in this case
- After David Degagne declined insurance for his Sixt rental online, he was hit with a surprise $513 surcharge, kicking off a battle over a contract he says he was misled into signing.
- An essential guide to avoiding surprise insurance surcharges, including why you should never let an agent quickly scroll through a digital contract.
- Find out what happened when we asked Sixt to take a second look at a charge the customer insisted he never agreed to.
Sixt surprises David Degagne with an extra $513 car rental insurance surcharge in Portugal. Can he get his money back if he never asked for the insurance? Let’s find out.
Question
I recently rented a car with Sixt through Auto Europe near Lisbon. A few days after I returned the car, I received a car rental insurance surcharge on my credit card for an extra $513. I was shocked by the amount. I was only expecting charges for the transponder ($17) and tolls ($20).
The extras were for optional insurance. Sixt and Auto Europe said that I signed the agreement and was therefore liable for this amount. I called the customer service department at Sixt because I felt I had been wrongly charged this amount. Sixt agreed to review my complaint and reply to me by email.
Today, I received the same response stating “the extras were presented at the counter” and that I signed the document, indicating my agreement to this statement.
No one advised me of the optional insurance. If I had wanted this extra insurance when ordering the car online, I would have paid for it. I specifically opted out of the insurance when I made my reservation online.
Can you help me get my money back? — David Degagne, Angus, Ontario
Answer
Sixt should have explained what you were signing when you arrived in Lisbon. And although it looks like both Sixt and Auto Europe have signed contracts in which you agree to pay an extra $513 for insurance, I believe you never intended to accept the car rental insurance surcharge. In fact, you said a representative offered you insurance for $50, which you turned down.
What happened? In reviewing the correspondence between you, Auto Europe and Sixt, it appears you initially declined the coverage online. However, at the counter — where agents are trained to upsell you on extras like upgrades and insurance — there was a misunderstanding. (Related: A burned-out clutch and a broken down case.)
According to Sixt, the agent offered you optional insurance. Sixt says you accepted it and signed a contract to that effect. You say that you never did — and never would have — say yes to the pricey coverage. (Related: My car rental is fully refundable. Why is Priceline keeping my money?)
Initially, I thought there might have been a language barrier, although many people in Portugal speak excellent English. But you say the representative had a good command of the English language.
This feels more like a variation of the “sign here” scam, where a car rental agent scrolls through a lot of pages that you can’t possibly read, and assures you that it’s what you discussed, and you sign it without realizing that you’ve agreed to pay more. It’s hard to know, since I wasn’t there.
Have you ever been pressured into buying expensive car rental insurance at the counter? What’s your worst experience with a rental agent quickly scrolling through a contract and telling you to “just sign here”?
And what are your best tips for avoiding unwanted charges when you rent a car?
Share your experience in the comments.
How to avoid a surprise surcharge for car rental insurance
Unexpected charges can frustrate the most experienced traveler. Here are some tips to avoid the unwanted extras:
- Know your coverage before you rent. Your auto insurance policy will probably cover you for domestic rentals. Also, many credit cards offer secondary rental car insurance as a benefit. You don’t want to pay for duplicate insurance. (Related: This is how to fight an unfair car rental damage charge — and win.)
- Don’t let them scroll through your contract. Before signing the rental agreement, very carefully review all the terms and conditions — especially those related to insurance. Pay attention to any pre-checked boxes or optional charges. (Related: Sixt promised to reimburse me $385 for these tires. Where’s the money?)
- Just say no. If you already have adequate insurance coverage through your personal auto policy or credit card, politely decline any additional insurance offered by the rental company. If you don’t, then consider a standalone policy from a company like Allianz, which you can buy online at the last minute.
If you find a surprise surcharge for rental insurance, follow the steps in the Elliott Method to get things resolved. Politely ask the rental company to remove the charges, escalate it and then dispute the charges on your credit card if necessary.
How did you get stuck with this unwanted car rental insurance?
It looks like you tried to reach out to both companies to appeal this decision. Remember, I publish the names, numbers and email addresses of the executives at both Auto Europe and Sixt on this site. A brief email to one of them might have reversed these charges.
Let’s be clear: If you signed something, you’re responsible for it. And you should always read the entire contract before you sign it, even if someone is standing in front of you and telling you what’s in it. That’s where problems happen. (Here’s our guide to renting a car.)
Still, I think there was a misunderstanding, if not some deception, involved in your rental and I wanted to give Sixt a chance to review it. So my advocacy team and I did.
“First of all, we would like to apologize — also on behalf of our franchise partner in Portugal — for the inconvenience caused,” a representative told me. “We regret that David Degagne had a negative experience with Sixt and have reviewed the case with our local colleagues in detail.”
As a “gesture of goodwill,” Sixt reversed your insurance charges.
You told me you are happy with this resolution. “I hope this serves as a reminder to your other readers to make sure that they fully review their contract before driving their car rental out of the garage,” you added.
The counter-attack plan
Your 3-step guide to avoiding the car rental insurance trap.
Step 1: Before you go
Preparation is your best defense. Know your coverage before you arrive, so you can’t be talked into buying something you don’t need.
- Check your personal auto insurance policy.
- Call your credit card company and ask about rental coverage.
- Print out your online reservation showing you declined insurance.
Step 2: At the counter
This is where the pressure happens. Politely but firmly take control of the transaction. Don’t be rushed.
- Say, “I’d like to review the contract on the screen before I sign.”
- Look for the “accept” or “decline” boxes for insurance and make sure they are correct.
- Confirm the final, total price before you provide your signature.
Step 3: After you sign
Don’t leave without proof. The final printed receipt is your most important piece of evidence if a problem arises later.
- Always ask for a printed copy of the final, signed agreement.
- Check the itemized list of charges before you walk away from the counter.
- If you see an error, resolve it immediately before taking the keys.
Need to contact a Sixt executive?
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