Getting Started
Insurance Policy
Insurance & Peace-of-Mind Plan
Hokkaido Chitose Car Rental
Explanation of Collision Damage Waiver and Peace-of-Mind Insurance
Basic Insurance Coverage
All vehicles rented by our company come with basic insurance. If a traffic accident occurs during the rental period, compensation will be handled according to the insurance contract and the insurance company’s assessment.
| Coverage Item | Coverage | Customer’s Maximum Deductible |
|---|---|---|
| Bodily Injury Liability | No limit | Per insurance contract |
| Property Damage Liability | No limit | ¥150,000 |
| Damage to Rental Vehicle | No limit | ¥150,000 |
| Damage to Other Party’s Vehicle | No limit | ¥150,000 |
※ Property damage liability refers to damage to the other party’s vehicle or other property caused by the accident.
※ Rental vehicle damage refers to repair costs for our company’s rental vehicle.
※ Basic insurance does not cover Non-Operation Charge (NOC) compensation or certain roadside assistance fees.
Passenger Injury Medical Coverage
If an insured person is injured in a traffic accident and receives medical treatment, medical insurance benefits are paid based on the number of treatment days and severity of injury.
| Situation | Medical Insurance Benefit |
|---|---|
| Death due to accident | Up to ¥10,000,000 |
※ The actual compensation amount and determination are based on medical certification, the insurance contract, and the insurance company’s assessment.
Explanation of the Collision Damage Waiver
If a traffic accident occurs, even if basic insurance provides compensation, some costs may still need to be covered by the customer — this is called the “deductible.”
| Item | Without Peace-of-Mind Plan | With Peace-of-Mind Plan |
|---|---|---|
| Property damage deductible | Up to ¥150,000 | Waived if conditions are met |
| Rental vehicle deductible | Up to ¥150,000 | Waived if conditions are met |
| Non-Operation Charge (NOC) | Customer’s responsibility | Waived if conditions are met |
| Roadside assistance & towing fees | Customer’s responsibility | Waived if conditions are met |
※ The Peace-of-Mind Plan does not mean all damages are covered. Situations not covered by insurance are still the customer’s responsibility.
Non-Operation Charge (NOC)
Non-Operation Charge (NOC) refers to a fee the customer must pay for our company’s loss of business use of the vehicle when an accident or vehicle damage occurs during the rental period, requiring the vehicle to be taken out of service for inspection or repair. NOC fees may apply regardless of the extent of vehicle damage or how long repairs take.
| Vehicle Status After Accident | NOC Fee |
|---|---|
| Vehicle can be driven back to our office | ¥70,000 |
| Vehicle cannot be driven back to our office | ¥100,000 |
| Towing fee | Charged separately to the customer |
※ NOC is different from vehicle repair costs. Even if repair costs are covered by basic insurance, customers who have not purchased the Peace-of-Mind Plan are still responsible for NOC.
※ If the vehicle cannot be driven, towing, rescue, and on-site work fees are calculated separately.
Peace-of-Mind Compensation Plan
Our Peace-of-Mind Plan includes “Collision Damage Waiver + NOC Compensation + Roadside Assistance Service.”
| Peace-of-Mind Plan Item | Details |
|---|---|
| Plan fee | ¥5,000 per 24 hours |
| Accident deductible waiver | Waives the deductible for property and rental vehicle damage, if conditions are met |
| NOC compensation | Waives the Non-Operation Charge, if conditions are met |
| Towing fee compensation | Up to ¥150,000 |
| Roadside assistance | Provided based on actual circumstances and plan terms |
Roadside Assistance Under the Peace-of-Mind Plan
| Assistance Item | Details |
|---|---|
| Towing assistance | No limit |
| Dead battery | Jump-start or related emergency assistance provided |
| Wheel stuck in a ditch | Rescue service provided based on on-site conditions |
| Keys locked in vehicle | Unlocking assistance provided |
| Damaged or lost wheel cover/hubcap | Compensation handled per plan terms |
※ Towing compensation includes the basic dispatch fee and on-site work fee, up to a maximum of ¥150,000.
※ Costs exceeding the compensation limit are the customer’s responsibility.
※ The scope of roadside assistance coverage is determined based on on-site conditions and plan terms.
How to Apply for the Peace-of-Mind Plan
| Application Method | Details |
|---|---|
| At time of online booking | Select the add-on directly when booking through our official website |
| After booking is completed | Contact customer service to add it before vehicle pickup date |
| On the day of pickup | Can be added during the rental procedure at pickup |
※ The Peace-of-Mind Plan must be applied for before the vehicle is handed over. It cannot be added or retroactively arranged after vehicle handover or after an accident occurs.
Situations Not Covered by Insurance or the Peace-of-Mind Plan
| Category | Situations Not Eligible for Compensation |
|---|---|
| Failure to follow accident procedures | Not calling the police immediately after an accident, not obtaining an accident report, or not immediately contacting our company |
| Handling the accident without authorization | Privately settling with the other party or leaving the accident scene without our company’s consent |
| Unauthorized rental extension | Extending vehicle use without contacting our company, with an accident occurring during the extended period |
| Illegal driving | Drunk driving, driving under the influence of drugs, no valid driver’s license, overloading, running red lights, or ignoring traffic signs |
| Dangerous driving | Illegal right turns, illegal U-turns, racing, or other serious violations of Japan’s Road Traffic Act |
| Unregistered driver | The vehicle being driven by someone not registered on the rental contract |
| Tire damage | Flat tires, tires punctured by sharp objects, or other simple tire damage |
| Glass damage | Windshield or window cracks/damage caused by flying stones or other causes |
| Interior damage | Damage to interior equipment, seats, trim, or other items inside the vehicle |
| Special interior cleaning | Stains or odors caused by smoking, vomiting, pets, food, or other causes |
| Improper operation by the user | Wrong fuel type, ignoring vehicle height/width, door collisions with other vehicles or objects |
| False or intentional acts | Concealing an accident, providing false information, intentional damage, or hit-and-run |
Required Procedures When an Accident Occurs
| Step | Required Action |
|---|---|
| 1 | Immediately stop the vehicle in a safe location and check if anyone is injured |
| 2 | If anyone is injured, call 119 for an ambulance immediately |
| 3 | Call 110 to report to the police immediately — do not handle it privately |
| 4 | Contact Hokkaido Chitose Car Rental customer service |
| 5 | Take photos of the accident scene, vehicle damage, and the other party’s vehicle information |
| 6 | Follow the instructions of the police, our company, and the insurance company |
※ Failure to complete the police report, accident certification, or contacting our company may result in insurance or Peace-of-Mind Plan claims being denied.
※ All coverage and compensation are ultimately subject to our company’s rental contract, the insurance contract, and the insurance company’s assessment.
| Category | Non-compensated items | Common situations |
|---|---|---|
| Tires | Flat tire, puncture, sidewall damage, cuts, abnormal wear | Hitting foreign objects, curbs, wheel spin in snow |
| Wheels | Wheel deformation, scratches, cracks | Hitting curbs, potholes |
| Wheel covers | Lost, dislodged, broken | Falling off or impact while driving |
| Windshield | Chips from flying stones, cracks, breakage | Coverage depends on the vehicle insurance terms |
| Vehicle underside | Chassis, undercarriage panels, exhaust pipe, oil pan | Driving into potholes, deep snow, unpaved roads |
| Suspension system | Control arms, shock absorbers, steering components | Severe impact from potholes or curbs |
| Below the bumper | Front/rear bumper underside, front spoiler, mounting brackets | Hitting snowbanks, wheel stops, slopes |
| Mirrors | Mirror glass, housing, power-folding mechanism | Scraping or improper operation |
| Wipers | Wiper arms, blades, motor | Forcing operation while frozen |
| Roof | Roof, antenna, roof rack | Entering areas with insufficient clearance |
| In-car equipment | Navigation system, screen, charging cables, ETC device | Improper use, loss, or damage |
| Interior trim | Seats, carpet, headliner, door panels | Staining, cuts, burns |
| Keys | Lost smart key, water damage, breakage | May also incur a key delivery fee |
| Accessories | Child seat, snow brush, charger, warning triangle | Loss, damage |
| Fuel system | Cleaning and repair costs from incorrect fueling | Putting diesel into a gasoline vehicle, etc. |
| Water damage | Engine, electrical system, battery, flooded interior | Forcibly driving through flooded roads |
| Interior odor | Smoking, pets, vomit, unusual odors | Cleaning, deodorizing, and vehicle downtime fees |
| Cargo damage | Scratches or seat damage caused by luggage | Improper loading or overloading |
Insurance Exclusions and Compensation Terms
Among these, tires, wheel covers, keys, incorrect fueling, interior soiling, and off-road damage are commonly listed as exclusions under the standard compensation systems of major Japanese car rental companies. For example, Japanese rental companies explicitly state that tire punctures, lost wheel covers, lost keys, incorrect fueling, and damage from off-road driving (such as on coastlines or riverbeds) are the customer’s responsibility.
However, these exclusions are not uniformly mandated by law — for instance, some rental companies’ enhanced protection plans additionally cover tires, wheels, interior equipment, mirrors, and wipers.
Failure to Handle an Accident Lawfully
- Not stopping the vehicle immediately
- Not assisting injured parties
- Not reporting to the police
- Failing to obtain a traffic accident certificate
- Not notifying the rental company at the accident scene
- Leaving the accident scene without authorization
The legal basis is Article 72 of Japan’s Road Traffic Act, which requires a driver involved in an accident to stop the vehicle, assist any injured persons, prevent further danger, and report to the police. The Ministry of Land, Infrastructure, Transport and Tourism’s reference rental terms and conditions also require that, regardless of the severity of the accident, statutory measures must be taken immediately and the rental company must be notified.
Illegal or Serious Breach of Contract Driving
- Drunk driving
- Driving under the influence of drugs
- Driving while impaired and unable to drive safely
- No valid driver’s license or an expired license
- Invalid international driving permit
- Driving by someone not registered on the contract
- Unauthorized subletting or handing the vehicle to a third party
- Speeding, racing, or dangerous driving
- Extending the rental period without authorization
- Using the vehicle for criminal activity, competitions, or testing
- Settling privately with the other party without consent
- Refusing to provide accident information
- Providing false information
- Failing to cooperate with investigations by the police, insurance company, or rental company
Intentional Acts or Gross Negligence
- Intentionally causing a collision or damage
- Deliberately entering a closed road
- Deliberately driving through deep floodwater
- Continuing to drive despite a known warning light
- Continuing to drive with a known tire leak
- Failing to apply the parking brake, causing the vehicle to roll
- Leaving keys in the vehicle, resulting in theft
- Forcibly operating wipers, power doors, or mirrors while frozen
The legal basis primarily comes from Article 17 of Japan’s Insurance Act: where damage is caused by the intentional act or gross negligence of the policyholder or insured, the insurer may, in principle, be exempted from payment obligations. Liability insurance handles gross negligence differently, so the specific policy terms must still be consulted on a case-by-case basis.
Improper Use or Management
- Lost or improperly stored keys
- Vehicle stolen due to not being locked
- Incorrect fueling
- Using the wrong power source or external equipment
- Overloading or improperly loading luggage
- Driving on beaches, riverbeds, forest roads, or other non-public roads
- Towing another vehicle without authorization
- Removing or modifying equipment without authorization
- Smoking inside the vehicle
- Soiling caused by pets
- Severe soiling from vomit, beverages, or food
- Water damage, flooding, or salt damage to the vehicle
- Failing to follow the rental company’s instructions when handling a breakdown
Natural Disasters
Whether damage from typhoons, floods, hail, snowfall, earthquakes, volcanic activity, and similar events is covered depends on the insurance policy.
These fall into two categories:
- Unforeseeable, unavoidable disasters: May fall within the scope of vehicle damage insurance coverage.
- Cases where road closures, warnings, or clear danger already existed, and the traveler proceeded anyway: May be deemed a breach of the duty of care, gross negligence, or a violation of the rental terms, and therefore not eligible for compensation.
Situations Where Insurance and Compensation Systems Do Not Apply
Even if the traveler has enrolled in basic insurance, the deductible waiver, NOC compensation, or the Peace-of-Mind Plan, full or partial compensation may still not apply in the following situations: failing to report the accident to the police and to our company; being unable to obtain an accident certificate; driving under the influence of alcohol or drugs; driving without a valid license; driving by a person not registered on the contract; intentional acts or gross negligence; dangerous or illegal driving; unauthorized extension or subletting of the vehicle; unauthorized private settlement; providing false information; refusing to cooperate with an accident investigation; and other violations of the rental agreement or insurance terms.
Tires, wheels, wheel covers, windshield damage from flying stones, the vehicle’s undercarriage, suspension system, the area beneath the bumper, keys, interior equipment, accessories provided with the vehicle, incorrect fueling, water fording, interior soiling and odors, and damage caused by off-road driving are, in principle, not covered under our company’s deductible waiver or NOC compensation. Repair, cleaning, towing, parts delivery, and other related costs are the traveler’s responsibility.
Whether single-vehicle incidents such as self-collision, rollover, falling, or striking a fixed object are covered by vehicle insurance will be determined based on our company’s actual insurance contract and the insurance company’s assessment; where our compensation system explicitly excludes coverage, the cost is borne by the traveler. All compensation is ultimately subject to the insurance company’s assessment and our company’s rental agreement.
FAQ
Is insurance included in the rental price?
Yes. Third-party liability insurance is included with every rental.
However, if an accident occurs and you have not added one of our optional protection plans, you will still be responsible for the applicable deductible and other charges in accordance with the rental terms.
For greater peace of mind, we recommend considering our optional protection plans to reduce the costs that may arise in the event of an accident.
What is the Collision Damage Waiver (CDW)?
The Collision Damage Waiver (CDW) is an optional protection plan. If you add it and a collision covered by the insurance terms occurs during the rental period, it can greatly reduce or waive the vehicle damage deductible you would otherwise pay.
Please note that CDW is not full coverage. Some items are still excluded, such as towing fees, tire damage, vehicle loss, damage caused by violating the rental terms, and other exclusions listed in the insurance terms. For details, please see the rental terms and insurance information.
What is the Non-Operation Charge (NOC)?
If a rental vehicle needs repair or special cleaning because of an accident, damage or severe soiling and cannot be rented out during that time, you must pay a Non-Operation Charge (NOC) to compensate for the business lost while the vehicle is out of service. An NOC may be required even if the accident was not your fault.
For more complete protection, we also offer a Full Protection Package. When added, and where the conditions of coverage are met, it waives the accident deductible and the NOC (Non-Operation Charge), so you can travel with greater peace of mind.