Loss Damage Waiver Protection | Budget Car Rental Canada

Loss Damage Waiver (“LDW”) is not insurance and not mandatory.  If you accept full LDW by your initials on the rental document at the additional daily rate, for each full or partial day that the car is rented to you  and the car is operated in accordance with the Agreement, we assume responsibility for the loss of or damage to the car except, if permitted by law, for lost, damaged or stolen keys or remote entry devices, towing or tire services, unless related to an accident, or recovery of the car if stolen (except in the state of Alaska) and except for your amount of "responsibility", if any, specified on the rental document. Partial Loss Damage Waiver (“PDW”) is available only where permitted by law. If you accept PDW at the indicated daily rate, and the car is operated in accordance with the Agreement, we assume all loss or damage to the car up to the amount as specified on the rental document and you accept responsibility for all other loss or damage. If you do not accept either LDW or PDW, you owe for all loss or damage to the car. Loss and damage are described in paragraph 14 below.  You acknowledge you have been advised that your own insurance may cover loss or damage to the car. You also acknowledge reading the notice on loss damage shown on the rental document, or in these Terms and Conditions, or in a separate notice form.

In Canada, if you accept LDW, there may nevertheless be a non-waivable amount for which you will be responsible in the event of loss or damage to the car, which amount will be specified on the rental document at the time of rental.  Currently this amount is a maximum of CA $5,000.

Notices About Loss Damage Waiver (LDW) 

The following section meets certain state requirements for disclosure.

Connecticut: To determine the annualized charge for Loss Damage Waiver (LDW or PDW), multiply the daily rate found on page 1 of the rental document by 365 days. Loss Damage Waiver covers loss or damage due to theft, collision, vandalism, or any other cause. Whether or not you accept Loss Damage Waiver, or if Loss Damage Waiver is not permitted, you are responsible for the loss or damage to the car that is caused by you or by an authorized additional driver through intentional or willful and wanton misconduct; driving while intoxicated or using drugs; participation in any organized or racing competition; transporting persons or property for hire; commission of a felony or an act that could be a felony; failure to complete an accident or theft report; use or operation by an unauthorized driver; violation of the terms of the Agreement; operating off paved roads, use to push or tow something; or obtaining car through fraud or misrepresentation. You should examine your personal auto insurance policy or credit card, including deductible and limit of coverage, because it may cover loss or damage and personal injury incurred while you are using or operating a rental car. If your responsibility for any loss or damage is covered by your own insurance, you will authorize Budget to deal with the carrier. Budget will refund any sum collected above the amount of the cost of repair. 

California, Iowa, Indiana, Louisiana, Hawaii, Massachusetts, Minnesota, New York, Nevada, Rhode Island and Texas, Consumer Protection: Under the laws of these states, a personal automobile insurance policy MUST cover the rental of this motor vehicle against damage to the vehicle and against loss of use of the vehicle. Therefore, purchase of any loss damage waiver or insurance for the risk of possible loss or damage to the car covered by the Agreement is NOT necessary if your policy was issued in one of these states.  You should check your personal automobile insurance policy to review if the purchase of LDW would be duplicative of coverage afforded under your personal automobile insurance policy.  



The State of Wisconsin requires us to provide the following information about your liability for damage to a rental car and the purchase of a damage waiver.  On rentals in Wisconsin, all provisions of the Agreement are applicable, except to the extent of a conflict between the Wisconsin specific terms and the other terms of the Agreement, in which case the Wisconsin specific terms shall govern.  


If the car is damaged, we may not collect any amount for the damage unless you, or an authorized driver against whom we claim liability, have been promptly notified of your and your Insurers’ right to inspect the unrepaired car within two working days after we were notified of the damage. If you request, we must also give you a copy of any estimate we have obtained from a repair shop regarding any damage claim. Within 2 working days after receiving the estimates, you may request a second estimate from a competing repair shop and we must give you a copy of the second estimate. 


If you have any complaints about our attempt to hold you liable for damage or would like a copy of the state law that fully sets for your rights and obligations, contact:

Wisconsin Consumer Protection Bureau, P.O. Box 8911, Madison, WI 53708-8911    608-224-4960 (Madison area) or toll-free 1-800-422-7128