The table below shows the types of insurance cover we have and the maximum payment (or “excess”) to be paid by the customer in the case of an accident involving the rental vehicle. The amounts are given in Japanese yen.

Collision Damage Waiver (CDW)

Customers can purchase additional insurance called a “Collision Damage Waiver” or CDW. This reduces the excess for damage to Third Party Property/Vehicles and Rental Car Damage (in collisions involving other vehicles) to zero. The CDW can be purchased at any time before a rental commences.

The CDW does not cover “self-inflicted” single-car accidents (see below) or the Non-Operation Charge, also explained below. All insurance claims are dependent on receiving a police report. The phone number of the police box in Hakuba is 0261-72-2009. They won’t speak much English, so speak very slowly and clearly or get a Japanese person to call.

Exemptions (Incidents not covered by Insurance)

  • Accidents which occur when the driver is under the influence of drugs or alcohol.
  • Accidents that occur in violation of terms included in the Rental Agreement.
  • Accidents that occur while the person driving the car does not have a valid driving license for Japan.
  • Any accident where an accident report has not been filed with the police.
  • Any accident that occurs outside (e.g., later than) the rental period agreed upon in the rental agreement.

Costs to be Covered by the Customer

  • Blowout or tire damage
  • Loss or damage of hubcaps
  • Defacement of vehicle interior
  • Hit-and-run damage on the rental vehicle
  • Towing fees
  • Any excess not covered by the insurance cover and purchased CDW
  • Non-Operation Charge (NOC)

Note that there is a maximum 50,000 fee for damage to the rental vehicle in the case of a Single Car Accident.

Non-Operation Charge (NOC)

The NOC is a fee paid by the customer when the rental vehicle is damaged, by an accident or otherwise. This is to compensate us for loss of business while the vehicle is being repaired. The fee is 20,000 yen if the vehicle can be driven back to our rental site, or 50,000 yen when the vehicle is not drivable. When the vehicle cannot be driven, you will be charged the cost incurred by towing.

What is a Single-Car Accident?

A single-car or “self-inflicted” accident is when damage occurs to the rented car that is not the result of a collision with another moving vehicle. Examples include accidents where the rented car crashes into a guardrail or pole, the car runs off the road, and when hit-and-run damage occurs to the car when parked. When a single-car accident occurs, you will be required to pay for the damage, up to a maximum of 50,000 yen. To avoid hit-and-run damage, we recommend not squeezing the car into tight parking spaces.


What is the most I could be liable for if I wreck the car?

Single car accident

100,000 yen plus towing fee, calculated as follows

Damage to rental car @ 50,000 yen maximum (unaffected by CDW)

Non-Operation Charge @ 50,000 yen (plus any towing fee)

Accident another car with shared responsibility

(a) No CDW purchased

150,000 yen plus any towing fee, calculated as follows

Damage to rental car @50,000 yen maximum

Damage to third party cars @50,000 yen maximum

Non-Operation Charge @50,000 yen (plus any towing fee)

(b) CDW purchased

50,000 yen plus any towing fee , calculated as follows

Non-Operation Charge @50,000 yen (plus any towing fee)

Who is insured?

Anyone with an eligible driving license in Japan. For peace of mind, we’d like you to show us the licenses when renting the vehicle, but the insurance is not limited to named drivers and covers anyone with a valid license. The insurance covers valet parking and “daiko” drivers (a Japanese designated driver service who’ll drive the car home from a bar) so long as they have a valid Japanese license.

Drink alcohol, take illegal drugs, or allow someone with no license to drive, and all insurance is invalid. You could be liable for a huge amount of money. Criminal proceedings are also likely.

%d bloggers like this:
search previous next tag category expand menu location phone mail time cart zoom edit close