Insurance Terms and Conditions

Please read our Insurance Terms and Conditions carefully!

Chilli Rental vehicles are fully insured for visitors to New Zealand. However, due to the kind of roads and driving conditions in NZ, insurance excesses are very high. This results in a pre-approved security deposit on a valid credit card before your departure. The payable amount in case of an accident can be minimized if the person renting pays a daily insurance damage waiver fee.

Rates are as follows:

$3000 NZD security deposit if NO waiver fee is paid – this is immediately withdrawn upon any incident, accident or damage to pay for necessary repairs. Our New Zealand insurer does not cover damages less than $3000 which means Chilli Rentals has to pay for any of those repairs. But don’t worry – if the damage on your vehicle is more than $3000 we will not charge you anything else but the security deposit.(more details in our Terms and Conditions)

$2000 NZD security deposit if $20 NZD per day are paid for the term of the rental, payable before departure

ZERO security deposit if $25 NZD per day are paid for the term of the rental, payable before departure

Accidents of any kind can happen and many drivers in New Zealand do not have insurance as it is not compulsory by law. We therefore strongly recommend our customers are taking the full $25 NZD per day waiver. That way we can keep insurance costs low rather than having to pass them on to our customers. The insurance waiver also covers damage to windscreen and tyres which normally is not covered by the insurance.

If you have any further questions about our Insurance Terms and Conditions please don’t hesitate to contact us. After all we are here to help!

We also recommend you get a private third party insurance before renting or buying a vehicle. This insurance will cover willful damage to the car as well as any damage caused by improper use.

Please ensure that you have a comprehensive travel and health insurance before entering New Zealand. This will help you avoid unnecessary costs and stress in case of injuries/accidents/illness, theft and other unforeseen circumstances. Our insurance does NOT cover damage or loss of valuables after theft!


Major issues

If you notice any problems with the vehicle, we need you to inform us straight away so we can decide as soon as possible how to deal with it – before it’s too late. Unfortunately we’ve had cases where backpackers failed to notify us about minor defects that over time turned into major issues including total loss of the vehicle. If the vehicle suffers major damage due to your own carelessness you will be responsible for any costs that occur. In order to prevent that from happening please remember to call us as soon as you think something is wrong with the vehicle.

Also, please be aware that the majority of vehicles in New Zealand is fitted with an automatic transmission. If you’ve never driven an automatic we strongly recommend you get some practice before thinking about hiring or buying a vehicle in New Zealand. This will help you familiarize yourself with this kind of transmission and reduce your risk of causing an accident.

In order to prevent you from unnecessary costs we also recommend that you increase your mechanical vehicle knowledge prior to your trip and get someone to explain to you the basics regarding motor vehicles and how they work. Unfortunately we repeatedly come across backpackers that forget to regularly check oil and water levels and tyre pressure and top up if necessary. Also keep in mind to check temperature and other gauges for early warning signs! By doing so you lower the risk of mechanical problems or failure immensely! Your vehicle will last a lot longer on New Zealand roads and you will be able to invest your money into the joys of travelling rather than car repairs.