A provision in a car rental contract in which the rental company charges an extra fee to the renter and in turn agrees to waive its right to recoup losses due to damage inflicted upon the vehicle. Most of the time these policies come with a non-waiverable deductible, which can often also be reduced by purchasing Super CDW, or zero excess insurance. Collision damage waivers usually do not cover windows, tires, roof, undercarriage, interior, side mirrors, incidents which occur while on a ferry or damage due to vandalism or acts of nature. Many US and Canadian credit cards will cover this policy up to 30 and 45 days, respectively. Also known as LDW (Loss Damage Waiver)
Collision Deductible Waiver. That coverage which, in the event our insured's car is damaged in an accident which is the fault of an identified Uninsured Motorist, waives (or eliminates) the deductible requirement under the collision coverage when repairing the auto. (See Collision; Deductible)