But you don't have to buy it. If you want to take out comprehensive excess insurance and save money at the same time, your best bet is to buy a standalone policy that you can find in advance.
 
What is car hire excess insurance?
When you hire a car, the company will have insurance in place should you damage it badly or write it off, so you will not have to pay for a whole new vehicle. However, you will have to pay for the first part of the overall cost, called the excess, and this can sometimes be upwards of £1,000.
 
To avoid the risk of this happening, you will often be offered car hire excess insurance by the hiring company. This will cover any excess you owe, but it can often work out more costly than policies that you could find elsewhere.
 
To make matters worse, it may also leave off important areas like the windscreen, wheels, undercarriage and roof. If you want these covered as well, you may have to buy an excess insurance policy that covers these areas.
 
Search for insurance in advance
Most people will want excess cover in place to avoid the risk of ending up with a heavy fee at the end of their holiday should they have a car accident or it is damaged. However, you can save a lot of money by searching for and buying your insurance in advance.
 
At Bettersafe, our policy is not only great value but also comprehensive, covering those often-missed areas such as the roof, tyres and underside etc. Pay a single premium and you can rent your car with complete peace of mind knowing that you are protected.
 
Annual policies are also available, which can help you to save even more money if you are planning to go on multiple trips.
 
Don't be pressured by the car hire company
If you get your insurance policy in advance, you may find that the car hire company still tries to sell you their own product. They may even say that your policy is invalid. Don't worry about this because you will be fully covered, and you can always confirm this with your insurer in advance.
 
One thing the hiring company may do is to take a deposit from your credit card to cover the excess, but you should get this back at the end so make sure you check your statement.
 
Save even more money
The biggest benefit of getting your excess cover separately is the savings that you can potentially make. If you want to save even more money on your car hire, there are other things that you can do:

- Try to book your car as early as possible rather than arranging it at the last minute because you are more likely to find a better deal.

- If you require a child car seat, take one with you or find out if there is somewhere else you can rent one when you arrive because hire companies often charge a premium for these.

- Take your own sat nav with you as well and you can also save money on hiring one.

- Find out about extra charges for winter driving and be prepared. The Daily Mail recently reported on car hire companies charging over £100 for snow chains and winter tyres.

Enjoy your holiday
There is no need to spend your holiday panicking about potentially huge insurance costs. To avoid this situation, find suitable cover well in advance and buy it before you travel, then you can enjoy yourself in the full knowledge that you are protected any potential excesses.