If you don't understand why you should leave a deposit when getting a rental car in Georgia, this article will come in handy and will be very useful to you.
A car deposit has two main functions:
- Insurance franchise
- Guarantee of fulfillment of the client's obligations
Insurance franchise is the amount that is not reimbursed by insurance. In order to understand this, we will provide a few examples:
№1
The value of the car is 24,000 GEL
Damage to the car as a result of an accident: GEL 2,400
Car deposit: GEL 720
The amount to be paid by the insurance company to us is 1680 GEL (2400 damage – 720 franchise fee = 1680 GEL to be paid).
The client's deposit is withheld in full.
№2
The value of the car is 24 000 GEL
Damage to the car as a result of the accident: GEL 24,000
Car deposit: 720 GEL
The amount to be paid by the insurance company to us is GEL 23,280 (GEL 24,000 damage – 720 franchise fee = GEL 23,280 payable).
The deposit is withheld from the client in full.
№3
Value of the car 24 000 GEL
Damage to the car as a result of the accident: 240 GEL
Car deposit: 720 GEL
The amount to be paid by the insurance company to us – 0 GEL (240 damage – 720 franchise = 0 GEL to be paid). The amount of damage is less than the deductible – we will not be paid anything.
The client's deposit is withheld in the amount of 240 GEL, the balance (480 GEL) is returned.
Please note that the franchise is unconditional and does not depend on the presence or absence of your fault, and even if you left your car on the street and someone damaged it – the same franchise will be deducted.
If you do not want to lose money – use additional insurance, more details here >>>>.
Performance Guarantee
In most cases we don't have any problems with our clients, but sometimes we still get clients who would like to cheat us: cross the border, leave the car somewhere, damage the car, drive in a drunken state, don't care about traffic rules in Georgia. It is for such cases that a bail bond fulfills certain guarantees. We hope you are not one of such people, we love you very much and would be glad to cooperate with you long and seriously.
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