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TRAVEL GUIDES
Car Rental Insurance in Malaysia Explained: LDW, Excess and Extra Protection
“Is insurance included?” and “Do I need extra protection?” are two of the questions we hear most at our counters. Insurance terms can be confusing, so here’s a plain-English guide to how it works when you rent with SEIYON.
What Is Included in Every Rental
- Loss Damage Waiver (LDW)
- 24-hour roadside assistance
- Unlimited mileage
What Is LDW?
Loss Damage Waiver limits how much you pay if the car is damaged or stolen during your rental. Without it, you could be responsible for the full cost of repairs or the value of the car. With LDW, the most you pay is the excess.
What Is the Excess?
The excess is the maximum amount you pay if the car is damaged, stolen or involved in an accident. It works like a cap. The excess depends on the car model, so a premium MPV has a higher excess than an economy car. Your excess is shown on your rental agreement.
Can I Reduce the Excess?
Yes. At the counter you can add extra protection that lowers your excess. It’s a good choice if:
- You’re not used to driving on the left
- You’re driving long distances or mountain roads like Genting or Cameron Highlands
- You want peace of mind on a family trip
What Insurance Does Not Cover
Every rental insurance has exclusions. These are not covered by LDW and the driver pays in full:
- Putting the wrong fuel in the car (diesel in a petrol car or petrol in a diesel car)
- Driving off-road or on unsealed surfaces
- Driving under the influence of alcohol or drugs
- Damage caused by an unauthorised driver not named on the agreement
- Driving outside Peninsular Malaysia or taking the car on a ferry
- Traffic summonses and fines
Please read the exclusions on your rental agreement before you drive.
What to Do If There’s an Accident
- Make sure everyone is safe
- Take photos of the scene, the cars and the other driver’s details
- Contact SEIYON immediately
- Make a police report within 24 hours, as required in Malaysia
Frequently Asked Questions
Is insurance included in SEIYON rentals?
Yes. Loss Damage Waiver (LDW) and 24-hour roadside assistance are included in every rental.
What does LDW cover?
LDW limits what you pay if the car is damaged or stolen. The most you pay is the excess shown on your rental agreement.
How much is the excess?
It depends on the car model. Your excess is shown on your rental agreement.
Can I lower my excess?
Yes. You can add extra protection at the counter.
Is wrong fuel covered?
No. Wrong fuel is not covered by LDW or any protection, and the driver pays for draining, recovery and any engine damage.
Do I need to make a police report after an accident?
Yes. In Malaysia, a police report must be made within 24 hours.
Book Your Car at KLIA
Pick up your car at KLIA Terminal 1 or klia2 and drive with confidence, knowing exactly what your insurance covers.