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Why I have to leave a deposit

If you do not understand why you have to leave deposit during car rent in Georgia, this article will be useful for you.

The deposit for the car has two main functions:

  1. Insurance franchise
  2. Guarantee of performance of obligations by the client.

Insurance franchise is the amount that is not covered by insurance. In order to understand this, we will provide some examples:


№1
The cost of the car is 24 000 GEL.
Damage to the car as a result of the accident: GEL 2 400
Deposit for the car: 720 GEL

The amount that the insurance company pays us is GEL 1680 (2400 damages - 720 franchise = GEL 1680 payable).

The customer's deposit is withheld in full

№2
The cost of the car is 24 000 GEL.
Damage to the car as a result of the accident: GEL 24,000
Deposit for the car: 720 GEL

The amount that the insurance company pays us is 23,280 GEL (24,000 damages - 720 franchises = 23,280 GEL payable).

The customer's deposit is withheld in full.

№3
The cost of the car is 24 000 GEL.
Damage to the car as a result of the accident: GEL 240
Deposit for the car: 720 GEL

The amount that the insurance company pays us - 0 GEL (240 damage - 720 franchise = 0 GEL to payout). The amount of damage is less than the franchise – so we do not get paid.

ОThe customer's deposit is withheld at GEL 240, the balance (GEL 480) is returned.

Please note that the franchise is unconditional and does not depend on the presence or absence of your fault, even if you left the car on the street and someone damaged it the franchise will be held.

If you do not want to lose money - use additional insurance, read more here

Guarantee of performance of obligations
In most cases we do not have any problems with clients, but sometimes there are customers who would like to deceive us: cross the border, leave the car somewhere, damage the car, go drunk, and don’t care about the traffic rules in Georgia. Exactly for such cases deposit performs certain guarantees. We hope that you are not among these people; we love you very much and would be glad to cooperate with you for a long time and seriously.

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