Insurance & Excess Reduction Options
Hiring a car should feel exciting - not stressful. This page explains how insurance works at Dream Drives, what "excess" means, and how excess reduction can give you greater peace of mind while exploring the South Island.
What is an excess?
- Excess is the maximum you may pay if the vehicle is damaged, stolen, or involved in an incident.
- It applies per incident, not per trip.
- Choosing an excess reduction option lowers your liability for covered events.
Choose your protection level
Standard Insurance (Included)
Excess Payable: $2,500 per incident
Covered: Basic third-party + collision damage
Not covered: Windscreens/glass, tyres, wheels, lost keys, minor damage
Note: Full excess applies to all damage under this option.
Best for: short trips / comfortable with higher excess
Basic Excess Reduction
Excess Payable: $1,000 per incident
Benefits: Lower liability if something goes wrong
Does NOT cover: Windscreen damage, tyre damage, cosmetic or structural wheel damage, lost keys
A great middle-ground if you want lower risk without full cover.
Best for: touring / unfamiliar conditions / general peace of mind
Premium Excess Reduction
Excess Payable: $500 per incident
Includes: Windscreen repairs/replacement, tyre damage (punctures/cuts/blowouts), cosmetic wheel damage (scuffs/light scratches), lost key replacement
Excludes: Structural wheel damage (cracks/bends), negligent use, prohibited roads/off-road, key delivery costs
Maximum peace of mind for long distances and rural travel.
Best for: South Island road trips / remote destinations / premium vehicles
What's never covered (all options)
- DUI/drugs
- Breach of rental terms / illegal use
- Off-road / prohibited roads
- Reckless/negligent driving
- Interior misuse / negligence
Full details are outlined in our Terms & Conditions.
How the excess is handled
A security bond/hold may be placed on the card at the start of your rental.
If no issues occur, the hold is released after the vehicle is returned.
If damage occurs, we charge up to the applicable excess and release any remainder.
Choosing the right cover
Ready to plan your trip?
Choose your vehicle and confirm excess reduction options during booking.