Ensuring you have an excess-inclusive insurance policy when hiring a car on the continent for the rest of the summer is a good idea if you want to avoid a potentially large hole in your holiday budget.

Protectyourbubble.com, an online insurance company, has pointed out the potentially ruinous excesses that some rental companies apply to their standard accident waiver policies that come standard with the hire.

Fees in excess of £1,500 are liable on some vehicles rented in popular destinations such as the Canary islands. Avis, for example, levies a £695 excess for a Seat Leon, while the fee is an outrageous £1,500 should you crash your Fiat Fiesta in Italy. In the UK, typical excess rates on standard vehicle insurance is usually about £100.

Typically, excesses are hire on rentals since the drivers are not the owners and usually driving in a foreign environment, and more likely to have a collision. Higher excesses are normal in the industry to mitigate this.

Therefore holiday makers are strongly advised to pay the addition cost of a fully comprehensive insurance policy that has an excess waiver.