Car Rental Insurance in Costa Rica

In Costa Rica, all vehicles must be covered by Third Party Liability (TPL) insurance, making it impossible to rent a vehicle without this essential protection.

Many car rental agencies and travel sites, such as Expedia and Booking, promote appealing daily rates for car rental in Costa Rica. However, these advertised rates frequently exclude additional expenses like Collision Damage Waiver, extra drivers, mileage charges, road service, credit card fees, child seats, airport fees, and more. These hidden costs can rapidly add up, turning what initially appeared to be a great deal into an expensive transaction before you realize it.

At Seven Car Rental, we ensure that all those costs are included and disclosed from the very beginning. When we say NO HIDDEN FEES, we genuinely mean it. Our commitment is to provide an exceptional car rental experience in Costa Rica from start to finish, delivering the high-quality customer service and transparent pricing you deserve.

consult

Row of parked cars with a standout red car in the foreground.

Third-Party Liability (TPL)

In Costa Rica, car rental companies are required to provide Third-Party Liability (TPL) insurance, which covers 80% of damages to the rental property, leaving the renter responsible for the remaining 20%. The daily cost for TPL insurance is $15.95.

Furthermore, all rental agencies in Costa Rica must offer Collision Damage Waiver (CDW) insurance, which comes in two options:

✅ Basic CDW – $9 per day

✅ Full CDW – $25–$37 per day

Each coverage option is clearly explained to promote transparency and assist renters in making informed decisions.

Silver Volkswagen pickup truck in a golden wheat field under a cloudy sky.

Collision Damage Waiver (CDW)

The Collision Damage Waiver (CDW) is essential for anyone considering car rental in Costa Rica, as it limits the renter’s financial liability for accidents, damage, or theft of the rental vehicle, with a deductible ranging from $1,000 to $1,500. This valuable coverage can be added for an additional $9 per day.

Key details include:

✅ Renter's liability

✅ Deductible amount

✅ Third Party Liability insurance

✅ Higher deductible for drivers aged 18 to 24

It’s important to note that the CDW excludes damage to the air system, doors, windows, and wheels, except in cases of collision or theft. The renter is also responsible for tire repair or replacement in emergency or reversible situations. Both the renter and insured drivers are liable for any loss or damage to the rental vehicle, regardless of the cause.

Woman on phone with broken car hood open in a field.

Full Collision Damage Waiver (CDW)

The Collision Damage Waiver (CDW) is an optional insurance policy available for $25–$35 per day when you choose car rental in Costa Rica. This coverage protects against damages from accidents, theft, or total loss, except in cases of negligence.

Key Coverage Details:

✅ $0 deductible for accidents, theft, or total loss

✅ Third-party property damage coverage up to $250,000

✅ Requires a $400 deposit and a minimum rental period of 7 days

Exclusions:

- Lost car keys

- Drivers aged 18 to 24

- Towing service

This coverage provides peace of mind for a worry-free rental experience, ensuring you have adequate Third Party Liability insurance while exploring the beautiful landscapes of Costa Rica.

Car Rental Insurance in Costa Rica

Third-Party Liability (TPL)

Collision Damage Waiver (CDW)

Full Collision Damage Waiver (CDW)

This website uses cookies.