Car Renting Tips in Australia

Inclusions, Exclusions and Car Renting Tips

Planning to rent a car in Australia? Whether you’re a local or an international visitor, understanding what’s included, what costs extra, and how car rental insurance works can help you avoid unwanted surprises.

At Payless Car Rental, we aim to make your car hire experience as smooth and affordable as possible. This guide will walk you through everything you need to know before you hit the road — from what’s covered in your base rental to optional extras and insurance types.

🚗 What’s Included in a Standard Car Rental?

Most standard car rental packages in Australia include the following:

✅ The Vehicle

You’ll receive the booked vehicle (or similar) in clean, roadworthy condition with a full fuel tank (unless otherwise stated).

✅ Basic Insurance (CDW – Collision Damage Waiver)

This is usually included in the rental rate and limits your financial liability in case of an accident — but only up to a certain amount (known as “excess”).

✅ Standard Kilometre Allowance

Most rentals offer unlimited kilometres within a set region. Some rentals, especially long-term or specialty vehicles, may include a daily kilometre cap.

✅ 24/7 Roadside Assistance

Many reputable car rental companies offer basic roadside support for mechanical issues. Some exclude flat tyres, dead batteries, or lost keys unless you purchase extra coverage.

❌ What’s NOT Included?

While the base price covers the vehicle and basic insurance, there are some exclusions and optional extras you may need to pay for:

❗ Fuel Charges

If you return the car without a full tank, you’ll usually be charged a refueling fee, often at a premium rate.

❗ Tolls, Traffic Fines & Parking Fees

These are always the renter’s responsibility. Some companies offer electronic toll pass options at an extra cost.

❗ Young Driver Fees

Drivers under 25 years may incur a young driver surcharge, depending on the rental company.

❗ One-Way Rental Fees

If you pick up the car at one location and drop it off at another, you may need to pay a relocation fee.

❗ Optional Equipment

Extras like child seats, GPS units, ski racks, or Wi-Fi hotspots usually cost extra and should be booked in advance.

🔐 Understanding Car Rental Insurance in Australia

Insurance is one of the most confusing parts of car hire. Here’s a breakdown of the key types of coverage and what they mean:

✅ Basic Insurance (Included)

Also known as Collision Damage Waiver (CDW) or Loss Damage Waiver (LDW), this limits your financial liability in case of:

• Accidents (excluding driver negligence or illegal activity)
• Theft
• Certain damages (conditions apply)

But here’s the catch: you’re still liable for the excess, which can range from AUD $3,000 to $8,000, depending on the vehicle type and rental company.

💸 What is Excess Insurance?

Excess insurance, also known as excess reduction or zero excess coverage, is an optional extra that reduces or eliminates the out-of-pocket cost you’d pay if the car is damaged or stolen.

🔍 What Excess Insurance Covers:

• Damage to the car body
• Theft or attempted theft
• Accidental collisions
• Vandalism
• Minor damages like dents or scratches (depending on the policy)

It does not usually cover:

• Damage to tyres, windscreens, roof, or undercarriage (unless stated)
• Interior damage or loss of accessories
• Personal items inside the vehicle
• Driving under the influence or engaging in illegal activity

Some travellers opt to buy excess insurance from third-party insurers to save money, but coverage terms may differ.

🛡️ Tips for Choosing the Right Car Rental Insurance

1. Read the Terms Carefully – Always understand what is and isn’t covered.
2. Ask About the Excess – Know how much you’ll owe in case of an accident.
3. Consider Local vs. Third-Party Insurance – Compare costs, but make sure third-party policies cover all the same items.
4. Check Credit Card Benefits – Some premium cards offer rental insurance.
5. Get Documentation – Take time-stamped photos of the vehicle at pickup and return.

👥 Who Can Drive the Rental?

• The main driver must present a full, valid driver’s licence (in English or with an International Driving Permit if needed).
• Additional drivers must also be declared and may incur a daily surcharge.

In Australia, the minimum rental age is typically 21, and some vehicle types require drivers to be 25+.

🛣️ Additional Tips for Renting a Car in Australia

• Book early, especially during holiday seasons and long weekends.
• Choose automatic vs manual depending on your comfort.
• Plan ahead for remote areas where fuel stations may be limited.
• Drive on the left side of the road in Australia.
• Keep your licence and rental agreement in the car at all times.

📍 Why Choose Payless Car Rental?

At Payless Car Rental, we’ve proudly served customers since 2010, offering:

• Access to major car hire brands
• Transparent pricing with no hidden surprises
• Online-only booking with live availability
• Pickup locations in key destinations, including Sydney CBD
• Friendly service from a 100% Australian-owned, independent business

Whether you’re a local on a weekend getaway or an international visitor exploring the outback, we’ve got the right car at the right price.

📝 Disclaimer

This article is provided by Payless Car Rental for general informational purposes only. We make no warranties about the accuracy, completeness, or reliability of the information provided. Car rental policies and insurance coverage vary by provider, location, and rental conditions. Please consult the rental agreement and relevant official sources for the most current information before making any decisions.