The Collision Damage Waiver (CDW) system is a program that exempts renters from paying the "deductible amount (customer's liability)" that would normally be their responsibility in the event of an accident involving the rental vehicle.
Note: The deductible amount varies depending on the vehicle class.
Fees
■ Kei Cars / Compact Cars
¥1,000 ... Deductible: ¥50,000 (per 24 hours)
■ Minivans
¥1,000 ... Deductible: ¥100,000 (per 24 hours)
Deductible Amount (Customer’s Responsibility)
Property Damage: approx. ¥100,000
Vehicle Damage: approx. ¥100,000
If both occur: approx. ¥200,000 total
Example Accident Scenarios and Deductible Amounts
Case 1: Collision with a wall (single-vehicle accident)
Vehicle damage: Yes → Deductible of ¥100,000
Property damage: None → No deductible
➡ Total customer responsibility: ¥100,000
Case 2: Collision with another vehicle causing damage to both vehicles
Property damage: Yes → Deductible of ¥100,000
Vehicle damage: Yes → Deductible of ¥100,000
➡ Total customer responsibility: ¥200,000
⚠ Important Notes ⚠
The CDW does not cover NOC (Non-Operation Charge for loss of use).
There are cases where CDW is not applicable and 100% of the damage is not covered.
Examples of exclusions:
Intentional damage
Legal violations, including:
Drunk driving
Driving without a valid license / with a provisional license
Driving under the influence of drugs or narcotics
Speeding, running red lights, etc.
Contract violations / misuse, such as:
A person other than the contract holder driving
Transporting pets without permission
Unauthorized extension or late return
Driving on unpaved roads
Specific vehicle damage, such as:
Tire punctures or wheel damage
Interior stains or odors (vomit, tobacco, etc.)
Lost keys
These costs (parts/labor) are not covered. Damaged tires must be replaced with equivalent ones.
Failure to follow appropriate accident procedures, including:
Settling without notifying the police
Failure to contact the rental company immediately
Violation of other terms outlined in the Rental Agreement
➡ All the above are not covered by CDW.
Any damage that exceeds the deductible or the coverage limit is the customer's responsibility.
If you do not enroll in the CDW program, you will be liable for the full cost of any repairs.
The deductible amount refers to the portion of damage costs that must be paid by the insured. In auto insurance, the deductible may differ between the first and subsequent accidents.
Non-Operation Charge (NOC)
The Non-Operation Charge (NOC) is a fee that customers are required to pay when the rental vehicle becomes unavailable for business use due to accidents, damage, theft, or similar incidents during the rental period. This fee serves as compensation for loss of use of the vehicle by the rental company.
Note: Even if you are enrolled in the Collision Damage Waiver (CDW), which exempts you from repair costs for vehicle and property damage, the NOC is not covered by the CDW.
Purpose
The NOC compensates for the rental company’s loss of revenue during the time the vehicle is out of service due to repair or cleaning.
Situations Where NOC Applies
Vehicle accidents or damage
Interior stains or odors (e.g., tobacco smell, pet hair)
Damage to in-car equipment such as navigation systems
Theft or submersion in water, etc.
NOC Fee (Estimated)
Situation/NOC Fee
Vehicle can be returned by the customer (drivable) Approx. ¥30,000
Vehicle cannot be driven and requires towing Approx. ¥60,000
Fees may vary depending on the vehicle class.
Specific Examples
If an accident occurs but the vehicle is still drivable and returned to the rental office by the customer:
→ NOC: ¥30,000
If the vehicle becomes undrivable and must be towed after an accident:
→ NOC: ¥60,000