

  • Check that you meet the local license requirements to drive the type of vehicle you plan to hire in the location you are travelling to
  • Carefully read the license requirements specified by the vehicle hire company prior to making your booking to ensure you meet all criteria and avoid disappointment when you arrive to collect your car
  • If you’ll be driving overseas, obtain an International Driver’s Permit (IDP) before you leave Australia. Many rental companies won’t let you hire a vehicle without a valid IDP. Even if it’s not a requirement that you carry an IDP in the country you will be driving in, it’s always a good idea to take one, particularly if you are travelling to a country where English is not the primary language
  • Driving conditions in some countries can be very different to driving in Australia. Do your research to understand the local conditions, road rules and etiquette prior to your trip to ensure you are aware of any differences and feel confident to drive there
  • Ensure your rental vehicle comes with adequate motor vehicle insurance. If not, obtain suitable motor vehicle insurance independently to ensure you’ll be covered in an accident or if the vehicle is stolen
  • Do not drive while under the influence of alcohol or drugs, as your insurance will not cover you if you have an accident
  • Make sure that each person that will be driving the vehicle is listed on both the vehicle hire lease agreement and your travel insurance policy, as unlisted drivers won’t be covered
  • If you’ll be travelling with young children that need a baby or booster seat, make sure you request this with the vehicle rental company at the time of booking to ensure they are available
  • Make sure you organise your travel insurance with PassportCard before you head off.

Get covered for your trip with PassportCard

Before you head off on your next adventure, make sure you’re covered with PassportCard. Whether you’re travelling domestically or internationally, our travel insurance provides valuable peace of mind that you’ll be covered if things don’t exactly go to plan—so all you need to do is relax and enjoy the ride!
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Rental vehicle excess insurance FAQs

No. Rental vehicle excess cover is only included with our Comprehensive policies.

If you’ll be hiring a rental vehicle on your trip, we strongly recommend you consider upgrading to Comprehensive cover. It often works out to be much cheaper than paying the excess reduction offered by vehicle rental companies and you’ll also enjoy a superior level of cover for a range of other scenarios that could happen while you’re away.

It’s important to carefully research the relevant laws and license requirements for the destination/s you will be travelling to. While most countries will allow you to drive on an unrestricted Australian driver’s license, this can vary according to the location and the type of vehicle you will be driving. Many countries will also require you to carry an international driver’s permit.

Yes. Provided you purchase a Comprehensive policy and meet all requirements to be eligible for cover, your policy will include rental vehicle excess insurance. Do check with rental car providers though as you may need a full license to rent a car.

Yes, provided that each driver meets all requirements for cover and they are listed on both the vehicle hire lease agreement and your Comprehensive travel insurance policy. Drivers not listed on your policy will not be covered.

Our insurance only provides cover for the excess component (up to the benefit limit) of a rental vehicle insurance claim, but does not replace the need for rental vehicle insurance or third-party damage insurance.

While most vehicle hire companies will include motor vehicle and third-party damage insurance with your hire vehicle as standard, it’s important to check this before you hire a vehicle.

Our rental vehicle excess cover only extends to vehicles including a campervan/motorhome that does not exceed 4.5 tonnes, a sedan, coupe, hatchback, station-wagon, SUV, four-wheel drive or minibus/people mover that is rented from a licensed motor vehicle rental company or agency.

If you need to make a claim and you are overseas, simply call our Global Assistance team on our reverse charge number +61 1800 490 478.  If you are in Australia, you can call us on 1300 123 413. Our team will be able to assist you to submit your claim and will advise of any documentation you need to provide.


All benefits and covers are subject to the terms, conditions, limitations and exclusions listed in the Combined Financial Services Guide and Product Disclosure Statement (PDS) and on other policy documentation, including the schedule.

If you purchase a policy for travel to Israel after 09:10 AEDT 24 October 2023 you won’t be covered for claims arising from this event, including losses caused by flight cancellations/delays into Ben Gurion International Airport. Please read our travel alerts for more info. If you need emergency assistance whilst travelling, contact the PassportCard 24/7 Global Assistance team on our reverse charge number: +61 1800 490 478.