Car Rental Insurance Requirements

It seems that all car rental companies in DR are now requiring clients to buy insurance through the agency. They are not accepting coverage provided by a credit card. However, when i read the policy for Economy rental in Santiago, which i placed below, it states that all that is needed is written proof that the credit card to cover liability.

Questions:

a) was there a law passed that requires a client to either buy insurance from the agency or provide written proof of liability coverage that is covered by a credit card. If so, can someone provide a citation?
b) Is there an agency or group that manages rental agencies
c) do the mom/pop Dominican car rental companies also required comply with this or is this a scheme to get more money from travelers who prefer international car rental agencies

It reads, "LIABILITY PROTECTION COVERAGE - IN THE DOMINICAN REPUBLIC LIABILITY INSURANCE IS REQUIRED ON ALL RENTAL VEHICLES. RENTERS WILL BE REQUIRED TO EITHER PROVIDE WRITTEN PROOF OF LIABILITY COVERAGE FOR THE DOMINICAN REPUBLIC FROM A THIRD PARTY OR PURCHASE SUPLEMENT LIABILITY INSURANCE. IF RELYING ON THIRD PARTY THE RENTER WILL BE REQUIRED TO PROVIDE WRITTEN PROOF OF LIABILITY COVERAGE FOR THE DOMINICAN REPUBLIC. THE REPRESENTATION OF CREDIT CARD OF PERSONAL AUTO INSURANCE IS NOT PROOF OF COVERGEG. SUPPLEMENTAL LIABILITY INSURANCE (SLI) PROTECTS YOU AGAINST CLAIMS FOR INJURY/DAMAGE YOU CAUSE TO THIRD PERSONS/THEIR PROPERTY. IT DOES NOT COVER INJURY TO YOU OR DAMAGE TO THE RENTED VEHCILE. PROPERTY DAMAGE/PUBLIC LIABILITY COVERS UP TO 100.000.00USD. COST 17.99 USD PER DAY. COLLISION DAMAGE WAIVER - CDW - IS OPTIONAL PROVIDING THE FOLLOWING CONDITIONS IS MET. WRITTEN PROOF OF COVERAGE FROM THE DOMINICAN REPUBLIC FROM A THIRD PARTY IS PRESENTED AT THE TIME OF RENTAL. IF YOU HAVE PURSHASED OR ARE RELYING ON THIRD PARTY COLLISION DAMAGE WAIVER ANY DAMAGE TO THE VEHICLE WILL BE CHARGED TO YOUR CREDIT CARD AND THE RENTER WILL NEED TO SEEK REIMBURSMENT FROM THE THIRD PARTY POLICY. THE PRESENTATION OF A CREDIT CARD OR A PERSONAL AUTO INSURANCE IS NOT PROOF OF COVERAGE. A 4000.00 USD CREDIT CARD AUTHORIZATION IS REQUIRED AT TIME OF RENTAL."

https://www.economyrentacar.com/policies/santiago-car-rental

You would be a fool not to get the 3rd party liability insurance. Saved this gringo a world of hurt when a moto married my rear quarter panel. About an extra 150 a week to insure you catch your flight home. Insurance is just that..... Insurance..

As for them requiring. Rented a car 2 weeks ago at STI Budget. The car was covered by my Citi AAdvantage World card but minus all taxes and fees if needed to be used. Meaning in the DR cards do not reimburse for all the crazy VAT’s and airport fees on the repairs. So on a $4000 dollar repair bill you still pay about $850 out of pocket.

Now let’s talk about third party liability insurance. Just get it. Or find yourself a walking ATM when a moto collides with your car. Not only the family but if not settled quickly Many more people in your pocket. Especially if one fells adventurous and gets into an accident in a non tourist area... Just my experience. Good luck to all that gamble.

And check the fine print on both your personal car insurance policy, and the terms of any supplemental credit card insurance. When I did a few years ago, BOTH had exclusions that said the coverage was not valid in certain countries. Both excluded coverage in the Dominican Republic.

Ask them if it is included in there price of a more expensive car such as an SUV. I rented from Hertz in Puerto Plata once and they told me it was included in the price of the SUV. It was not included in the less expensive cars. I normally do a smaller car but got a SUV a couple of times.

Jumbo said:

You would be a fool not to get the 3rd party liability insurance. Saved this gringo a world of hurt when a moto married my rear quarter panel. About an extra 150 a week to insure you catch your flight home. Insurance is just that..... Insurance..

As for them requiring. Rented a car 2 weeks ago at STI Budget. The car was covered by my Citi AAdvantage World card but minus all taxes and fees if needed to be used. Meaning in the DR cards do not reimburse for all the crazy VAT’s and airport fees on the repairs. So on a $4000 dollar repair bill you still pay about $850 out of pocket.

Now let’s talk about third party liability insurance. Just get it. Or find yourself a walking ATM when a moto collides with your car. Not only the family but if not settled quickly Many more people in your pocket. Especially if one fells adventurous and gets into an accident in a non tourist area... Just my experience. Good luck to all that gamble.

Click to expand...

I understand the importance of having insurance. I wouldn’t drive without it.


I have the same AA credit card. The info on the tax not being reimbursable is good to know. I didn’t realize it. However, I’m just asking because these prices seems nuts based on what local insurance companies charge. I feel like this is a just a money grab or a way to divert business to the small companies. $18 a day is too much I think.

texan said:

Ask them if it is included in there price of a more expensive car such as an SUV. I rented from Hertz in Puerto Plata once and they told me it was included in the price of the SUV. It was not included in the less expensive cars. I normally do a smaller car but got a SUV a couple of times.

Click to expand...

I used to rent with Hertz but then tried economy. The Economy rental was for an SUV and it was not included.

Timotero said:

And check the fine print on both your personal car insurance policy, and the terms of any supplemental credit card insurance. When I did a few years ago, BOTH had exclusions that said the coverage was not valid in certain countries. Both excluded coverage in the Dominican Republic.

Click to expand...

I have a couple of cards. I have coverage in DR but this is good to know and check each time I go. I also have primary coverage not supplementary/secondary coverage.

I've used Alamo for many years. They used to make the 3rd party liability mandatory. No longer. So I decline all of their insurance and use my card if a problem. This does come with risks though, if an accident is my fault I'd have to pay cash for any injury and try to get reimbursed later, subject to the deductible.
The way I look at it is simple, over the years by declining insurance I've saved a small fortune and have had a few accidents where I had to pay little but not enough to worry about.