Basic Insurance Requirements in Panama
When you rent a car in Panama, the rental price typically includes some basic insurance coverage:
- Third-party liability insurance: This coverage protects you against claims for damage or injuries you may cause to others.
- Collision Damage Waiver (CDW): While not technically insurance, this waiver limits your financial responsibility for damages to the rental car.
These coverages offer some protection, but they often come with limitations. It's important to know what's included and consider other additional coverage options for more comprehensive protection.
Additional Insurance Options
You should purchase extra insurance to ensure you're fully protected. Below are some additional coverages. Before you get overwhelmed, know that most rental companies present this information in a simpler way. This is simply a list of the different insurance types.
- Supplemental Liability Insurance (SLI): This boosts your third-party liability coverage, giving you higher limits and better protection.
- Personal Accident Insurance (PAI): This covers medical expenses for you and your passengers if you're involved in an accident.
- Personal Effects Coverage (PEC): Protects your personal belongings inside the rental car from theft or damage.
- Super Collision Damage Waiver (SCDW): This can further reduce or even eliminate your financial responsibility for damage to the rental car.
- Road hazard insurance: Smaller per day fee. Covers damage to tires, windshield pits, and paint chips.
Chiriqui Car Rentals offers a wide range of insurance coverage options. Choose the best tier that fits your budget and risk tolerance. We’ve kept it simple, but let us know if you still have questions.
- Basic insurance: This is our lowest tier of insurance. In case of a collision, you will be required to pay damage up to excess of $1,200. There is also a required security deposit of $500.
- Standard insurance: This is our midrange insurance tier, with a damage excess of $750 and a required security deposit of $300.
- Comprehensive insurance: This insurance tier has a $500 damage excess, and there is no security deposit.
- Premium insurance: This is our safest insurance tier. You are financially safe from all damages and claims, and there is no security deposit.
Assessing Your Insurance Needs
Before purchasing additional insurance, consider your specific needs and how much you want to spend on insurance. While the premium insurance option is more expensive than the standard, you may need it in the areas you're traveling in. Consider the following:
- Travel itinerary: Additional coverage might be more critical if you're planning to drive in remote or high-risk areas.
- Budget: Extra coverage provides peace of mind but comes at a cost. Balance the potential benefits against your budget.