Car rental insurance and deposits in Nicaragua: what is mandatory

The legal minimum

Every vehicle must carry third-party liability insurance. For private cars the minimum is US$2,500 per injured person, US$5,000 for two or more people and US$2,500 for property damage. Cover for damage to the car itself is optional by law.

What rental desks require

• Avis (MGA): additional liability is mandatory and not included in the rate; it covers third parties up to about US$15,000 with a US$3,000 deductible. Loss damage waiver (LDW) is optional.
• Budget (MGA): third-party liability is mandatory and not included in the estimate; it covers up to US$15,000.
• Alamo, National, Enterprise (MGA): third-party liability is required unless you show written proof of cover valid in Nicaragua; deductible up to US$5,000. Collision cover is optional.
• Payless: liability cover (SLI) is mandatory at US$13.99 per day plus VAT.
• Dollar: its mandatory plan covers only the legal minimum for third parties and none of the damage to the car.
• VAT of 15% is added to the bill.

Deposits and age

• Card holds published at Managua airport: Avis US$500–1,500, Budget US$500–2,000, Alamo/National/Enterprise US$500, Payless US$300–800.
• With a debit card, Avis and Budget require prepayment and do not rent 4x4s.
• Minimum age: 25 at Avis and Budget (23–24 with a US$5/day fee), 21 at Alamo/National/Enterprise (with a young-driver fee), 23 at Dollar, Thrifty, Payless and Lugo.