TEACHING AND
ASSESSMENT OF CAR
RENTAL
Dr Bukiwe Mbilini-Kuze
INTRODUCTION…
• Most companies offer two options: a daily rate plus
a charge per kilometer or a daily rate that include
free kilometres and sometimes even fuel
• The cost of renting a car depends on the type of car,
the rental period, and the kilometers traveled.
• Rates are calculated on a 24-hour period from the
time you sign the rental contract until the return of
the vehicle.
• Most companies do allow a 30 minute to 1 hour
"grace period" on the final day of return as a gesture
of goodwill
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INTRODUCTION …
• Late returns will result in an extra day being
charged.
• The minimum rate charged will be for a
period of 24 hours.
• All rates are quoted per day in the currency of
the country of rental origin.
• Generally the longer you rent the car the
cheaper it becomes
• Some companies offer specials and charge
only for two days on weekends even if you
have the car for three days.
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Conditions to rent a vehicle
• Valid drivers licence
• Credit card number and expiry date -
• Credit card name same as the driver
• The car group you prefer,
• The date of rental
• Collection and delivery locations
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TERMINOLOGY IN CAR RENTAL
Insurances
What is Collision Damage Waiver (CDW)?
It’s an option that limits renters of the
financial liability (excess) in the event of
damage to the vehicle and/or any part
thereof.
Super Collision Damage Waiver (SCDW) -
Further reduces the amount of liability
(excess) that the renter is responsible for in
the event of accident damage.
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Insurances…
• Theft Loss Waiver (TLW) - Reduces the
amount of the liability that the renter is
responsible for in the event of theft.
• Super Theft Loss Waiver (STLW) - Further
reduces the liability that the renter is
responsible for in the event of theft.
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Personal Accident Insurance (PAI)
• Offered mostly as a third party product - it
covers the renter in the event of a collision.
• At most companies this is an optional
insurance.
• Covers accidents supports, deaths,
repatriation,
medical expenses,
and accommodation costs
if necessary
Tourism Levy
• All rates are subject to a 1% Tourism levy on
net time and kilometre charges in South
Africa only.
• The fee is payable to SA TOURISM, to be used
to promote South Africa as a tourism
destination.
COST CALCULATION SHEET FOR
CAR RENTAL
THANK YOU