What is Collision Damage Waiver (CDW)?

Collision Damage Waiver is usually but not always included in European car rental agreements. It literally means if you damage your rental vehicle, the car rental company will waive (not charge you) for the cost of the damage up to your excess amount. So, for instance if you damage your vehicle and the cost of repair is €5,000, and your excess is €2,000, you will be charged €2,000, so in theory the remaining €3,000 is not charged (Waived or CDW).