John Cletheroe's
USA and Canada Holiday Hints

Car Rental in the USA and Canada - Cost Elements of Car Rental Summarised

The advice given on this page only applies to visitors to the USA or Canada from Britain. The advice is general and may not apply in every circumstance.

Cost Element Description Advice (for visitors from Britain)

Basic Rental Cost Least expensive if purchased in advance in the UK, usually least expensively as part of a fly/drive package. Be sure to check for unlimited mileage and that you can take the car where you wish to (which states, from USA to Canada, etc, as appropriate). Less expensive for rentals in the USA than Canada. Less expensive for rentals in some parts of the USA than others.

Additional Driver Charge A charge per day, per additional driver. Mandatory for additional drivers (except possibly the husband or wife of the main driver). May not apply in some states. Additional drivers may also need to have credit cards in their own names.

Airport Usage Fee A bit of a mystery to me. May only apply if the car rental depot lies within the airport area.

CDW/LDW (Collision Damage Waiver/Loss Damage Waiver) Avoids you being responsible for anything up to the full value of the car should it suffer damage by any means. ACCEPT. Not mandatory but very highly recommended despite its high cost. Sometimes less expensive if purchased in advance in the UK together with the basic rental, sometimes less expensive if purchased separately directly from the car rental company in the USA or Canada. Less expensive in California than in other states. Check whether your rental voucher covers the cost of CDW/LDW.

Child/Infant Seat Rental Charge Mandatory for children under five. The charge is so much per seat per day and a refundable deposit is required.

Drop-Off Charges For one-way rentals, for rentals where you return the car to a different location from that where you picked it up. Mandatory for one-way rentals, and dependent on the mileage between the two locations. May not apply for two locations in the same state in a few cases, but always check this.

EP (Extra Protection) Equivalent to Top-Up Insurance but sold by car rental companies. DECLINE. Not required if you have Top-Up Insurance, which is a less expensive option.

LIS (Liability Insurance Supplement) I think this is an alternative name for EP.

Mileage Charge A charge per mile (or per kilometre in Canada) that you exceed the daily or weekly allowance. Make every effort to obtain unlimited mileage.

PAI (Personal Accident Insurance) DECLINE. Not required; for visitors from Britain your normal holiday insurance provides this cover.

PEI (Personal Effects Insurance) DECLINE. Not required; for visitors from Britain your normal holiday insurance provides this cover.

Refuelling Charges The charge made by the car rental company for petrol if you return the car with less than a full tank. It is always less expensive to return the car with a full tank.

Sales Tax A percentage tax on the total rental cost, imposed by law. Unavoidable. The rate varies from state to state. Computed on the full cost of all cost elements that would have applied had you purchased the car rental in the USA or Canada, not what you actually paid for it in Britain. Sometimes sales tax can be included in the car rental voucher, but this is not always the least expensive option. Check if your car rental voucher includes the cost of sales tax.

State Surcharge A tax of a fixed amount per day (possibly varying by vehicle type and size), imposed by law. Unavoidable in those states where it applies. In California VLF - Vehicle Licence Fee - appears to be a form of state surcharge.

Top-Up Insurance Provides more cover against claims from third parties that that provided inherently by the car rental company's insurance. Also provides compensation should you suffer damage from an uninsured or under-insured driver. Not mandatory but very highly recommended. Purchased in Britain in advance. A less expensive alternative to EP (Extended Protection) sold by car rental companies.

VLF - Vehicle Licence Fee A tax of a fixed amount per day (possibly varying by vehicle type and size), imposed by law by California and possibly some other states. Unavoidable in those states where it applies. In California VLF appears to be a form of state surcharge.

Young Driver Charge The charge for any driver under 25. Mandatory for young drivers, but the charge and age range may vary slightly between car rental companies.

Cost Element	Description	Advice (for visitors from Britain)
Basic Rental Cost		Least expensive if purchased in advance in the UK, usually least expensively as part of a fly/drive package. Be sure to check for unlimited mileage and that you can take the car where you wish to (which states, from USA to Canada, etc, as appropriate). Less expensive for rentals in the USA than Canada. Less expensive for rentals in some parts of the USA than others.
Additional Driver Charge	A charge per day, per additional driver.	Mandatory for additional drivers (except possibly the husband or wife of the main driver). May not apply in some states. Additional drivers may also need to have credit cards in their own names.
Airport Usage Fee		A bit of a mystery to me. May only apply if the car rental depot lies within the airport area.
CDW/LDW (Collision Damage Waiver/Loss Damage Waiver)	Avoids you being responsible for anything up to the full value of the car should it suffer damage by any means.	ACCEPT. Not mandatory but very highly recommended despite its high cost. Sometimes less expensive if purchased in advance in the UK together with the basic rental, sometimes less expensive if purchased separately directly from the car rental company in the USA or Canada. Less expensive in California than in other states. Check whether your rental voucher covers the cost of CDW/LDW.
Child/Infant Seat Rental Charge		Mandatory for children under five. The charge is so much per seat per day and a refundable deposit is required.
Drop-Off Charges	For one-way rentals, for rentals where you return the car to a different location from that where you picked it up.	Mandatory for one-way rentals, and dependent on the mileage between the two locations. May not apply for two locations in the same state in a few cases, but always check this.
EP (Extra Protection)	Equivalent to Top-Up Insurance but sold by car rental companies.	DECLINE. Not required if you have Top-Up Insurance, which is a less expensive option.
LIS (Liability Insurance Supplement)	I think this is an alternative name for EP.
Mileage Charge	A charge per mile (or per kilometre in Canada) that you exceed the daily or weekly allowance.	Make every effort to obtain unlimited mileage.
PAI (Personal Accident Insurance)		DECLINE. Not required; for visitors from Britain your normal holiday insurance provides this cover.
PEI (Personal Effects Insurance)		DECLINE. Not required; for visitors from Britain your normal holiday insurance provides this cover.
Refuelling Charges	The charge made by the car rental company for petrol if you return the car with less than a full tank.	It is always less expensive to return the car with a full tank.
Sales Tax	A percentage tax on the total rental cost, imposed by law.	Unavoidable. The rate varies from state to state. Computed on the full cost of all cost elements that would have applied had you purchased the car rental in the USA or Canada, not what you actually paid for it in Britain. Sometimes sales tax can be included in the car rental voucher, but this is not always the least expensive option. Check if your car rental voucher includes the cost of sales tax.
State Surcharge	A tax of a fixed amount per day (possibly varying by vehicle type and size), imposed by law.	Unavoidable in those states where it applies. In California VLF - Vehicle Licence Fee - appears to be a form of state surcharge.
Top-Up Insurance	Provides more cover against claims from third parties that that provided inherently by the car rental company's insurance. Also provides compensation should you suffer damage from an uninsured or under-insured driver.	Not mandatory but very highly recommended. Purchased in Britain in advance. A less expensive alternative to EP (Extended Protection) sold by car rental companies.
VLF - Vehicle Licence Fee	A tax of a fixed amount per day (possibly varying by vehicle type and size), imposed by law by California and possibly some other states.	Unavoidable in those states where it applies. In California VLF appears to be a form of state surcharge.
Young Driver Charge	The charge for any driver under 25.	Mandatory for young drivers, but the charge and age range may vary slightly between car rental companies.

Car Rental

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As with all the other pages on this personal web site, all the information on this page is solely the opinion of the author, who has no connection whatsoever with any of the companies and organisations mentioned other than as an actual or potential customer.

About this personal web site JohnCletheroe

EMail me Please note that I am not in the car rental business or the travel trade and I cannot provide any more information on car rental other than that presented here. Nor can I process any requests for quotations or reservations for car rental - these should be directed to car rental companies or travel agents.

Most recently modified 23-Jul-00